On February 17, 2022, Yandex N.V. (YNDX) stock became bearish in the premarket while it had been in an uptrend since February 15. Russian-Ukrainian tensions might be the reason for the recent stock movements in addition to the latest earnings.
In the previous trading session, the stock remained bullish with a gain of 2.25% at its closing price of $53.58. At the time of writing, the stock had declined by 5.41% in the premarket. Hence, YNDX was trading at $50.68 per share in the premarket, at the last check on Thursday.
The search engines and online services provider, Yandex N.V. is one of Russia’s biggest tech companies, based in the Netherlands. One could call Yandex Russia’s version of Google. Currently, the company has a market capitalization of $18.7 billion with 321.15 million shares outstanding.
What is Happening?
On February 15, the company posted its Q4 and fiscal 2021 financial results but those were not solely responsible for YNDX’s uptrend since then. The company’s earnings were a disaster and showed a huge decline. From a net income in 2020, the company’s earnings turned to a loss in 2021. Moreover, news regarding the Russia-Ukraine conflict also emerged on the same day. According to reports, Russia was said to have started calling some of its troops back from the Ukrainian border. In addition, willingness to resume negotiations was also expected. Thus, the possibility of peace instead of war in Eastern Europe resulted in relief for the investors.
YNDX being one of the biggest tech companies of Russia is surely set for a huge impact from the anticipated war.
Current YNDX Movement
While the positive new developments caused the stock to soar on February 15, it remained bullish on the next day as well. According to bbc.com (today), the Russian claims of removing troops from Ukraine’s border are nothing but false. As per the report, extra troops have arrived at the border in recent days. Thus, the bullishness of the stock on the previous developments has once again turned into bearishness.
YNDX’s 2021 Financials
The company reported revenue of RUB 110.3 billion for Q4 2021 and RUB 356.1 billion for the full year 2021. Comparatively, the revenues for Q4 and fiscal 2020 were RUB 71.5 billion and RUB 231.8 billion.
Furthermore, YNDX had a net loss of RUB 2.9 billion in Q4 2021. While the net loss was RUB 14.6 billion in fiscal 2021, fiscal 2020 saw a net income of RUB 20.3 billion.
Additionally, for fiscal 2022, the company expects revenues between RUB 490 billion and RUB 500 billion.
