Local Corporation's Valuation Next To Peers Makes It An Obvious Opportunity
The online local search market is ready to explode in the U.S., and Local Corporation (LOCM) is my pick to be the leader. This ridiculously undervalued stock connects tens of millions of people every month with products and services in their area. With experts valuing the local search market today at $5.1 billion, exploding to over $8 billion in two years, no wonder giants Yahoo (YHOO) and Google (GOOG) are Local's partners. Local's 2012 sales are projected to reach over $100 million, and profitability is around the corner. The market cap is only $60 million.
To see what I mean about valuation, take a look at two similar companies with comparable revenues in the online local search business: Angie's List (ANGI) and Yelp (YELP). I believe the business models of these companies are thin compared to Local Corporation.