FTCH

Farfetch Limited

7.50
USD
-4.64%
7.50
USD
-4.64%
6.53 51.95
52 weeks
52 weeks

Mkt Cap 2.58B

Shares Out 328.25M

Chat
Send me real-time posts from this site at my email

Here's Why Farfetch Stock Is Soaring Today

What happened Shares of Farfetch Limited (NYSE: FTCH), a luxury fashion e-commerce platform, spiked today after the company reported a better-than-expected loss in the first quarter. Farfetch's stock skyrocketed by 30.1% as of 1:59 p.m. ET. So what Farfetch reported an adjusted loss per share of $0.24 in the first quarter, which was down from a loss of $0.22 per share in the year-ago quarter but ahead of analysts' average estimate of a loss of $0.28 per share. The company reported first-quarter sales of $514.8 million, up 6% from the year-ago quarter but below Wall Street's consensus estimate of $560.3 million. "Our core business remains very strong, in spite of the macro events in China and ceasing operations in Russia, which impacted our performance and outlook," José Neves, Farfetch's founder and CEO, said in a press release. Investors didn't seem to mind the revenue miss, though. Instead, they focused their attention on the company posting a better-than-expected loss. Now what Even with Farfetch's massive share price jump today, its stock is still down 72% over the past six months. That drop comes as investors have grown increasingly worried that aggressive interest rate hikes by the Federal Reserve, aimed at reducing inflation, could end up slowing down the economy too much. Retail stocks could be pinched further if companies have to contend with a potential recession in addition to high inflation and rising material costs. All of which means that Farfetch shareholders should continue to keep a close eye on how the company's management responds to the shifting economic environment. 10 stocks we like better than Farfetch Limited When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Farfetch Limited wasn't one of them! That's right -- they think these 10 stocks are even better buys. *Stock Advisor returns as of April 27, 2022 Chris Neiger has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Farfetch Limited. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue