TD Cowen analyst John Blackledge maintained a Buy rating on IAC/InteractiveCorp. (IAC – Research Report) today and set a price target of $66.00.
John Blackledge has given his Buy rating due to a combination of factors including the completion of IAC’s spin-off of Angi, which has allowed the company to focus on its core segments like Dotdash Meredith and emerging businesses such as Care.com and Vivian Health. This strategic move is expected to enhance IAC’s growth prospects by prioritizing digital and performance marketing revenues, which are anticipated to grow solidly in the upcoming year.
Additionally, Blackledge notes that IAC’s valuation remains attractive, with an estimated enterprise value excluding MGM and other equity stakes at approximately $569 million, or 2.4 times EV/EBITDA based on 2025 estimates. Despite a reduction in the price target from $77 to $66, the financial outlook remains positive with a strong cash position and manageable debt levels, alongside a significant share repurchase authorization. These factors collectively contribute to the Buy rating, reflecting confidence in IAC’s ability to capitalize on its strategic initiatives and maintain robust financial performance.
In another report released on April 24, Citi also maintained a Buy rating on the stock with a $45.00 price target.