Fiscal Q4 2026 global comparable sales rose 7.2% against ~6% expected. US comps rose 7.7%, with transactions up 2.4% after a 0.9% fall a year earlier, and non-GAAP EPS of $0.80 beat $0.71. Revenue of $9.14B (−4%, after China moved to a joint venture) missed ~$9.2B, and International comps rose only 0.9%. FY2027 guidance of $3.15–3.25 non-GAAP EPS sits just above the ~$3.14 consensus, with ~$1B of buybacks. The stock had already risen 12% in 30 days to $105.51, 2.8% below its high, and slipped ~2% after hours. Over the next 10–30 days the holiday launch, Red Cup Day (17 Nov) and post-print estimate changes decide whether it breaks out or gives back the run-up.
Q3 2026 revenue rose 53% to $895M, ahead of the ~$875–886M consensus. Diluted EPS of $1.40 beat $1.33 and the adjusted EBITDA margin reached 45%. But search referral traffic fell "meaningfully", accelerating into October, US daily uniques fell 2% year on year, and Reddit said Q4 daily users could drop by a low-double-digit percentage. The Q4 revenue guide ($1.00–1.03B) sits below the ~$1.04–1.05B consensus. The stock fell from $129.60 to ~$106 after hours. Over the next 10–30 days traffic data and target cuts will decide whether the market looks through a user problem to a pricing story that is still working.
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