NEW YORK (TheStreet) -- AOL Inc.
(AOL) stock is tanking Wednesday, a result of a weaker-than-expected first quarter and as shares get caught up in a Nasdaq selloff among technology companies.
By midafternoon, shares had tumbled 24.1% to $33.32.
Over its March-ending quarter, the company earned an adjusted 34 cents a share, 11 cents lower than analysts surveyed by Thomson Reuters anticipated. Revenue of $583.3 million exceeded estimates of $577.7 million.
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TheStreet Ratings team rates AOL INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate AOL INC (AOL) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."
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