This website uses cookies to collect usage information in order to offer a better browsing experience. By browsing this site or by clicking on the "ACCEPT COOKIES" button you accept our Cookie Policy.

Everquote Down After Bonitas Says It Expects Stock to Drop to About $5

The Fly

The Fly
Visit: The Fly

Bonitas expects EverQuote to drop about 75% or more from current prices

Shares of EverQuote (EVER) are down in late morning (Wed. Dec 11, 2019) trading after Bonitas Research made a short call on the online insurance marketplace, saying it expects the stock to return to its pre-2019 price levels of about $5 per share. 


Bonitas Research on Wednesday said it was shorting EverQuote and that it expects the stock to return to its pre-2019 price levels of about $5 per share, a decline of about 75% or more from current prices.

While EverQuote disclosed in its 2019 10-Q filing that it had over 11M+ average monthly consumer visits to its website, Bonitas said independent data from leading online analytics provider SimilarWeb showed that EverQuote’s website had just 4M visits in September, roughly 64% less than the reported 11M+ monthly consumer visits Everquote told investors. Additionally, Bonitas said SimilarWeb showed that traffic to EverQuote’s website was down 71% from January to September and was down 37% year-over-year in the third quarter, its lowest web traffic levels since November 2016. The firm said it believes SimilarWeb’s website analytics data is “credible.”

Bonitas said the significantly lower actual web traffic suggests that the company inflated its 2019 reported request growth to investors, and said it “would not be surprised” if time reveals that EverQuote either used a lower profit margin type of revenue and purchased more third party quote request from its verified partner network than claimed, resold each quote request more times than claimed or overstated web traffic and quote requests which suggests overstated unaudited revenues and profits.

The firm further stated that without additional information, “it is unclear to us where the truth ends and where the lies start” from EverQuote’s management about its growth in quote requests and revenues in 2019 while traffic to its website experienced a significant decline.


In late morning trading, shares of EverQuote are down nearly 5% to $34.27.

Originally Posted on December 11, 2019 – Everquote Down After Bonitas Says It Expects Stock to Drop to About $5

Disclosure: Interactive Brokers

Information posted on IBKR Traders’ Insight that is provided by third-parties and not by Interactive Brokers does NOT constitute a recommendation by Interactive Brokers that you should contract for the services of that third party. Third-party participants who contribute to IBKR Traders’ Insight are independent of Interactive Brokers and Interactive Brokers does not make any representations or warranties concerning the services offered, their past or future performance, or the accuracy of the information provided by the third party. Past performance is no guarantee of future results.

This material is from The Fly and is being posted with permission from The Fly. The views expressed in this material are solely those of the author and/or The Fly and IBKR is not endorsing or recommending any investment or trading discussed in the material. This material is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation to buy, sell or hold such security. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

Disclosure: Margin Trading

Trading on margin is only for sophisticated investors with high risk tolerance. You may lose more than your initial investment.

For additional information regarding margin loan rates, see

trading top