What Happened:

Shares of financial and compliance reporting software company Workiva (NYSE:WK) fell 5.26% in the morning session after the company reported first-quarter results that narrowly beat analysts' revenue estimates. Earnings per share (EPS) and free cash flow also exceeded Consensus estimates. However, there was a deceleration in customer growth, and gross margin declined slightly. In addition, EPS and revenue guidance for the next quarter were roughly inline with Consensus estimates.

What is the market telling us:

Workiva's shares are quite volatile and over the last year have had 29 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful but not something that would fundamentally change its perception of the business.

Workiva is up 7.52% since the beginning of the year, but at $88.77 per share it is still trading 13.3% below its 52-week high of $102.41 from March 2023. Investors who bought $1,000 worth of Workiva's shares 5 years ago would now be looking at an investment worth $3,450.

Is now the time to buy Workiva? Access our full analysis of the earnings results here, it's free.