After the close yesterday, Millennial Media (MM) reported its first quarterly results as a public company. A couple of interesting cross currents make this report much more compelling than most quarterly results.
First, Millennial Media had a very successful IPO that led to an initial pop of nearly 100%. Since that initial day back at the end of March, the stock has plunged all the way back to the original IPO price. This drop further highlights how investors in the after market typically get burned. Our initial report highlighted how the stock was overpriced back then.
Second, the company is now the largest independent public mobile ad network in the market. As so, the results will be scrutinized as to the health of the sector in general. Plus the recent news regarding the inability of Facebook (FB) to monetize mobile traffic will derive some focus.
Read the full article at Seeking Alpha.
Disclosure: Long VELT. Please review the disclaimer page for more details.