NEW YORK (TheStreet) -- Viggle (VGGL) shares are up 57.11% to $3.73 on heavy volume in trading on Monday following the release of the Internet-based entertainment marketing platform's third quarter earnings results before the opening bell today.

The New York City-based company reported third quarter revenue that increased 52% year over year to $5 million as nearly one million new users registered with the company during the quarter. The company said that net registered user increased to 8.95 million, more than double the 4.14 million the company had in the year ago period.

The company also reported a EBITDA loss of $8.74 million, missing analysts expectations of a $7.35 million loss, which the company attributed to a rise in marketing costs.

"As we celebrate our three-year milestone of operations this quarter, the Viggle experience has become more rewarding for our users and advertising partners. During this quarter, we spent a lot of time and energy preparing for our upgrade of Wetpaint, which took place this past week with celebrity enthusiasm and support," said COO Greg Consiglio. "Now fully optimized for mobile, Wetpaint delivers timely celebrity news and entertainment and the best part is that it's now fully integrated with the Viggle platform."

TheStreet Ratings team rates VIGGLE INC as a Sell with a ratings score of E+. TheStreet Ratings Team has this to say about their recommendation:

"We rate VIGGLE INC (VGGL) a SELL. This is based on the dominance of unfavorable investment measures, which should drive this stock to significantly underperform the majority of stocks that we rate. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, generally high debt management risk, weak operating cash flow and generally disappointing historical performance in the stock itself."

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