Rosetta Stone Reduces Reliance on Non-GAAP Metrics

Rosetta Stone (NYSE: RST) was affirmed at a rating of T2, as management improved its financial transparency and reduced its use of non-GAAP measures. However, management failed to provide adequate information around its international operations, which is where the preponderance of its growth is expected. The company’s outlook is positive based on improved trending within its conveyance of financial information.