Fiverr International (NYSE:FVRR) Posts Quarterly Earnings Results, Misses Estimates By $0.02 EPS

Fiverr International (NYSE:FVRR) announced its earnings results on Wednesday. The company reported $0.50 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.52 by ($0.02), FiscalAI reports. The firm had revenue of $97.78 million during the quarter, compared to the consensus estimate of $97.81 million. Fiverr International had a return on equity of 16.40% and a net margin of 7.18%.The firm’s revenue was down 10.0% on a year-over-year basis. During the same period in the prior year, the company posted $0.09 EPS.

Here are the key takeaways from Fiverr International’s conference call:

• Q2 revenue and profitability declined sharply: Revenue fell 10% year over year to $97.8 million, while adjusted EBITDA declined 18.3% to $17.5 million, with margin down 180 basis points to 17.9%. The decline was driven by continued compression in low-value transactional work.
• Near-term conditions worsened and guidance was reduced: Fiverr reported decelerating marketplace traffic and demand that carried into Q3, attributing some pressure to LLM updates and AI-integrated search experiences. Q3 revenue is now expected to decline 18%–26% year over year, while full-year revenue is projected to fall 14%–17%.
• Higher-value work continued to grow: Projects valued at $1,000 or more represented 15% of completed-project gross order value and grew 13% year over year on a trailing 12-month basis. Programming and technology projects above $1,000 grew 34%, while graphics and design grew 25%, with strong demand also reported for AI video, voice agents, mobile apps, and websites.
• Management cited encouraging transformation metrics: Early testing showed skill extraction resolving up to 58% of conversation mismatches, a new matching model reducing cancellations by 7%, and semantic onboarding increasing new-customer conversion by 8%. Fiverr also said its fulfillment layer reached 91% verified precision across more than 84% of tested completed projects.
• The transition will take longer and capital allocation remains conservative: Management now expects meaningful financial benefits from its shift toward high-value, end-to-end projects to take at least six quarters, beginning in Q3. Fiverr ended the quarter with $308.5 million in cash and investments, plans to protect R&D spending, and said it is not currently pursuing inorganic investments.

Fiverr International Stock Down 2.5%

NYSE:FVRR traded down $0.23 during trading hours on Friday, reaching $8.95. 609,729 shares of the company traded hands, compared to its average volume of 1,098,072. The business’s 50-day moving average price is $10.64 and its two-hundred day moving average price is $11.69. The stock has a market capitalization of $321.68 million, a P/E ratio of 11.06 and a beta of 1.39. Fiverr International has a 1 year low of $8.75 and a 1 year high of $28.00. The company has a current ratio of 1.85, a quick ratio of 1.85 and a debt-to-equity ratio of 0.04.

Key Fiverr International News

Here are the key news stories impacting Fiverr International this week:

• Positive Sentiment: Despite the weaker outlook, Fiverr remains profitable and is attempting to shift toward larger, more complex projects that require human expertise. Spending per active buyer reportedly increased to approximately $368 annually, which could support monetization if the strategic transition succeeds. Fiverr International stock report
• Positive Sentiment: Goldman Sachs downgraded Fiverr from Buy to Neutral but assigned a $13 price target, implying substantial potential appreciation from recent levels. Citigroup’s $11.50 target also remains above the market price, suggesting analysts see some recovery potential if the transformation gains traction. Goldman Sachs rating report Citigroup price target report
• Neutral Sentiment: Fiverr is forecasting 2026 revenue of $356 million to $372 million and expects a six-quarter transformation period. This provides a strategic roadmap, but also indicates that management does not expect a rapid recovery in growth. Fiverr 2026 revenue outlook
• Negative Sentiment: The principal catalyst for the selloff is Fiverr’s reduced 2026 revenue outlook, which management attributed to AI-driven demand and traffic headwinds. Reports indicate quarterly revenue declined 10% and annual active buyers fell 21.9%, raising concerns about sustained marketplace weakness. Fiverr outlook cut report
• Negative Sentiment: Analyst sentiment has deteriorated: Goldman Sachs moved to Neutral, Oppenheimer cut Fiverr to Market Perform, Scotiabank moved to Sector Perform with a $10 target, and RBC reduced its target to $9. These actions reinforce concerns over a prolonged transition and limited near-term upside. Analyst rating changes

Analyst Ratings Changes

Several equities research analysts recently weighed in on the company. Citigroup reduced their price target on Fiverr International from $15.00 to $11.50 and set a “neutral” rating on the stock in a research note on Thursday. Royal Bank Of Canada dropped their target price on shares of Fiverr International from $16.00 to $9.00 and set a “sector perform” rating on the stock in a report on Thursday. Wall Street Zen raised shares of Fiverr International from a “hold” rating to a “buy” rating in a research report on Saturday, June 6th. UBS Group decreased their price target on shares of Fiverr International from $13.00 to $10.00 and set a “neutral” rating for the company in a research note on Thursday. Finally, The Goldman Sachs Group reissued a “neutral” rating and set a $13.00 price target (down from $26.00) on shares of Fiverr International in a research report on Thursday. Eleven research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Reduce” and an average price target of $16.25.

Hedge Funds Weigh In On Fiverr International

Institutional investors and hedge funds have recently modified their holdings of the stock. Russell Investments Group Ltd. purchased a new position in shares of Fiverr International in the 4th quarter worth about $32,000. Northwestern Mutual Wealth Management Co. purchased a new stake in Fiverr International during the 4th quarter valued at about $43,000. Caitong International Asset Management Co. Ltd grew its position in Fiverr International by 586.8% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 2,493 shares of the company’s stock valued at $49,000 after purchasing an additional 2,130 shares during the last quarter. Tower Research Capital LLC TRC increased its stake in Fiverr International by 4,392.6% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,055 shares of the company’s stock valued at $90,000 after purchasing an additional 2,987 shares in the last quarter. Finally, Dark Forest Capital Management LP bought a new stake in Fiverr International during the 3rd quarter valued at about $220,000. 59.00% of the stock is currently owned by institutional investors.

About Fiverr International

Fiverr International Ltd. operates an online marketplace that connects businesses and individuals with freelance talent across a wide range of professional services. Through its platform, Fiverr enables clients to procure work such as graphic design, digital marketing, writing and translation, video and animation, programming and tech, and business services. By offering a streamlined interface for ordering and delivering gig-based work, the company seeks to simplify the procurement of specialized skills on a project-by-project basis.

Founded in 2010 and headquartered in Tel Aviv, Israel, Fiverr serves clients and freelancers around the globe, with a particularly strong presence in North America and Europe.