IAC - IAC rises 2% as Wedbush sees attractive valuation return after Vimeo spin

IAC/InterActiveCorp (IAC) is 1.8% higher today after Wedbush reiterated its Outperform rating now that the company's Vimeo spin-out is complete. With that done, though, there's still a "value gap" in IAC shares, Wedbush says - "particularly more so" with the trasaction done. In the year and a half since IAC first announced spinning out Match Group, "much of the low hanging fruit in terms of value creation was captured as the EV gap for the 'stub,' which was historically negative, narrowed; capital deployed in investments like Care.com, MGM, and Turo, among others, generated solid returns; and value was created in the Vimeo spin," Wedbush says. With so much value creation created before the spin, though, the firm sees IAC stub (ex-Angi and minority investments) back at that stage and again being undervalued. Within enterprise value for the stub is about $3B in net cash it expects IAC to deploy in

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IAC rises 2% as Wedbush sees attractive valuation return after Vimeo spin