Autodesk (ADSK) Stock: Why The Price Dropped Today

By Amit Chowdhry ● Nov 24, 2021
  • The stock price of Autodesk, Inc. (NASDAQ: ADSK) fell by over 10% pre-market today. This is why it happened.

The stock price of Autodesk, Inc. (NASDAQ: ADSK) fell by over 10% pre-market today. Investors responded negatively to the company’s billings outlook disclosed in the results of the third quarter of fiscal 2022.

These are the Q3 fiscal 2022 highlights:

— Total revenue increased 18 percent to $1,126 million;

— GAAP operating margin was 17 percent, down 1 percentage point;

— Non-GAAP operating margin was up 2 percentage points to 32 percent;

— GAAP diluted EPS was $0.61; Non-GAAP diluted EPS was $1.33;

— Cash flow from operating activities was $270 million; free cash flow was $257 million.

— Billings came in a bit lower as the company said it now expects billings to range from $4.74 billion to $4.8 billion, up 14% to 16%. Previously, the company set a range of $4.86 billion to roughly $5 billion.

KEY QUOTES:

“Our customers continue to embrace and prioritize digital transformation to drive growth, efficiency and sustainability, generating strong demand for Autodesk’s platform. We are rapidly innovating and optimizing our business to enable more customers to experience our ecosystem, and realize the opportunities ahead.”

— Andrew Anagnost, Autodesk president and CEO

“Demand was robust in Q3, driving strong new subscriptions growth and renewal rates. We expect it to remain so in Q4. However, supply chain disruption and resulting inflationary pressures, a global labor shortage, and the ebb and flow of COVID, are impacting the pace of our recovery and outlook.”

— Debbie Clifford, Autodesk CFO

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.