AOL Stock Hits 52-Week High After Third-Quarter Results
The shares of the online company, led by CEO Tim Armstrong, soared more than 15 percent.
The stock of AOL on Tuesday soared more than 15 percent after the company reported better-than-expected third-quarter financials, which seemed to give investors confidence in the company's continuing turnaround.
As of 12:35pm ET, the stock was up 16.3 percent at $41.66. The company's previous 52-week high stood at $37.94. Its 52-week low is $13.49.
AOL earlier posted third-quarter earnings of $20.8 million, compared with a loss of $2.6 million in the year-ago period. Revenue was unchanged at $531.7 million, which marked the company's best year-over-year revenue performance in more than seven years.
On the company's earnings conference call, CEO Tim Armstrong said that the firm would bring in about $100 million in video advertising revenue this year. And he said that after a third-quarter decline of three percent in U.S. display ad revenue, there was upside for that revenue stream. "It will improve," he said. "Advertising remains a very big opportunity."
AOL management on Tuesday also reiterated that the company would return to growth in adjusted operating income before depreciation and amortization in 2013.