SmileDirectClub dives after Q3 results, outlook disappoint

SmileDirectClub

08/11/2021 21:30

** SmileDirectClub Inc  SDC.O  shares drop 25% in extended
trading after teeth alignment firm's results and outlook fall
short of expectations
    ** Q3 rev decreases 18% yr/yr to $138 mln vs Street
consensus of $181.9 mln, while adj loss/sh of 23 cents misses by
10 cents, per Refinitiv data  urn:newsml:reuters.com:*:nGNXWJb9w
    ** FY 2021 rev forecast of $630-$650 mln is below avg
analysts' estimate of $757.2 mln
    ** “The third quarter results do not fully reflect the
investments we have made to grow our brand, as the
macro-economic environment for our core demographic, along with
Apple privacy changes earlier this year have presented
significant challenges to digitally native brands such as
SmileDirectClub" - CFO Kyle Wailes
    ** SDC shares closed regular session on Mon flat at $5.25,
off 56% YTD
    ** 12 analysts cover SDC on avg rating stock 'hold'; median
PT of $6 down from $10.25 on Aug 8 - Refinitiv

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))