Why Trulia (TRLA) Stock Is Up Today

NEW YORK (TheStreet) -- Trulia (TRLA) was gaining 9.2% to $34.82 Monday after signing a direct data license with My Florida Regional MLS.

The deal will let brokers directly syndicate their listings to the Trulia service. My Florida Regional MLS is one of the top five largest MLSs in the U.S., and powers more than 100,000 listings.

"By entering into a direct license agreement, MFRMLS is ensuring the integrity of their brokers' listings and creating transparency with Trulia," Trulia vice president of Industry Services Alon Chaver said in a press release. "Brokers choosing to send their listings direct to Trulia no longer need to worry about having to update information and can focus on engaging consumers and supporting their agents in converting consumer inquiries into closed transactions."

Must read: Warren Buffett's 10 Favorite Growth Stocks STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings team rates TRULIA INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: "We rate TRULIA INC (TRLA) a HOLD. The primary factors that have impacted our rating are mixed ? some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, good cash flow from operations and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, a generally disappointing performance in the stock itself and feeble growth in the company's earnings per share." Highlights from the analysis by TheStreet Ratings Team goes as follows: TRLA's very impressive revenue growth greatly exceeded the industry average of 11.7%. Since the same quarter one year prior, revenues leaped by 141.9%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share. Net operating cash flow has significantly increased by 143.58% to $4.39 million when compared to the same quarter last year. In addition, TRULIA INC has also vastly surpassed the industry average cash flow growth rate of 22.18%. TRLA's debt-to-equity ratio of 0.60 is somewhat low overall, but it is high when compared to the industry average, implying that the management of the debt levels should be evaluated further. Even though the debt-to-equity ratio shows mixed results, the company's quick ratio of 6.55 is very high and demonstrates very strong liquidity. The share price of TRULIA INC has not done very well: it is down 5.11% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time. The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Internet Software & Services industry. The net income has significantly decreased by 600.2% when compared to the same quarter one year ago, falling from -$1.59 million to -$11.15 million. You can view the full analysis from the report here: TRLA Ratings Report STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Stock quotes in this article: TRLA 

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