Why it's happening: However, Tarr also elaborated "While top-line growth may be somewhat moderated in the second half relative to our original expectations, we still expect revenue to grow at a double-digit rate driven by new capacity, new products and new customers."
As such, DigitalGlobe reiterated its 2015 outlook despite its solid second-quarter beat. As it stands, that outlook calls for full-year revenue of $725 million to $750 million, adjusted EBITDA of $355 million to $375 million, and capital expenditures of $110 million. Wall Street's models called for revenue of $735.2 million, or slightly below the midpoint of DigitalGlobe's expected range, and earnings of $0.27 per share.
It seems silly the market would punish DigitalGlobe for maintaining an outlook that's already above analysts' expectations. But to be fair, our market is a forward-looking machine, and investors are likely worried DigitalGlobe's second-half weakness might be a sign of things to come. I'm not convinced that's necessarily the case just yet, but it's no surprise the market is taking a step back from DigitalGlobe stock today.