Jefferies Comments On Ancestry.com's 1Q Results

According to Jefferies, Ancestry.com (NASDAQ: ACOM) 1Q results are expected to be in-line with Consensus, with bias to the upside given an extra month of WDYTYA in 1Q.

Jefferies said that it is modeling in $86.6M of revenue and $0.16 EPS vs consensus at $87M and $0.15, respectively. “ACOM is trading at 12.5x EV/EBITDA and 28.7x P/E on our FY11 ests. Our $40 PT is derived using a 5-yr DCF and implies 35x P/E and 15x EV/EBITDA. Risks include early maturation of the segment, higher churn/SAC, and insider selling.”

Ancestry.com closed the previous trading day at $32.23.