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FBR Capital Upgrades Web.com Group (WWWW) from Market Perform to Outperform; Good Subscriber Additions

September 23, 2009 7:24 AM EDT
WWWW Hot Sheet
Rating Summary:
    6 Buy, 1 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
FBR Capital upgrades Web.com Group (Nasdaq: WWWW) from Market Perform to Outperform. Price target increased from $7 to $9.

FBR analyst says, "We believe that the pressure on the company's end markets is easing and that 3Q09 should mark the inflection point of the company's business. We believe that gross and net subscriber additions are tracking above our expectations in 3Q09. The company has done a good job of expanding its portfolio of partners over the past year, which should help to generate an increased level of lead flow for the company's Web services products. We also think that subscriber additions should benefit from an increase in the company's online marketing spending. After a steady decline over the past year, we expect ARPU to stabilize in 3Q09 as the company gains better traction upselling higher-value Web services to its low-ARPU hosting subscribers."

To see more analyst ratings on WWWW Click Here.

Web.com Group, Inc. provides Web site building tools, Internet marketing, lead generation, and technology solutions that enable small and medium-sized businesses to build and maintain their Internet presence.

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