Core Insights - Bill Holdings is a SaaS company that provides a platform for small and midsize businesses to manage financial operations, leveraging AI technology for efficiency [1] - The company experienced significant revenue growth during the COVID-19 pandemic, but growth has since slowed, with the stock currently around 85% below its all-time high despite a revenue growth rate above 20% [2] - Bill's net dollar-based retention rate is 92%, indicating a decline in customer spending, which is lower than most other SaaS companies [3] Financial Performance - Bill Holdings reported a 22% year-over-year revenue growth in fiscal 2024, with an adjusted gross margin of 85% and an adjusted operating margin of 17% [4] - The company serves over 480,000 businesses, highlighting its substantial market presence [4] Market Opportunity - There are 34 million small and midsize businesses in the U.S. and over 72 million globally, indicating a large market opportunity for Bill Holdings [5] - The demand for automation in complex processes continues to grow, and the company is investing in innovation to enhance its platform [5] Stock Volatility - Bill's stock has shown significant volatility, trading between approximately $27 and $349 per share over the past five years, suggesting a turbulent future [6] - If the company can maintain rapid growth and capture market share, it has the potential for a bright future [6]

Core Insights - BILL Holdings' shares have declined 20.4% in the past month, underperforming the broader Zacks Computer and Technology sector and the Zacks Internet - Software industry [1] - The company is facing a sluggish revenue forecast for Q3 fiscal 2025, impacted by trade policy changes and rising operating expenses [2] - A shift in payment volumes towards lower gross interchange categories has pressured BILL's profitability [3][4] Revenue and Earnings Estimates - For Q3 fiscal 2025, BILL expects revenues between $352.5 million and $357.5 million, indicating a year-over-year growth of 9-11%, a slowdown from the previous quarter's projection of 12-13% [5] - Non-GAAP earnings are projected between 35 cents and 38 cents per share, with a consensus mark of 38 cents, reflecting a year-over-year decline of 36.67% [6] - For fiscal 2025, revenues are expected between $1.45 billion and $1.47 billion, implying 13-14% year-over-year growth [6] Market Position and Growth Strategies - BILL Holdings has a strong long-term outlook, driven by an expanding customer base and strategic fintech collaborations [8] - The company processed approximately $85 billion in payment volume across 30 million transactions in Q2 fiscal 2025, indicating strong customer engagement [11] - BILL is enhancing its platform with international payment options and an embedded 1099 filing service to simplify tax compliance for SMBs [10][13] Strategic Initiatives - The company is actively investing in its go-to-market strategy to expand its presence in the accounting firm market, targeting over 40,000 CPA firms in the U.S. [12] - BILL's focus on automation, AI-driven financial solutions, and digital payment capabilities is enhancing its platform's value [14]

Core Viewpoint - Bill.com has shifted its strategy from prioritizing growth to focusing on profitability, leading to a significant decline in stock value despite a large addressable market opportunity [3][11]. Company Overview - Bill.com provides software products aimed at helping small and mid-sized businesses manage accounts payable, accounts receivable, and expense management workflows more efficiently [1]. - The company went public in December 2019 and initially experienced rapid revenue growth, with stock prices soaring from $22 to $334, a gain of over 1,400% [2]. Business Strategy - The company has transitioned to a profitability-focused strategy, resulting in an 84% decline in stock price from its peak [3]. - Bill.com has a substantial addressable market, with over 72 million small and medium-sized businesses globally, processing transactions worth over $136 trillion annually [13]. Product Offerings - Bill.com's flagship product is a cloud-based digital inbox that streamlines invoice management, reducing bookkeeping time by 70% for some users [4]. - The acquisition of Invoice2go in 2021 allows businesses to generate invoices and track payments, while the acquisition of Divvy (now Spend and Expense) helps track expenses in real-time [5][6]. Financial Performance - In the fiscal 2025 second quarter, Bill.com reported total revenue of $362.6 million, exceeding forecasts and prompting an increase in full-year revenue guidance, but representing only 14% year-over-year growth, the slowest since going public [8]. - The company has reduced operating expenses by 3.1% year-over-year, contributing to a net income of $33.5 million in Q4, a significant improvement from a net loss of $40.4 million in the previous year [9][10]. Valuation Metrics - Bill.com stock currently trades at a price-to-sales (P/S) ratio of 4.1, close to its lowest level since going public and an 85% discount to its long-term average of 28.8 [12][13]. - The current valuation suggests that Bill.com could be an attractive investment for those willing to hold for the next three to five years, as the company is expected to continue growing within its addressable market [14].

BILL Holdings (BILL) shares have plunged 36.2% since the company reported second-quarter fiscal 2025 results on Feb. 6. The decline was due to the company’s weaker-than-expected revenue guidance and challenges from FX volatility impacting monetization.Click here to check the details of BILL’s second-quarter fiscal 2025 results.BILL shares have outperformed the Zacks Computer & Technology sector and its Zacks Internet - Software industry peer Intuit (INTU) in the trailing six months. While BILL’s shares have ...

