Home services online marketplace ANGI (NASDAQ: ANGI) fell short of the market’s revenue expectations in Q1 CY2026, with sales falling 3.2% year on year to $238.2 million. Its GAAP loss of $0.22 per share was 33.7% above analysts’ consensus estimates.
Is now the time to buy Angi? Find out by accessing our full research report, it’s free.
Angi (ANGI) Q1 CY2026 Highlights:
- Revenue: $238.2 million vs analyst estimates of $240.6 million (3.2% year-on-year decline, 1% miss)
- EPS (GAAP): -$0.22 vs analyst estimates of -$0.33 (33.7% beat)
- Adjusted EBITDA: $22.9 million vs analyst estimates of $15.99 million (9.6% margin, 43.2% beat)
- Operating Margin: -4%, down from 8.1% in the same quarter last year
- Free Cash Flow was -$33.6 million, down from $11.36 million in the previous quarter
- Market Capitalization: $291.2 million
Company Overview
Created by IAC’s mergers of Angie’s List and HomeAdvisor, ANGI (NASDAQ: ANGI) operates the largest online marketplace for home services in the US.
Revenue Growth
A company’s long-term performance is an indicator of its overall quality. Any business can have short-term success, but a top-tier one grows for years. Over the last three years, Angi’s demand was weak and its revenue declined by 16.9% per year. This was below our standards and is a tough starting point for our analysis.
This quarter, Angi missed Wall Street’s estimates and reported a rather uninspiring 3.2% year-on-year revenue decline, generating $238.2 million of revenue.
Looking ahead, sell-side analysts expect revenue to grow 2.8% over the next 12 months. Although this projection indicates its newer products and services will spur better top-line performance, it is still below the sector average.
ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention.
AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice.
Cash Is King
Free cash flow isn't a prominently featured metric in company financials and earnings releases, but we think it's telling because it accounts for all operating and capital expenses, making it tough to manipulate. Cash is king.
Angi has shown decent cash profitability, giving it some flexibility to reinvest or return capital to investors. The company’s free cash flow margin averaged 5% over the last two years, slightly better than the broader consumer internet sector.
Taking a step back, we can see that Angi’s margin expanded by 5.6 percentage points over the last few years. This is encouraging because it gives the company more optionality.
Angi burned through $33.6 million of cash in Q1, equivalent to a negative 14.1% margin. The company’s cash burn was similar to its $15.69 million of lost cash in the same quarter last year. These numbers deviate from its longer-term margin, indicating it is a seasonal business.
Key Takeaways from Angi’s Q1 Results
We were impressed by how significantly Angi blew past analysts’ EBITDA expectations this quarter. On the other hand, its revenue slightly missed. Overall, this quarter could have been better. The stock traded down 24.2% to $5.62 immediately after reporting.
So should you invest in Angi right now? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here (it’s free).
