The El Segundo, CA-based online mailing and shipping solutions provider reported adjusted earnings of $1.94 per share, handily topping analysts' estimates of $1.26 per share.
Revenue jumped 74% to $84 million from last year and was above analysts' projections of $73.5 million.
The company also raised its 2016 guidance for earnings per share between $7 and $7.50 on revenue of $320 million to $345 million. Previously, Stamps.com expected earnings per share between $6 and $6.50 on revenue of $310 million to $330 million.
Analysts are looking for earnings of $6.02 per share on revenue of $324.1 million for the full year.
Roth Capital upped its price target on the stock to $105 from $96 and maintained its "buy" rating following the results, the Fly reports.
The company's second quarter outperformance was coupled with a long rebuttal from its management on recent bearish reports, especially surrounding negotiated service agreements, the firm said.
Shares of Stamps.com are falling 5.06% to $76.75 on heavy trading volume midday Friday.
About 2.58 million of the company's shares were traded so far today vs. its average volume of 1.15 million shares per day.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B- on the stock.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income, good cash flow from operations, expanding profit margins and growth in earnings per share.
The team believes its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: STMP