What happened
Metaverse stock Matterport (MTTR -1.56%) hasn't been much of a hit in the real world over the past few trading days. According to data compiled by S&P Global Market Intelligence, the cutting-edge imaging specialist's share price has fallen by almost 12% week to date as of early Friday morning. That isn't much of a surprise considering how the company kicked off the week.
So what
Matterport published its fourth-quarter and full-year 2022 results on Monday, and while these indicated robust growth in certain areas and topped some analyst estimates, they fell short elsewhere.
Revenue grew by 52% year over year (YOY), and the young company's non-GAAP (adjusted) net loss deepened only slightly, which were encouraging developments. Ditto the continued rise in the all-important subscriber count -- this rose at a 39% clip to 701,000.
But as we are constantly reminded as investors, stocks trade on anticipated performance and not trailing results. Matterport's guidance clearly left something to be desired: Its forecast for first quarter 2023 revenue is $34 million to $36 million, which would mean growth of at most 26% YOY -- notably lower than the fourth-quarter increase. The range also falls short of the average analyst estimate of $39 million.
At least adjusted net loss, projected at $0.09 to $0.11 for the quarter, is in line with prognosticator expectations.
Now what
Those sorts of numbers prompted Loop Capital researcher Yun Kim to pull the trigger on a price target cut on Matterport stock. Kim now places its fair value at $8 per share, exactly 33% below his previous estimate of $12. Although the analyst maintained his buy recommendation on the shares, that's quite a comedown from the previous take.
