AUS
NZ
UK
CA
USA
IND
Summary
- Lightspeed posted revenue of US$ 57.6 million in the third quarter of 2021, up 79 per cent from US$32.3 million in Q3 2020.
- The SaaS stock soared over 9 per cent at 10 AM ET, on February 4, on the back of the impressive revenue growth.
- The software stock’s one-year return is up 114 per cent, led by an extraordinary SaaS platform demand during lockdowns.
Lightspeed (TSX:LSPD) stocks jumped as much as 9.21 per cent on Thursday, February 4, after the software company posted a 79 per cent year-over-year revenue surge in the third quarter of 2021 (ended on December 31, 2020).
Its Q3 2021 reported revenue was US$ 57.6 million, compared to US$32.3 million a year ago, led by 4X growth in its payments segment.
However, the company recorded a loss of US$ 42.7 million in the third quarter.
In its outlook, the tech company anticipates revenue in the range of US$ 68 million to US$ 70 million for the fourth quarter of 2021. Its adjusted EBITDA further indicates a loss of between US$ 12 million to US$ 14 million in Q4 2020.
Let us dive into this software stock’s market developments:
Lightspeed POS Inc. (TSX:LSPD)
The SaaS-based company offers its platforms for online payments and consumer engagement. The stock opened at C$ 100 per share on February 4. Lightspeed’s shares are up more than 114 per cent in one year. The fintech stock has delivered over 11 per cent returns this year.
The cloud-based firm’s revenues are certainly making a buzz, guided by the unprecedented online payment demand. Unlike other companies, the COVID-19 pandemic improved the SaaS company’s growth.
Its adjusted EBITDA augmented on a year-over-year (YoY) basis in the third quarter of 2021.
The company has also provided strong guidance for the fourth quarter. The stock could grow further this year.
Many investors have compared this large-cap stock to Shopify’s (TSX: SHOP) impressive growth.
Image Source: Kalkine Group @2021
The C$11-billion company has extended its reach to 115,00 customer locations globally in the previous quarter. Its software segment continues to hold the growth key.
In the third quarter, its software revenue was US$ 52.5 million, propelled by the customer demand for Lightspeed's software module.
The pandemic induced a homebody economy, which is likely to continue for some time in future. Even after the pandemic disappears from our lives, the world’s digital evolution is likely to continue. And alone, could be the driving factor for this stock.
Please note, the above constitutes a preliminary view and any interest in stocks should be evaluated further from investment point of view.
