Dj Coo Carson Acquires 2949 Of Angi Inc >Angi

What Happened?

A number of stocks jumped in the afternoon session after renewed enthusiasm for Alphabet reinvigorated the artificial intelligence trade, propelling a market rebound heading into the Thanksgiving holiday. 

The Nasdaq index jumped 2.6% and the S&P 500 gained 1.6%, driven by a 5% rally in Alphabet following the announcement of its upgraded Gemini 3 AI model. This optimism spilled over into the broader tech sector. The rally built on momentum from the previous trading session, sparked by the New York Fed president keeping the door open for a December interest rate cut.

The stock market overreacts to news, and big price drops can present good opportunities to buy high-quality stocks.

Among others, the following stocks were impacted:

• Online Marketplace company Teladoc jumped 4%. Is now the time to buy Teladoc? Access our full analysis report here, it’s free for active Edge members.
• Gig Economy company Angi jumped 3.6%. Is now the time to buy Angi? Access our full analysis report here, it’s free for active Edge members.
• Gig Economy company Upwork jumped 3.6%. Is now the time to buy Upwork? Access our full analysis report here, it’s free for active Edge members.
• Online Marketplace company ACV Auctions jumped 4.3%. Is now the time to buy ACV Auctions? Access our full analysis report here, it’s free for active Edge members.

Zooming In On ACV Auctions (ACVA)

ACV Auctions’s shares are very volatile and have had 22 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 7 days ago when the stock gained 5.1% on the news that a director, Brian Hirsch, reported a significant open-market purchase of company stock. According to a regulatory filing, Hirsch acquired 80,571 shares of Class A common stock at a weighted average price of $6.21 per share. Such a substantial investment by a key insider was often interpreted by the market as a strong vote of confidence in the company's future prospects and current valuation. This type of insider activity frequently led to increased investor optimism, as it suggested that those with intimate knowledge of the business believed the stock was undervalued.

ACV Auctions is down 65.8% since the beginning of the year, and at $7.16 per share, it is trading 69.1% below its 52-week high of $23.17 from December 2024. Investors who bought $1,000 worth of ACV Auctions’s shares at the IPO in March 2021 would now be looking at an investment worth $229.12.

As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the gig economy industry, including Uber and its peers.

The iPhone changed the world, ushering in the era of the “always-on” internet and “on-demand” services - anything someone could want is just a few taps away. Likewise, the gig economy sprang up in a similar fashion, with a proliferation of tech-enabled freelance labor marketplaces, which work hand and hand with many on demand services. Individuals can now work on demand too. What began with tech-enabled platforms that aggregated riders and drivers has expanded over the past decade to include food delivery, groceries, and now even a plumber or graphic designer are all just a few taps away.

The 6 gig economy stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 1% while next quarter’s revenue guidance was 0.6% below.

While some gig economy stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 2.2% since the latest earnings results.

Uber

Notoriously funded with $7.7 billion from the Softbank Vision Fund, Uber operates a platform of on-demand services such as ride-hailing, food delivery, and freight.

Uber reported revenues of $13.47 billion, up 20.4% year on year. This print exceeded analysts’ expectations by 1.5%. Overall, it was a satisfactory quarter for the company with strong growth in its users but a slight miss of analysts’ EBITDA estimates.

Unsurprisingly, the stock is down 8.2% since reporting and currently trades at $91.76.

Is now the time to buy Uber? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: Upwork

Formed through the 2013 merger of Elance and oDesk, Upwork is an online platform where businesses and independent professionals connect to get work done.

Upwork reported revenues of $201.7 million, up 4.1% year on year, outperforming analysts’ expectations by 4.3%. The business had a strong quarter with an impressive beat of analysts’ EBITDA estimates and full-year EBITDA guidance exceeding analysts’ expectations.

Upwork pulled off the biggest analyst estimates beat among its peers. On a dimmer note, the company reported 794,000 active customers, down 7.1% year on year. The market seems happy with the results as the stock is up 6.9% since reporting. It currently trades at $16.70.

Is now the time to buy Upwork? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Angi

Created by IAC’s mergers of Angie’s List and HomeAdvisor, ANGI operates the largest online marketplace for home services in the US.

Angi reported revenues of $265.6 million, down 10.5% year on year, falling short of analysts’ expectations by 1.2%. It was a slower quarter as it posted a decline in its requests and a significant miss of analysts’ number of service requests estimates.

Angi delivered the weakest performance against analyst estimates and slowest revenue growth in the group. The company reported 4.14 million service requests, down 7.7% year on year. As expected, the stock is down 15.8% since the results and currently trades at $10.84.

Read our full analysis of Angi’s results here.

Lyft

Founded by Logan Green and John Zimmer as a long-distance intercity carpooling company Zimride, Lyft operates a ridesharing network in the US and Canada.

Lyft reported revenues of $1.69 billion, up 10.7% year on year. This number came in 1.2% below analysts' expectations. Overall, it was a slower quarter as it also recorded a slight miss of analysts’ revenue and EBITDA estimates.

The company reported 28.7 million users, up 17.6% year on year. The stock is up 15.4% since reporting and currently trades at $23.19.

Read our full, actionable report on Lyft here, it’s free for active Edge members.

DoorDash

Founded by Stanford students with the intent to build “the local, on-demand FedEx", DoorDash (NYSE:DASH) operates an on-demand food delivery platform.

DoorDash reported revenues of $3.45 billion, up 27.3% year on year. This print beat analysts’ expectations by 2.6%. More broadly, it was a slower quarter as it produced EBITDA guidance for next quarter missing analysts’ expectations significantly.

DoorDash pulled off the fastest revenue growth among its peers. The company reported 776 million service requests, up 20.7% year on year. The stock is down 13.1% since reporting and currently trades at $207.61.

Read our full, actionable report on DoorDash here, it’s free for active Edge members.