CS Disco (LAW) Reports Q3 Loss, Lags Revenue Estimates

Company Performance - CS Disco reported a quarterly loss of $0.06 per share, better than the Zacks Consensus Estimate of a loss of$0.09, representing an earnings surprise of 33.33% [1] - The company posted revenues of $36.27 million for the quarter ended September 2024, slightly missing the Zacks Consensus Estimate by 0.04$34.94 million a year ago [2] - Over the last four quarters, CS Disco has surpassed consensus EPS estimates four times and topped consensus revenue estimates three times [2] Stock Movement and Outlook - CS Disco shares have declined approximately 20.2% since the beginning of the year, contrasting with the S&P 500's gain of 21.2% [3] - The company's future stock performance will largely depend on management's commentary during the earnings call and the trends in earnings estimate revisions [3][4] - The current consensus EPS estimate for the upcoming quarter is -$0.08 on revenues of$36.99 million, and -$0.32 on revenues of$144.81 million for the current fiscal year [7] Industry Context - The Internet - Software industry, to which CS Disco belongs, is currently ranked in the top 24% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - The performance of CS Disco's stock may also be influenced by the overall industry outlook and trends [8]