Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why Angie's List, Inc. Shares Soared Today

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Angie's List (NASDAQ: ANGI  ) jumped 13% Friday following an analyst upgrade.

So what: Citing upbeat commentary from Angie's List CEO William Oesterle at the Bank of America Merrill Lynch 2014 Global Technology Conference, Bank of America analyst Paul Bieber upgraded shares of the business reviews site from neutral to buy. Bieber also noted Angie's List is enjoying a positive reception to its new tiered pricing structure, and reiterated his existing $16 price target.

Now what: Even after today's pop, shares are still down around 25% year to date and currently trade at a rich 44 times next year's expected earnings. But that's not entirely uncommon for a company that is still focusing on top-line growth as it shuffles for market share at the expense of profits.

For perspective, I opted to watch Angie's List from the sidelines when its fourth-quarter results and forward guidance disappointed the market in February. And I'll admit it's certainly more interesting now at today's lower price point. But personally -- and keeping in mind Oesterle also sounded plenty optimistic back then -- I still prefer not diving in until I get a better feel for Angie's List's long-term sustainability.

Top dividend stocks for the next decade
In the meantime, there are plenty of other places to put your money to work and beat the market. The smartest investors know that dividend stocks simply crush their non-dividend-paying counterparts over the long term. That's beyond dispute. They also know that a well-constructed dividend portfolio creates wealth steadily, while still allowing you to sleep like a baby. Knowing how valuable such a portfolio might be, our top analysts put together a report on a group of high-yielding stocks that should be in any income investor's portfolio. To see our free report on these stocks, just click here now.

Read/Post Comments (3) | Recommend This Article (6)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On June 07, 2014, at 1:20 AM, eticket wrote:

    Anyone who would take the time to write about Angie whatever has no credibility with this author.

    It is an indication of the lows the Fool has fooled to.

    Give us a break.

  • Report this Comment On June 07, 2014, at 1:22 AM, eticket wrote:

    There is no truth to be found on the fool website.

    Only fools

  • Report this Comment On June 09, 2014, at 12:49 PM, youngblood58 wrote:


    A bit of pot calling the kettle black, no?

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2985700, ~/Articles/ArticleHandler.aspx, 8/28/2015 1:34:10 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Steve Symington

Technology and consumer goods specialist for the Fool. Steve looks for responsible businesses which positively shape our lives. Then, he invests accordingly. Enjoy his work? Connect with him on Twitter & Facebook so you don't miss a thing.

Today's Market

updated 4 hours ago Sponsored by:
DOW 16,654.77 369.26 2.27%
S&P 500 1,987.66 47.15 2.43%
NASD 4,812.71 115.17 2.45%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

8/27/2015 4:00 PM
ANGI $5.07 Up +0.25 +5.19%
Angie's List, Inc. CAPS Rating: *