- The thinning liquidity, weak Q1 2026 guidance, and declining near-term forecasts, coupled with interim losses and the lack of catalysts, are key concerns for the firm, the analyst said.
- On Thursday, FiscalNote reported $22.2 million in revenues for Q4 2025, below consensus estimates of $22.72 million.
- The data and analytics company said that it plans to reduce about 25% of its workforce in the upcoming year to improve its cash position.
Shares of FiscalNote Holdings (NOTE) plunged by over 16% on Friday amid fourth-quarter (Q4) 2025 earnings results on Thursday that disappointed Wall Street and retail investors.
The data and analytics company, which received early seed money from American businessman Mark Cuban, posted revenue and earnings that missed analysts’ expectations amid subscription declines and higher operating expenses.
Meanwhile, Roth Capital lowered the price target on FiscalNote to $3 from $5, and kept a ‘Buy’ rating on the shares after the lackluster results, according to TheFly.
Analyst Rationale
Roth Capital noted FiscalNote's Q4 revenue miss, while highlighting that the company’s adjusted earnings before interest, taxes, depreciation, and amortization of $2.5 million exceeded its $2 million forecast.
Despite a workforce reduction to improve profitability, the company’s free cash flow is not expected to improve until the first-quarter (Q1) of 2027.
The thinning liquidity, weak Q1 2026 guidance, and declining near-term forecasts, coupled with interim losses and the lack of catalysts are key concerns for the firm, the analyst said.
Earnings Snapshot
FiscalNote reported $22.2 million in revenues for Q4 2025, below consensus estimates of $22.72 million, according to data from Fiscal.ai. Meanwhile, the company posted a net loss per share of $1.45, far ahead of Street expectations of $0.58.
The company’s subscription revenue for the quarter declined $5.9 million, or 22%, compared to the prior year. This was due to FiscalNote's announced divestitures of Aicel Technologies, Oxford Analytica, Dragonfly Intelligence, and TimeBase, it said.
The AI-powered company said that it plans to reduce about 25% of its workforce in the upcoming year to improve its cash position. Meanwhile, for the upcoming quarter, the company forecast revenues of $20 million to $21 million, below Street projections of $23.23 million.
How Did Stocktwits Users React?
On Stocktwits, retail sentiment around NOTE stock dipped from ‘bearish’ to ‘extremely bearish’ territory over the past 24 hours amid ‘low’ message volumes.
One user said that the company would delist and file for bankruptcy soon.
Shares of NOTE have fallen more than 51% in the past year.
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