Cardlytics Inc. (CDLX) shares lost 7.79% to trade at $92.85 in after-market on Friday, May 7, 2021. Earlier, CDLX’s stock lost 0.57% to close Friday’s session at $100.69. CDLX shares have soared 106.71% over the last 12 months, and they have declined 26.79% in the past week. Over the past three months, the stock has shed 31.08%, while over the past six months, it has added 20.41%.
Let’s see is there any recent development behind its bashing on Friday?
Acquisition of Bridg
On May 05, 2021, Cardlytics completed the acquisition of Bridg. The acquisition was announced on April 13, 2021.
By acquiring Bridg, Cardlytics’advertising platform will get visibility into one in every two-card swipes in the U.S. Also, the combined capabilities are expected to power a more comprehensive view of consumer purchase behavior.
Cardlytics acquired Bridg for approximately $350 million in cash at closing. Cardlytics also has agreed to make two potential earnout payments in cash and stock on the first and second anniversary of the closing based on Bridg’s U.S. annualized revenue run rate.
Recent financial results announcement
On May 04, 2021, Cardlytics, Inc. released financial results for the first quarter ended March 31, 2021.
Q1 2021 financial highlights
- Q1 2021 revenue was $53.2 million compared to $45.5 million in the first quarter of 2020.
- Gross profit was $19.5 million in Q1 2021, compared to $16.0 million in Q1 2020.
- Cardlytics suffered a net loss of $24.9 million or $0.85 per diluted share in Q1 2021, compared to a net loss attributable to common stockholders of $13.5million, or $0.51per diluted share in the first quarter of 2020.
- Non-GAAP net loss was $9.9million, or $(0.34) per diluted share in Q1 2021, compared to a non-GAAP net loss of $7.0 million, or $0.26 per diluted share in the first quarter of 2020.
- Q1 2021 adjusted EBITDA, was a loss of $3.9 million compared to a loss of $(4.0) million in Q1 2020.
The financial outlook for future
The company is expecting a revenue of $85-$95 million in Q2 2021 and $380.0 – $420.0 million for FY 2021.
Acquisition of Dosh
On March 09, 2021, Cardlytics completed its first acquisition of Dosh, which was previously announced on March 1, 2021.
The transaction, worth $275 million in cash and stock and will provide advertisers with the ability to engage with consumers through some of the largest financial institutions and most notable neo-banks and fintech companies in the world.
Pricing of a public offering of CDLX common stock
On March 02, 2021, Cardlytics, Inc announced the pricing of an underwritten public offering of 3,850,000 shares of its common stock, at a price to the public of $130.00 per share.
The company will get gross proceeds of approximately $500.5 million from the offer.
Well, there is no recent activity which could be the reason behind its loss. The recent past actives which we discussed above are all positive and CDLX stock price should go up in the coming days.