Is RSKD's Q1 forecast a sign of growth?

**Riskified's Q1 forecast indicates a cautious outlook with potential for growth.** Here's a detailed analysis: 1. **Revenue Growth**: Riskified is anticipating an 11% increase in revenue for Q1 2025, reaching approximately $79.06 million. This is a positive indicator of growth, albeit at a moderate pace. 2. **Comparative Analysis**: When compared to the previous year, Riskified's Q1 2024 revenue grew by 10.9% year-over-year to $76.41 million. This shows a consistent upward trend in revenue, although the growth rate has slightly decreased from 17.1% in Q1 2023. |code|Ticker|Name|Date|Basic EPS (Non-GAAP)|Total Revenue|market_code| |---|---|---|---|---|---|---| |RSKD|RSKD.N|Riskified|2024 Q1||7.6408E7|169| |RSKD|RSKD.N|Riskified|2024 Q2||7.873E7|169| |RSKD|RSKD.N|Riskified|2024 Q3||7.8849E7|169| |RSKD|RSKD.N|Riskified|2024 Q4||9.3529E7|169| 3. **Earnings Projection**: The estimated EPS for Q1 2025 is -$0.07, which suggests that the company may incur a loss for the period. This is a red flag and could be a sign of strategic investments or one-time expenses that may impact short-term profitability. 4. **Guidance and Outlook**: Riskified maintains its full-year revenue guidance for 2025, expecting revenues between $333 million and $346 million. This suggests confidence in its long-term growth trajectory, despite the potential softness in Q2. 5. **Strategic Positioning**: The company's strategic advancements, such as an 18% rise in non-GAAP gross profit and a positive adjusted EBITDA in Q1 2024, indicate a strong operational foundation that could support future growth. 6. **Challenges and Bearish Highlights**: Riskified anticipates a softer Q2 performance due to challenges in specific sectors, such as high-end fashion and travel. This suggests that the growth may be impacted by external factors, and Q1's performance may not be indicative of full-year growth. In conclusion, while Riskified's Q1 forecast shows potential for growth, particularly in revenue, the negative EPS projection and anticipated softer performance in Q2 raise concerns. The company's strategic positioning and long-term guidance offer some reassurance, suggesting that Riskified is investing in growth opportunities despite short-term challenges.