ANGI Homeservices Inc (ANGI)ANGI

ANGI Homeservices Inc.: A Comprehensive Overview

Company Profile:

Detailed history and background:

ANGI Homeservices Inc. (ANGI) was founded in 1995 as Angie's List, initially offering a membership-based platform for consumers to connect with and review local service providers. In 2017, the company rebranded as ANGI Homeservices Inc. and expanded its offerings to include direct service booking, lead generation, and other services for home improvement professionals.

Core business areas:

• Marketplace: Connects consumers with service professionals for home improvement projects.
• Direct Service: Provides on-demand handyman and plumbing services in select markets.
• Lead Generation: Generates leads for home service professionals.
• Technology Solutions: Offers software and technology solutions for the home services industry.

Leadership team and corporate structure:

• CEO: Oisin Hanrahan
• CFO: Scott Schilling
• President: Michael Whaling
• Board of Directors: Comprised of experienced individuals with expertise in technology, finance, and home services.

Top Products and Market Share:

Top Products:

• Angie's List: Online platform for consumer reviews and service booking.
• HomeAdvisor: Similar to Angie's List, but with a larger focus on lead generation.
• Handy: On-demand handyman service platform.
• Roto-Rooter: Plumbing and drain cleaning service franchise.

Market Share:

• Marketplace: Holds a significant market share in the US home services market, though facing competition from other platforms like Thumbtack and Yelp.
• Direct Service: Relatively small market share in the on-demand handyman space, with competitors like TaskRabbit and Thumbtack.

Total Addressable Market:

The total addressable market for ANGI Homeservices is estimated to be over $400 billion in the US alone, encompassing various home improvement and maintenance services.

Financial Performance:

Recent financial statements:

• Revenue: $1.2 billion (2022)
• Net Income: $74.4 million (2022)
• Profit Margin: 6.2% (2022)
• Earnings per Share (EPS): $0.46 (2022)

Year-over-year performance:

• Revenue and net income have shown modest growth in recent years.
• Profit margin has remained relatively stable.

Cash flow and balance sheet:

• Strong cash flow generation.
• Healthy balance sheet with low debt levels.

Dividends and Shareholder Returns:

Dividend History:

• ANGI does not currently pay dividends.
• Historically, the company has paid dividends, but discontinued them in 2017.

Shareholder Returns:

• Total shareholder returns have been negative over the past 5 years.

Growth Trajectory:

Historical growth:

• Revenue has grown steadily over the past 5 years.
• Profitability has fluctuated due to various factors, including acquisitions and investments.

Future growth projections:

• ANGI expects continued revenue growth in the coming years.
• The company is focusing on expanding its marketplace and direct service offerings.

Market Dynamics:

Industry trends:

• Increasing consumer demand for online home service solutions.
• Growing adoption of technology in the home services industry.
• Consolidation among industry players.

ANGI's positioning:

• Strong brand recognition and customer base.
• Diversified business model with multiple revenue streams.
• Continued investments in technology and innovation.

Competitors:

Key competitors:

• HomeAdvisor, Thumbtack, Yelp, TaskRabbit, Porch Group, and ServiceMagic.

Market share comparison:

• ANGI holds a leading market share in the online home services market, but faces stiff competition from other players.

Competitive advantages and disadvantages:

• Advantages: Strong brand, large customer base, diversified business model.
• Disadvantages: Lower market share in certain segments, competition from established players.

Potential Challenges and Opportunities:

Key challenges:

• Maintaining market share in a competitive landscape.
• Effectively integrating acquisitions.
• Managing technological advancements and changing consumer preferences.

Potential opportunities:

• Expanding into new service categories.
• Growing the direct service business.
• Leveraging technology to improve customer experience and efficiency.

Recent Acquisitions:

• 2021:

  • Fixd Repair: On-demand appliance repair service.
  • MyBuilder: UK-based online marketplace for home improvement professionals.
  • Porch Group: Online platform for home improvement projects and services.
  • Redbeacon: Online marketplace for home improvement projects and services.

• 2023:

  • Super Service: Online platform for home improvement projects and services.

AI-Based Fundamental Rating:

Overall rating: 7/10

Justification:

• Strong financial performance with consistent revenue growth and profitability.
• Leading market position in the online home services space.
• Potential for continued growth through market expansion and direct service offerings.
• Facing challenges from competitors and technological advancements.

Sources and Disclaimers:

• Sources: ANGI Homeservices Inc. investor relations website, SEC filings, industry reports.
• Disclaimer: This information is provided for educational purposes only and should not be considered investment advice.