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What: Shares of Dice Holdings
So what: The online job recruitment company reported mixed results this morning, but investors seem to be warming up to the news. Fourth-quarter earnings results met analyst expectations, while revenue of $37.9 million slightly beat those expectations. Things get trickier in Dice Holdings' first-quarter and full-year guidance; the company predicted higher revenue for both periods, yet earnings estimates fell shy of analyst expectations in both cases.
Now what: For now at least, investors seem willing to forgive a profit-forecasting flub, as long as Dice Holdings enjoys strong growth in job recruitment. Year-over-year revenue exhibited phenomenal growth of 41.9%, so today's move does have some merit. Admittedly, at 61 times trailing earnings after today's move, I'm not nearly as excited about the company's potential for price appreciation moving forward, especially after pricing a secondary offering in December. Dice Holdings is prospering despite high unemployment rates, but its price-to-book valuation simply appears too lofty for my tastes when compared to Monster Worldwide
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