Is the Meet Group's 12% Sell-Off Overdone?
Shares of The Meet Group, Inc. (NASDAQ: MEET), a market leader in the mobile meeting space with over 2.5 million daily active users through multiple brands, shed 12% of their value Friday morning as of 11:10 a.m. EDT, after the company released second-quarter results that failed to impress investors and analysts alike.
Strictly glancing at the year-over-year gains and the company's top- and bottom-line results, business appears to be strong. Compared to the prior year, Meet Group's total revenue was up 91%, to $31.3 million, easily topping analysts' estimates of $30.7 million. Its mobile revenue was up 55% to $23.3 million, which is a promising sign for growth. Its adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) was up 23% to $7.4 million for a healthy margin of 24%.
Those positive results filtered to the bottom line with adjusted net income rising 37% to $6.6 million, or $0.09 per share, above analysts' estimates calling for $0.07 per share.
Source: Fool.com
