MeetMe at Nasdaq from Mid-April - Analyst Blog

The public market leader for social discovery in the U.S. — MeetMe Inc. MEET has decided to shift its stock trading to Nasdaq OMX Group Inc.'s NDAQ Nasdaq Global Capital Market from Apr 15 onwards. This leading social network is currently listed in New York Stock Exchange Market (NYSE MKT).

The incursion of MeetMe will accentuate Nasdaq listings portfolio as the former is a rapidly growing social network, primarily through mobile devices. The company generates 70% of its social media traffic on mobiles through social games and applications, thereby improving mobile monetization through advertisements and virtual currency.

In 2013, MeetMe's mobile revenue escalated 106% over 2012, reflecting ample growth prospects in the future. Strong fundamentals will further enhance Nasdaq's trading and volumes generation.

Nasdaq Gaining Edge

The Nasdaq Stock Market is the largest cash equities securities market in the U.S. in terms of listed companies and globally, in terms of share value traded. Hence, MeetMe is likely to benefit from Nasdaq's leading technology platform, which enjoys a superior standard and customized securities administration.

Alongside, Nasdaq's X-stream, INET and SMARTS technologies are well positioned to contribute to growth as the industry is becoming more focused on solutions to effectively manage risk.These factors also aid in attracting new listings and accelerate client activity in the recovering economic environment.

In the past, Nasdaq has dominated the global listings business particularly crowned with the initial public offerings (IPOs) of Intel Corp. INTC, Apple Inc. AAPL  and Google Inc. GOOG, to name a few.Additionally, Nasdaq's non-transaction revenue base posted largest increases in revenue growth in 2013.The company also topped the listings market as its number of IPOs rose 74% in 2013 and about 28% in the first-quarter of 2014, indicating improved outlook for 2014.

Moreover, MeetMe is not the only company that has decided to shift to Nasdaq. Previously, Amdocs Ltd. DOX and Marriott International Inc. MAR shifted to Nasdaq Global Select Market from NYSE in Dec and Oct 2013, respectively. Earlier this week, another Stonegate Bank, which is an over-the-counter (OTC) trader, has applied to be listed on Nasdaq and is likely to begin trading by May this year. These shifts also reflect the industry's confidence in Nasdaq.

Although one cannot overlook the technical anomalies faced by Nasdaq in the past couple of years, we believe that the company is aggressively focusing on improving its technical competence in order to respond to the changing industry dynamics and dig in prospects for gaining scale.