J.P. Morgan Reiterates Neutral Rating, Raises PT on Trulia After Strong 4Q Results

In a report published Wednesday, J.P. Morgan reiterated its Neutral rating on Trulia

, and raised its price target from $21.00 to $29.00. J.P. Morgan noted, “Trulia reported strong 4Q results ahead of our and Street estimates driven by upside in both Marketplace and Media revenue, and posted its second quarter of positive EBITDA. Marketplace upside was driven by reaccelerating growth in both subscribers and ARPU as momentum from TMA enabled Trulia to shift its sales force focus back to adding new subscribers. Media revenue was better than expected due to a pick up in homebuilder ad spend and improving overall macro trends in the housing industry, which we expect to be a tailwind going forward. We are incrementally positive on Trulia's execution and the lift from macro housing trends into 2013 and we are raising our price target to $29 based on 22x 2014E EBITDA of $34.2M. We expect Trulia shares to trade higher in the near term, but we look for continued strong execution for Trulia to trade at a bigger premium to the comp group.” Trulia closed on Tuesday at $23.79.