Angie’s List Worth Nearly $1 Billion as Shares Soar 25 Percent
Angie’s List, the consumer-reviews site that members pay for, is seeing its shares soar and its market cap approach $1 billion this morning, after announcing that it beat analyst expectations in the fourth quarter.
The company’s stock was up 25 percent this morning, or $3.36 a share, to trade at $17 — that’s 30 percent higher than its public offering debut in late 2011.
The Indianapolis-based company recorded a profit of $2.4 million, or four cents a share, on revenue of $46.2 million in the fourth quarter. Analysts surveyed by FactSet had expected Angie’s List to lose two cents a share on $46 million in revenue.
During the quarter, the company was able to increase total paid memberships by 66 percent, while reducing the marketing cost per paid membership by 24 percent.
In the first quarter, the company is forecasting revenue of up to $52 million, and marketing expenses in the range of $19 million to $20 million.