- The stock price of Vimeo Inc (NASDAQ: VMEO) increased by over 13% today. This is why it happened.
The stock price of Vimeo Inc (NASDAQ: VMEO) increased by over 13% today. Investors are responding positively to the company’s September 2021 monthly metrics. And Jefferies issued a bullish research report on the company.
September 2021 Monthly Metrics
Vimeo revealed that its total revenue increased 33% in September, subscribers increased 14%, and the average revenue per user (ARPU) increased 16% in terms of monthly year-over-year growth.
Jefferies analyst Brent Thill cited the 33% revenue growth in the reearch report — which implied growth of 34% in Q3. This was above the consensus estimate of 32% growth. Thill noted that the shares have lagged as investors have been contemplating a faster than expected deceleration in growth with comps that get tougher in Q4 and Q1 of 2022.
But Thill believes Vimeo is set for consistent growth over the next several years and believes video is still in its early innings.
Thill gave the shares a “Buy” rating and $54 price target. The $54 price target imputes a 101.79% upside of the previous close.
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