Marchex stock on a tear.
Owners of Marchex stock in recent years haven’t had a lot to cheer about.
The company, perhaps best known in domain name circles for buying Yun Ye’s domain name portfolio for $164 million, has traded at over $20 per share within the past five years. But more recently it has also traded as low as $2.98.
Yet the tide has turned in recent months. The stock closed today at $9.50, a 133% improvement over its September 1 opening price.
One of the company’s biggest challenges is its convoluted financials, which must be twisted and manipulated into pro formas to look pretty. It isn’t easy to understand. It also lost a significant chunk of revenue when Yahoo terminated its Search Submit product. Marchex sold $7.5 million worth of the product in 2009, although it says its margins were low.
What are your thoughts on Marchex’s prospects?