Why Shares of Opera Slumped Today

Shares of Opera (NASDAQ: OPRA) sank on Wednesday after the software and fintech company reported its first-quarter results. Revenue nearly tripled from the prior-year period, but the company missed analyst estimates for earnings and declined to provide new guidance for the full year. The stock was down about 12.9% at 12:40 p.m. EDT.

Opera reported first-quarter revenue of $138.2 million, up 177% year over year and $3.25 million higher than the average analyst estimate. Search revenue was down 4.5% to $19.7 million, and advertising revenue was up 18.5% to $16.8 million. Search was impacted by monetization declines due to the pandemic, while advertising benefited from an increase in PC and smartphone users.

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