Shares of online financial information provider Hoover’s (Nasdaq: HOOV) gained almost 11 percent on Wednesday, rising 1-3/16 to 12 one day after the company announced second-quarter results that topped analysts’ expectations. Hoover’s reported second-quarter revenues of $3.8 million, an 86 percent increase over the $2.1 million reported in the second quarter of 1998.
The company had a net second-quarter loss of $3.3 million, or 29 cents per share. Analysts polled by First Call had expected Hoover’s to lose 39 cents per share in the quarter.
Despite Wednesday’s gain, Hoover’s is still trading below its initial $14 offering price. The stock closed its first day of trading at $22, and shares of Hoover’s have traded as high as $33 this year. At this point, the stock’s potential upside seems bigger than its downside because the company’s paid subscription numbers and e-commerce revenues are on the rise.