What happened
Shares of Overstock.com (BYON 14.26%) took a hit on Tuesday, following the company's third-quarter results. The stock was down 14.7% as of 11:10 a.m. EST.
Investors were likely disappointed with the company's worse-than-expected top- and bottom-line results for the period. Further, news that the SEC subpoenaed Overstock for certain documents is likely weighing on sentiment for shares.
Image source: Getty Images.
So what
Overstock reported revenue of $347.1 million, down 21% year over year from $440.6 million. Analysts, on average, expected revenue of $376.2 million.
The company reported a loss per share of $0.89, narrower than a loss per share of $1.55 in the year-ago period but missing a consensus estimate for a loss of $0.62.
"Our retail business continues its path to sustained profitability, despite a few external headwinds, thanks to the focused leadership of an executive team with a proven track record of success," said Overstock CEO Jonathan Johnson in the earnings release.
The company also notably said the SEC recently requested documents on the company's planned "digital dividend," as well as information related to Overstock's communications with former CEO Patrick Byrne.
Now what
Investors will want to keep an eye on some of the headwinds that affected the quarter, namely tariffs, diminishing consumer confidence, higher freight costs, and delayed results from search traffic efforts.
