ValueClick Inc. said late Monday announced preliminary fourth-quarter revenue that fell short of Wall Street expectations.
The Westlake Village online advertising company, which plans to announce fourth quarter earnings on Feb. 16, said it expects revenue to be down 13 percent $130 million. Analysts surveyed by Thomson Reuters on average were expecting revenue of $133 million.
Analysts at Collins Stewart on Tuesday downgraded shares from “buy” to “hold”. Shares were trading up 15 cents, or 1.5 percent, to $9.71 in midday trading on the Nasdaq.
ValueClick also said it plans to sell its lead generation unit, Web Clients, so it can better focus on its online marketing services and technology businesses.
Web Clients, which manages online campaigns that generate customer inquiries for an advertiser, is a part of the company’s media segment, has seen falling revenues in the slower economy. “Given the growth and synergy opportunities in our core businesses and the acquisition opportunities in the market, the time is right to divest Web Clients,” Chief Executive Tom Vadnais said in a press release.