Angi Inc. (NASDAQ: ANGI)

Sector: Communication Services Industry: Internet Content & Information CIK: 0001705110
Market Cap 577.08 Mn
P/B 0.58
P/E 16.34
P/S 0.55
ROIC (Qtr) 2.10
Div Yield % 0.00
Rev 1y % (Qtr) -10.48
Total Debt (Qtr) 497.46 Mn
Debt/Equity (Qtr) 0.50

About

Angi Inc., commonly recognized by its stock symbol ANGI, operates in the home services industry, connecting homeowners with quality service professionals for various needs. With a strong presence in the United States, Europe, and Canada, Angi Inc. has established itself as a leading provider of digital solutions for the home services industry. Angi Inc.'s main business activities revolve around providing digital solutions for the home services industry, with a focus on connecting homeowners with service professionals across more than 500 different...

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Price action

Investment thesis

Bull case

  • Tangible assets of 688.87M provide exceptional 23.01x coverage of deferred revenue 29.94M, showing strong service capability backing.
  • Operating cash flow of 115.03M provides strong 3.84x coverage of deferred revenue 29.94M, indicating service delivery capability.
  • Robust tangible asset base of 688.87M provides 3.59x coverage of working capital 192.13M, indicating strong operational backing.
  • Operating cash flow of 115.03M fully covers other non-current liabilities 10.69M by 10.76x, showing strong long-term stability.
  • Cash reserves of 340.69M provide robust 1.58x coverage of current liabilities 215.24M, indicating strong short-term solvency.

Bear case

  • Operating cash flow of 115.03M barely covers its investment activities of (53.67M), with a coverage ratio of -2.14, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (53.67M) provide weak support for R&D spending of 93.94M, which is -0.57x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating earnings of 78.69M show weak coverage of depreciation charges of 62.75M, with a 1.25 ratio indicating high capital intensity and potential reinvestment needs.
  • High depreciation of 62.75M relative to operating cash flow of 115.03M, which is 0.55x suggests significant maintenance capital requirements affecting free cash flow.
  • R&D investment of 93.94M represents just 0.12x of SG&A expenses of 792.22M, indicating potential underinvestment in innovation relative to administrative overhead.

Geographical Breakdown of Revenue (2024)

Segments Breakdown of Revenue (2024)

Peer comparison

Companies in the Internet Content & Information
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 GOOGL Alphabet Inc. 4,538.16 Bn 131.46 27.23 33.71 Bn
2 META Meta Platforms, Inc. 1,747.49 Bn 74.30 23.25 51.06 Bn
3 SPOT Spotify Technology S.A. 103.00 Bn 62.32 5.18 2.57 Bn
4 BIDU Baidu, Inc. 62.73 Bn 49.63 3.42 13.66 Bn
5 RDDT Reddit, Inc. 32.18 Bn 92.16 16.90 0.03 Bn
6 NBIS Nebius Group N.V. 27.81 Bn 127.53 81.80 4.51 Bn
7 TME Tencent Music Entertainment Group 24.66 Bn 15.77 5.54 0.54 Bn
8 PINS Pinterest, Inc. 16.95 Bn 8.53 4.18 0.21 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.41 1.10
EV to Cash from Ops. EV/CFO 6.19 -3.08
EV to Debt EV to Debt 1.43 28.98
EV to EBIT EV/EBIT 9.05 -26.54
EV to EBITDA EV/EBITDA 5.72 9.30
EV to Free Cash Flow [EV/FCF] EV/FCF 11.60 -67.01
EV to Market Cap EV to Market Cap 1.23 0.90
EV to Revenue EV/Rev 0.67 61.25
Price to Book Value [P/B] P/B 0.58 1.56
Price to Earnings [P/E] P/E 16.34 2.92
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 0.33
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 -8.92
Dividend per Basic Share Div per Share (Qtr) 0.00 0.31
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 2.58
Interest Coverage Int. cover (Qtr) 3.89 -202.56
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -9.21 -24.06
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -13.80 175.36
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.94
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -27.57 31.53
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -6.88 -472.14
EBIT Growth (1y) % EBIT 1y % (Qtr) 101.57 32.66
EBT Growth (1y) % EBT 1y % (Qtr) 209.79 -25.80
EPS Growth (1y) % EPS 1y % (Qtr) -9.41 -18.36
FCF Growth (1y) % FCF 1y % (Qtr) -25.90 20.83
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -13.48 19.58
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.61 0.74
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 1.58 1.54
Current Ratio Curr Ratio (Qtr) 1.89 3.38
Debt to Equity Ratio Debt/Equity (Qtr) 0.50 -0.39
Interest Cover Ratio Int Coverage (Qtr) 3.89 -202.56
Times Interest Earned Times Interest Earned (Qtr) 3.89 -202.56
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 13.40 -4,283.87
EBIT Margin % EBIT Margin % (Qtr) 7.44 -4,786.62
EBT Margin % EBT Margin % (Qtr) 5.53 -5,002.12
Gross Margin % Gross Margin % (Qtr) 94.80 58.65
Net Profit Margin % Net Margin % (Qtr) 3.30 -5,003.08