A downtrend has been apparent in BILL Holdings (BILL) lately with too much selling pressure. The stock has declined 25.3% over the past four weeks. However, given the fact that it is now in oversold territory and Wall Street analysts are majorly in agreement about the company's ability to report better earnings than they predicted earlier, the stock could be due for a turnaround.How to Determine if a Stock is OversoldWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, f ...

Group 1: Momentum Investing Overview - Momentum investing involves following a stock's recent trend, with the aim of buying high and selling higher, capitalizing on established price movements [1] - The Zacks Momentum Style Score helps define momentum characteristics, with BILL Holdings currently holding a Momentum Style Score of B [2][3] Group 2: BILL Holdings Performance Metrics - BILL Holdings has a Zacks Rank of 2 (Buy), indicating strong potential for outperformance in the market [3] - Over the past week, BILL shares increased by 3.08%, outperforming the Zacks Internet - Software industry, which rose by 0.43% [5] - In the last month, BILL shares rose by 16.8%, compared to the industry's 6.15% [5] - Over the past quarter, BILL shares increased by 11.54%, and over the last year, they rose by 27.19%, while the S&P 500 only moved 2.97% and 24.31%, respectively [6] Group 3: Trading Volume and Earnings Outlook - BILL's average 20-day trading volume is 2,205,951 shares, indicating a bullish sign with rising stock prices [7] - In the past two months, 2 earnings estimates for BILL moved higher, increasing the consensus estimate from $1.77 to $1.78 [9] - For the next fiscal year, 3 earnings estimates have also moved upwards, with no downward revisions [9] Group 4: Conclusion - Given the positive performance metrics and earnings outlook, BILL Holdings is positioned as a promising investment opportunity with a Momentum Score of B [11]

Core Insights - BILL Holdings reported earnings of 56 cents per share for Q2 fiscal 2025, exceeding the Zacks Consensus Estimate by 19.15% and showing a year-over-year increase of 9.8% [1] - Revenues reached $362.6 million, a 13.8% increase year over year, surpassing the consensus estimate by 0.83% [1] - The company processed a total payment volume (TPV) of $84.5 billion, reflecting a 12.8% year-over-year growth [2] Revenue Breakdown - Core revenues, which include subscription and transaction fees, amounted to $319.6 million, with subscription fees at $67.7 million (up 7% year over year) and transaction fees at $251.9 million (up 19% year over year) [5] - Revenues from the Integrated Platform were $300.7 million, increasing 16.2% year over year, contributing 94.1% to core revenues [6] - Revenues from Embedded and Other Solutions were $18.9 million, up 16% year over year, contributing 5.9% to core revenues [6] Customer and Transaction Metrics - BILL's solutions served 481.3 thousand businesses, up from 473.5 thousand in the prior year, with 198.4 thousand customers in the Integrated Platform (up 13.5%) and 282.9 thousand in Embedded and Other Solutions (down 5.3%) [3] - The company processed 30 million transactions in Q2, marking a 17.2% year-over-year increase [3] Financial Performance - Non-GAAP gross profit was $308.9 million, a 12.9% increase year over year, with a gross margin of 85.2%, down 70 basis points [8] - Non-GAAP operating income reached $62.8 million, representing a 41.8% year-over-year growth, with an operating margin expansion of 340 basis points to 17.3% [9] Cash Flow and Share Repurchase - As of December 31, 2024, cash, cash equivalents, and short-term investments totaled $2.21 billion, up from $1.47 billion as of September 30, 2024 [10] - The cash flow from operations was $78.7 million in Q2, compared to $88.6 million in Q1 [10] - The company repurchased 2.3 million shares for $200 million during the fiscal second quarter [11] Future Guidance - For Q3 fiscal 2025, BILL expects revenues between $352.5 million and $357.5 million, indicating a year-over-year growth of 9-11% [12] - For the full fiscal 2025, revenues are projected between $1.45 billion and $1.47 billion, implying a 13-14% year-over-year growth [12]

Group 1 - The Q4 earnings season has led to sharp emotional reactions from investors due to disappointing earnings reports, indicating nervousness in the market as it approaches all-time high valuations [1] - Investors are increasingly concerned that stocks need to demonstrate strong performance to justify their high valuations [1] - Gary Alexander, with extensive experience in technology and startups, provides insights into current industry themes and has been a contributor to Seeking Alpha since 2017 [1]

BILL NYSE BILL Investor Deck February 2025 Safe harbor This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are statements other than statements of historical facts, and statements in the future tense. Forward-looking statements are based on our expectations as of the date of this presentation and are subject to a number of risks, uncertainties and assumptions, many of which involve factors or circumstances that are beyond ou ...

BILL Holdings, Inc. (NYSE:BILL) Q2 2025 Earnings Conference Call February 6, 2025 4:30 PM ET Company Participants Karen Sansot - Vice President, Investor Relations Rene Lacerte - Chairman, Chief Executive Officer and Founder John Rettig - President and Chief Financial Officer Conference Call Participants Chris Quintero - Morgan Stanley Tien-Tsin Huang - JPMorgan Andrew Schmidt - Citigroup Kenneth Suchoski - Autonomous Darrin Peller - Wolfe Research Samad Samana - Jefferies Bryan Keane - Deutsche Bank Alexan ...