GICS Sector : Communication Services
Angi Inc.connects home service professionals with consumers in the United States and internationally.Its Angi Ads business, which connects consumers with service professionals for local services through the Angi nationwide online directory of service professionals in various service categories; provides consumers with valuable tools, services, and content, including verified reviews, to help them research, shop, and hire for local services; and sells term-based website, and mobile and digital magazine advertising to service professionals, as well as provides quoting, invoicing, and payment services.
Angi Inc. reported revenue growth of low single digits for the full year 2025, impacted by weakness in Google SEO and network channels. The company's proprietary business, however, grew 17% in 2025, driven by high-quality branded traffic. For the first quarter of 2026, Angi expects continued growth in its proprietary business. The company's actual EPS for the fourth quarter of 2025 was not disclosed, compared to estimates of $0.26. EBITDA is expected to be in the mid-forties for Q2, driven by incremental revenue and increased marketing spend.
Publication Date: Mar -05
Angi's financial performance was mixed, with revenue growth impacted by SEO headwinds. However, the company's proprietary revenue is expected to grow in the high single digits, possibly low double digits, driven by increased capacity and paid proprietary channels. The company's guidance for the full year 2026 is low single-digit revenue growth, with EBITDA expected to be in the range of $145 to $150 million, excluding certain one-time income items.
Angi is optimistic about its integration with LLMs, which is expected to drive growth and improve the customer experience. The company has started working with LLM providers, including Amazon's Alexa, and has deployed LLM technology in its customer experience. According to Jeffrey W. Kip, "We're testing with several major players, but haven't announced any live integrations yet. However, we've seen promising results with LLMs on our website, with a 3.3x increase in conversion to a pro selected."
Angi's current valuation multiples are relatively low, with a P/E Ratio of 9.54, P/S Ratio of 0.38, and EV/EBITDA of 4.6. Analysts estimate revenue growth of 3.7% for the next year. The company's focus on AI and LLMs integration, as well as its growth strategy, is expected to drive growth and improve profitability. The company's ROE is 4.41%, and ROIC is 3.76%, indicating a relatively stable return profile.
Angi is considering its capital structure and deployment, but doesn't have any tuck-in acquisitions in mind. The company has paused share buybacks but may consider buying back shares in the future. The company's focus is on solidifying a durable business with stronger profit and cash flow than before, driven by its confidence in the customer experience improvements made throughout the year.
Angi Q4: Trading At 5x FCF As Demand Remains Under Pressure (Rating Downgrade)
Feb -12
Angi Inc. (ANGI) Q4 2025 Earnings Call Transcript
Feb -11
Angi (ANGI) Reports Q4 Earnings: What Key Metrics Have to Say
Feb -11
Angi (ANGI) Q4 Earnings and Revenues Lag Estimates
Feb -10
Angi Inc. Earnings Release and Letter to Shareholders Available on Company's Website
Feb -10
5 Value Picks Amid AI-Driven Tech Sell-Off & U.S.-Iran Tensions
Feb -04
ANGI's Plumbing Is Fixed, Demand Could Come Back
Jan -27
Angi Inc. to Announce Q4 2025 Earnings on February 10th and Host Earnings Conference Call on February 11th
Jan -20
Angi Inc.'s 3% growth in Ads and Leads is driven by increasing homeowners' demand for home improvement services, expansion into new markets, and strategic partnerships. Additionally, the company's investment in digital marketing and user experience enhancements have improved conversion rates, contributing to the growth.
Angi Inc.'s services growth is driven by increasing demand for home improvement and repair, fueled by aging housing stock, rising homeownership rates, and growing consumer spending on home-related services. Additionally, the company's strong brand recognition, expanding service offerings, and investments in digital platforms contribute to its 1.5% growth.
Angi Inc.'s international segment growth of 2.5% is driven by increasing adoption of online home services, expansion into new markets, and strategic partnerships. Additionally, growing demand for home improvement and repair services, fueled by an aging population and increasing homeownership, contributes to the segment's growth.
A platform that connects homeowners with pre-screened and reviewed professionals for various home repair and improvement projects.
A lead generation platform that provides professionals with exclusive leads and opportunities to bid on projects.
A digital advertising platform that allows professionals to target and reach homeowners actively searching for their services.
A suite of tools and services designed to help professionals manage their businesses, including lead management, invoicing, and payment processing.
A home services marketplace that connects homeowners with pre-screened professionals for various home repair and improvement projects.
An on-demand home services platform that connects homeowners with professionals for immediate, same-day service.
Angi Inc. operates in a highly competitive market, but the threat of substitutes is mitigated by the company's strong brand recognition and customer loyalty.
Angi Inc. has a large customer base, but customers have significant bargaining power due to the availability of alternative service providers.
Angi Inc. has a diverse supplier base, and suppliers have limited bargaining power due to the company's large scale of operations.
The threat of new entrants is moderate due to the significant capital requirements and regulatory hurdles in the home services market.
The home services market is highly competitive, with many established players competing for market share, leading to a high intensity of rivalry.
| Value | |
|---|---|
| Debt Weight | 33.05% |
| Debt Cost | 3.95% |
| Equity Weight | 66.95% |
| Equity Cost | 13.81% |
| WACC | 10.55% |
| Leverage | 49.37% |
Value: 4.5
Growth: 8.3
Quality: 8.4
Yield: 0.0
Momentum: 8.5
Volatility: 3.3
1-Year Total Return ->
Value: 6.4
Growth: 4.7
Quality: 5.8
Yield: 0.0
Momentum: 10.0
Volatility: 0.7
1-Year Total Return ->
Value: 8.1
Growth: 4.9
Quality: 5.8
Yield: 0.0
Momentum: 1.5
Volatility: 3.0
1-Year Total Return ->
Value: 8.8
Growth: 1.3
Quality: 7.0
Yield: 0.0
Momentum: 0.0
Volatility: 3.0
1-Year Total Return ->
Value: 8.1
Growth: 2.9
Quality: 3.9
Yield: 0.0
Momentum: 2.0
Volatility: 2.0
1-Year Total Return ->
Value: 9.4
Growth: 2.1
Quality: 3.6
Yield: 0.0
Momentum: 0.0
Volatility: 2.3
1-Year Total Return ->