Fitbit (FIT) Shares Tank 30% After Reporting Q3 Earnings

Fitbit reported a mixed third quarter earnings report on Wednesday that left investors not enthused. The stock tanked 30% in after hours trading after reporting adjusted earnings of 19 cents per share. Although this was in line with what the Street expected, the company’s revenues of $504 million missed expectations of $507 million.

Looking ahead, Fitbit also posted weak guidance for the fourth quarter.

The company expects revenues between $725 million and $750 million for the holiday season. According to a Thomson Reuters consensus estimate, analysts had been calling for revenues of $985.1 million.

“We continue to grow and are profitable, however not at the pace previously expected,” Fitbit co-founder and CEO James Park said.

“We are focused on improving the utility of our products and integrating more deeply into the healthcare ecosystem and believe we can leverage our brand and community to unlock new avenues and adjacencies of growth.”

Since its IPO in June of 2015, shares of Fitbit have dropped more than 50%.

Disclaimer: We have no position in Fitbit Inc.(NYSE: FIT) and have not been compensated for this article.