TheStreet.com shares advance after 3rd-quarter results, upgrade

TheStreet.com shares jump after 3Q results

NEW YORK — Shares of TheStreet.com got a big boost Tuesday after the financial media company reported delayed financial results and said it has completed an accounting review of a former subsidiary.

“We are pleased to have concluded the review of accounting in our former Promotions.com subsidiary and to resume reporting our results, as we have been enjoying favorable trends in the Company’s remaining businesses for the past couple of quarters,” said CEO Daryl Otte in a statement.

The company sold Promotions.com for $3.1 million in cash and notes in December.

For the three months ended Sept. 30, TheStreet.com posted a net loss attributable to common shareholders totaling $1.4 million, or 5 cents per share, compared with a restated net loss of about $700,000, or 3 cents per share, in the same period a year earlier.

Revenue fell 11 percent to $15.2 million from the restated revenue of $17 million in the third quarter of 2008.

JMP Securities analyst Sameet Sinha upgraded TheStreet.com to “Market Outperform” from “Market Perform” and established a target price of $5.

“After two quarters of no visibility into their financials as the company was buried under an accounting investigation (now concluded), we believe that there is inherent value in the stock,” the analyst wrote in a note to investors.

Shares rose 71 cents, or 28 percent, to close Tuesday at $3.26. Earlier, the stock hit a 52-week high of $3.41.