Fiverr International Ltd. (NYSE: FVRR) is an online freelance marketplace that connects buyers to sellers for a wide range of services. The company’s name comes from the $5 basic asking price for all tasks. Fiverr was founded in Tel Aviv in 2010. It accepts buyers and sellers from all over the world.
Stock Performance
Fiverr (FVRR) stock’s closing price on Friday, December 15, 2023, was $28.21, losing 2.39% of its value. The stock is trading at a 91.58% discount on the all-time high price of $336 per share, which it achieved in February 2021. Fiverr has had a mixed performance throughout 2023. The stock price is down 1.60% year-to-date. However, in the past month, the stock has gained 17.64%.
Why Fiverr Stock Has Been Rising Recently
The recent upward trend in FVRR stock can be attributed to the company’s Q323 earnings report on November 9, 2023. Fiverr reported revenue of $92.53 million, a year-over-year increase of 12.1%. Additionally, the company reported a better-than-expected EPS of $0.55, beating analysts’ estimates by 22.15%.
In its outlook section, the company predicted revenue of $88.1 – $95.1 million for Q423 and a $358.0 – $365.0 million revenue for FY23. The FY revenue guidance would represent a Y/Y increase of 6% – 8%.
FVRR Stock Forecast
Fiverr stock trades at a significant discount on its 52-week high of $47.66. However, the stock price is above the 50-day average of $24.21 and close to its 200-day moving average of $28.44 per share.
Based on its recent performance, stock analysts give the stock a strong buy rating. Analysts predict a high of $50 for stock and a low of $26. Their average prediction for FVRR stock is $40.60, a 43.2% upside based on its most recent closing price.
Should You Buy FVRR Stock?
Many analysts predicted that as the global economy opened up after COVID-19, Fiverr stock would start plunging. That sentiment saw FVRR stock drop drastically towards the end of COVID lockdowns in February.
Fiverr’s revenue has continued growing since COVID-19, albeit slower. More importantly, Fiverr has remained cash-flow positive since the highs of the pandemic. In the past four quarters, the company has reported a positive net profit margin, which increased 123.78% Y/Y in the last reported quarter.
As the global economy sputters back to life, with the Fed signaling an end to rate hikes, it could be good news for Fiverr and freelancers. It will mean more jobs for them and more revenue for the platform as existing businesses grow and new ones open up. Consequently, analysts’ strong buy rating given to FVRR stock is correct. You should consider adding FVRR stock to your portfolio.
Disclaimer: This website provides information about cryptocurrency and stock market investments. This website does not provide investment advice and should not be used as a replacement for investment advice from a qualified professional. This website is for educational and informational purposes only. The owner of this website is not a registered investment advisor and does not offer investment advice. You, the reader / viewer, bear responsibility for your own investment decisions and should seek the advice of a qualified securities professional before making any investment.