Is Outbrain Stock a Buy?
Outbrain (NASDAQ: OB), one of the world's largest providers of "chumbox" ads, went public in July at $20 per share. Its stock stayed flat on the first day and subsequently tumbled to the mid-teens.
That dismal debut wasn't terribly surprising. Its top competitor Taboola (NASDAQ: TBLA), which went public by merging with a SPAC (special purpose acquisition company) in June, has also lost over a fifth of its value since its opening trade, after all. Outbrain had been in talks to merge with Taboola for several years, but the merger was called off in 2020 amid COVID-19-related challenges.
Outbrain hasn't impressed the market yet, but could investors be overlooking its strengths? Let's take a fresh look at Outbrain's business, its growth rates, and its valuations to find out.
Source Fool.com
