Angi Inc. (ANGI): A Bull Case Theory

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We came across a bullish thesis on Angi Inc. on Valueinvestorsclub.com by JLHR. In this article, we will summarize the bulls’ thesis on ANGI. Angi Inc.’s share was trading at $16.21 as of July 16^th. ANGI’s trailing and forward P/E were 15.74 and 9.17 respectively according to Yahoo Finance.

Angi, recently spun off from IAC in April 2025, is emerging as a leaner, more focused company following a multi-year turnaround. Previously hampered by poor execution and a volume-over-quality strategy, Angi has made substantial progress in restructuring under the leadership of Joseph Levin and Jeffrey Kip.

The company shifted away from low-quality leads and realigned its product with customer outcomes, resulting in a simplified platform, improved monetization, and positive cash flow generation. Despite a 19.5% YoY revenue drop in Q1 2025—driven by cuts to third-party network leads—proprietary traffic remained stable and showed sequential improvement, marking a potential inflection point. Angi’s “Homeowner Choice” model and AI-enhanced matching are enhancing user experience and retention, setting the stage for future growth.

Valued at just ~6.5x trailing EBITDA and ~15x free cash flow, the market still treats Angi as a deteriorating asset, overlooking stabilizing fundamentals, a $500B+ addressable market, and its unique scale in the home services space. With guidance for flat EBITDA in 2025 and growth projected in 2026, EBITDA could reach $180–200M within two to three years.

Applying a 12–14x FCF multiple implies an intrinsic value of $28–35 per share, significantly above current levels. The stock’s mispricing is attributed to lingering skepticism, though high insider ownership and equity-linked compensation underscore alignment with long-term investors. Risks include execution missteps and competitive pressure, particularly from Google. Still, with cleaner operations, a simplified capital structure, and strategic optionality, Angi presents a compelling risk/reward setup with several catalysts for a rerating.

Previously, we covered a bullish thesis on Angi Inc. by Michael in March 2025, which highlighted the turnaround led by new management, improved lead quality, and strong insider alignment. JLHR shares a similar view but emphasizes stabilizing fundamentals and improving free cash flow post-spin-off.

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Disclosure: None.