Why Angie's List (ANGI) Stock Is Up Today

NEW YORK (TheStreet) -- Angie's List (ANGI) stock is gaining Friday after Bank of America upgraded the company to "buy" from "neutral" and reiterated a $16 price target. 

By midmorning, shares had added 8.6% to $10.97. 

Bank of America analysts Paul Bieber and Justin Post noted tiered pricing is resulting in stable member ARPU for the company. 

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

"ANGI has rolled out tiered pricing to all markets after testing tiered pricing in 20 markets during 1Q. ANGI indicated the adoption rate of the premium pricing tier is better than expected so ARPU is now stable vs. Street expectations of declining ARPUs," analysts wrote in the report. "Stable to improving ARPU may result in improved stock sentiment and less controversy surrounding the model."

Must ReadWarren Buffett's 25 Favorite Stocks 

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

If you liked this article you might like

IAC Interactive: Cramer's Top Takeaways

Stay Focused, People!: Cramer's 'Mad Money' Recap (Thursday, 6/8/17)

Apple as Consumer Product Company; Trump as Loose-Cannon-in-Chief: Jim Cramer's View