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What: Shares of vacation services provider Interval Leisure Group
So what: As put by Interval CEO Craig Nash, "Interval Leisure Group started 2012 with success at every level." That sounds like great news and the numbers back up that assessment. Total revenue for the quarter increased 8.3% from a year ago to $127 million, above the $123 million that analysts were looking for. Earnings per share, meanwhile, were up 17% year over year and the $0.27 tally matched expectations. The year-over-year growth was driven by a 1.5% increase in active members and a 4.4% gain in revenue per member.
Now what: Shares of Interval are -- as of this writing -- changing hands at roughly 24 times expected 2012 earnings and 18 times estimated 2013 earnings. In other words, to consider this stock cheap, or even fairly priced, you have to assume some pretty robust growth ahead. The business seems to be doing quite well, but I'll admit to being skeptical that it will live up to those lofty assumptions.
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Fool contributor Matt Koppenheffer does not have a financial interest in any of the companies mentioned. You can check out what Matt is keeping an eye on by visiting his CAPS portfolio, or you can follow Matt on Twitter @KoppTheFool or Facebook. The Fool's disclosure policy prefers dividends over a sharp stick in the eye.