Instacart's Q3 results exceeded expectations, with 11% y/y GTV growth and a 39% y/y surge in adjusted EBITDA, despite a post-earnings dip. The company's guidance for Q4 GTV growth is conservative; historical trends suggest Instacart will likely surpass these estimates. Instacart's large TAM, strong partnerships, ad revenue growth, and commitment to profitability make it a compelling buy at current valuations.
Shares of Instacart, trading under the name of its parent, Maplebear (CART), tumbled Wednesday, after the grocery delivery service issued soft guidance, noting that one of its partners was hit with an internet outage.
Maplebear Inc. (NASDAQ:CART ) Q3 2024 Earnings Conference Call November 12, 2024 5:00 PM ET Company Participants Rebecca Yoshiyama - Vice President, Investor Relations, Capital Markets and Security Fidji Simo - Chief Executive Officer Emily Reuter - Chief Financial Officer Conference Call Participants Eric Sheridan - Goldman Sachs Ron Josey - Citi Sebastian Colin - Baird Ross Sandler - Barclays Justin Post - Bank of America Jason Helfstein - Oppenheimer Brian Nowak - Morgan Stanley Doug Anmuth - JPMorgan Nikhil Devnani - Bernstein Shweta Khajuria - Wolfe Research Andrew Boone - JMP Securities Ross Compton - Macquarie Operator Good day and thank you for standing by. Welcome to Instacart's Third Quarter 2024 Financial Results Conference Call.
Instacart's expansion of retailer integrations and the implementation of advanced technology have streamlined the shopping experience, providing convenience, savings and higher engagement, CEO Fidji Simo noted Tuesday (Nov. 12) during the company's third-quarter earnings call.
The headline numbers for Maplebear (CART) give insight into how the company performed in the quarter ended September 2024, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Maplebear (CART) came out with quarterly earnings of $0.42 per share, beating the Zacks Consensus Estimate of $0.22 per share. This compares to loss of $20.86 per share a year ago.
Instacart says sales are up 12%, but investors worry about weaker outlook and the prospect of cooling demand.
Maplebear (CART), Instacart's parent company, reports earnings after the closing bell. Pressure is on the stock after more than doubling year-to-date, but Andy Swan with @LikeFolio is impressed with its grip on the online grocery space.
Maplebear (CART) has been upgraded to a Zacks Rank #2 (Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
Here is how Maplebear (CART) and Brinker International (EAT) have performed compared to their sector so far this year.
Maplebear (CART) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Instacart's strong retailer relationships and customer data integration provide competitive advantages, but revenue growth is slowing, and margins are under pressure due to competition and rising costs. Advertising revenue is growing and now constitutes 28% of total revenue, but the overall revenue growth rate is expected to be flat or declining. Amazon's entry into the online grocery market poses a significant threat, potentially reducing Instacart's revenue growth rate and margins.