Sell all your Angi-Shares and buy a better company, but only a tenth of valuation
Local Corporation's Valuation Next To Peers Makes It An Obvious Opportunity
October 10, 2012
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).
"Local Corp is a company that had $98 million in revenues in the last four quarters and is on track to do generate over $100 million in 2012, driven by record overall and mobile traffic numbers. Local Corp is positioned to execute on monetizing mobile better than any other company because of the infrastructure it already has with local businesses in its networks that pay them every day for traffic, ads, and online marketing. With a renewed interest in the Internet and clear value play in this space, I can conservatively see this stock going to $12 by January 2013 based on pure current value -- and even higher based on news and strong earnings."
Because the share-price of Angi is only a product of the manipulation of incubators. This is possible, because only few shares was part of the Ipo - but the incubaber want to sell the other 90% for idiotic high prices, too.