AOL (AOL) Numbers Cut at SunTrust Robinson Humphrey Post Q4

SunTrust Robinson Humphrey analyst Robert Peck reiterated a Neutral rating and lowered his price target on AOL, Inc. (NYSE: AOL) to $42.00 (from $44.00) following Q4 results.

Peck’s Points. "Mixed quarter with revenue ~2% below consensus (Display, Third Party) and OIBDA ~3% above (Brand). However, 2015 revenue/OIBDA guidance came in ~4%/~8% below consensus (~2% FX headwind) as the company steps up investment in Brand and Platforms and reorgs the salesforce. Management has been effective in rationalizing the portfolio, stabilizing legacy businesses, and identifying and investing in growth businesses (programmatic, video). However, with still ~0% top-line growth ex TAC and execution risk into 1H, we maintain our Neutral rating."

2015/2016 net revenue and OIBDA forecasts go to $1.80B/$1.82B from $1.85B/$1.93B and to $508M/$542M from $545M/$590M.

For an analyst ratings summary and ratings history on AOL, Inc. click here. For more ratings news on AOL, Inc. click here.

Shares of AOL, Inc. closed at $40.22 yesterday.

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