Q1 Rundown: EverQuote (NASDAQ:EVER) Vs Other Online Marketplace Stocks

As the craze of earnings season draws to a close, here's a look back at some of the most exciting (and some less so) results from Q1. Today, we are looking at online marketplace stocks, starting with EverQuote (NASDAQ:EVER).

Marketplaces have existed for centuries. Where once it was a main street in a small town or a mall in the suburbs, sellers benefitted from proximity to one another because they could draw customers by offering convenience and selection. Today, a myriad of online marketplaces fulfill that same role, aggregating large customer bases, which attracts commission-paying sellers, generating flywheel scale effects that feed back into further customer acquisition.

The 15 online marketplace stocks we track reported a mixed Q1; on average, revenues beat analyst consensus estimates by 4.3%. while next quarter's revenue guidance was 2.4% above consensus. Valuation multiples for many growth stocks have not yet reverted to their early 2021 highs, but the market was optimistic at the end of 2023 due to cooling inflation. The start of 2024 has been a different story as mixed signals have led to market volatility, and online marketplace stocks have held roughly steady amidst all this, with share prices up 0.5% on average since the previous earnings results.

EverQuote (NASDAQ:EVER)

Aiming to simplify a once complicated process, EverQuote (NASDAQ:EVER) is an online insurance marketplace where consumers can compare and purchase various types of insurance from different providers

EverQuote reported revenues of $91.07 million, down 16.6% year on year, topping analysts' expectations by 13.4%. It was a very strong quarter for the company, with optimistic revenue guidance for the next quarter.

“We had a strong start to 2024, delivering first quarter results that exceeded the high end of our guidance range for revenue, Variable Marketing Margin, or VMM, and Adjusted EBITDA,” said Jayme Mendal, CEO of EverQuote.

EverQuote delivered the slowest revenue growth of the whole group. The stock is up 1.1% since the results and currently trades at $21.59.

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

Best Q1: MercadoLibre (NASDAQ:MELI)

Originally started as an online auction platform, MercadoLibre (NASDAQ:MELI) is a one-stop e-commerce marketplace and fintech platform in Latin America.

MercadoLibre reported revenues of $4.33 billion, up 36% year on year, outperforming analysts' expectations by 12.1%. It was a stunning quarter for the company: MercadoLibre blew past analysts' revenue and EPS estimates this quarter, driven by better-than-expected GMV on its e-commerce platform.

The stock is up 6.3% since the results and currently trades at $1,601.78.

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

CarGurus (NASDAQ:CARG)

Bringing transparency to a sometimes opaque process, CarGurus (NASDAQ:CARG) is a digital marketplace where auto dealers can connect with potential customers and where car buyers can browse, purchase, and obtain financing.

CarGurus reported revenues of $215.8 million, down 7% year on year, falling short of analysts' expectations by 0.5%. It was a weak quarter for the company, with slow revenue growth and underwhelming revenue guidance for the next quarter.

The stock is up 16.7% since the results and currently trades at $25.98.

Read our full analysis of CarGurus's results here.

Shutterstock (NYSE:SSTK)

Originally featuring a library that included many of founder Jon Oringer’s photos, Shutterstock (NYSE:SSTK) is now a digital platform where customers can license and use hundreds of millions of pieces of content.

Shutterstock reported revenues of $214.3 million, down 0.4% year on year, surpassing analysts' expectations by 2.8%. It was a weaker quarter for the company, with a decline in its users and slow revenue growth.

Shutterstock delivered the highest full-year guidance raise among its peers. The company reported 499,000 users, down 10.7% year on year. The stock is down 9% since the results and currently trades at $38.62.

Read our full, actionable report on Shutterstock here, it's free.

eHealth (NASDAQ:EHTH)

Aiming to address a high-stakes and often confusing decision, eHealth (NASDAQ:EHTH) guides consumers through health insurance enrollment and related topics.

eHealth reported revenues of $92.96 million, up 26.1% year on year, surpassing analysts' expectations by 15.3%. It was a mixed quarter for the company, with solid revenue growth but a decline in its users.

eHealth delivered the biggest analyst estimates beat among its peers. The company reported 1.18 billion users, down 4.7% year on year. The stock is up 7.3% since the results and currently trades at $5.14.

Read our full, actionable report on eHealth here, it's free.

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