UBS on Thursday lowered its price target for ANGI Inc. (NASDAQ: ANGI) to $11.00 from $15.00, keeping a Neutral rating after the company's fourth-quarter 2025 earnings report. The brokerage cited sustained pressure on revenue growth as the primary reason for the reduced target and said the anticipated positive inflection in revenue has been deferred into the second half of 2026.
Central to UBS's concern is a marked contraction in ANGI's network business, which the firm said fell by about 79% year-over-year amid ongoing Google search-engine optimization (SEO) headwinds. That decline outweighed stronger performance in ANGI's proprietary segment, tempering near-term top-line expectations.
Operationally, ANGI's proprietary execution showed measurable improvement. Service Requests rose 15% year-over-year, up from an 11% increase in the prior quarter, and Leads climbed 25% year-over-year. UBS noted that the network business now constitutes a smaller share of the overall revenue mix, which should reduce the magnitude of the network-related drag through 2026.
Despite the top-line challenges, UBS updated its profitability outlook. The firm increased its Adjusted EBITDA estimates for 2026 and 2027 by 13% and 15%, respectively, attributing the revisions to clearer visibility into ANGI's cost base and stronger execution on profitability initiatives. Management also reiterated plans to unify the company's international and domestic platforms by the first quarter of 2027, a move UBS flagged as part of the path to improved efficiency.
On product and timing matters, ANGI expects its homeowner choice initiative to lap by the first quarter of 2026. UBS and company commentary cautioned that the planned platform unification could itself introduce potential headwinds beginning in the second half of 2027.
Other analyst activity and company developments followed the quarterly update. KeyBanc reduced its price target on ANGI to $11 from $17 after the fourth-quarter results and the 2026 guidance, which it judged to fall short of expectations. KeyBanc also emphasized that ANGI now anticipates a later return to revenue growth, postponing that recovery by roughly a quarter or two versus earlier projections.
By contrast, Benchmark maintained a Buy rating and a $27 price target, expressing a more optimistic view despite the recent challenges disclosed by the company. ANGI is scheduled to report earnings on February 10, with an earnings call planned for February 11.
KeyBanc further reiterated an Overweight rating and highlighted ANGI's recent workforce reduction of approximately 350 employees. That headcount cut was framed as part of the company's effort to support long-term growth and to enhance efficiencies through artificial intelligence initiatives.
Taken together, these developments depict a company navigating a pronounced SEO-related revenue decline in its network business while attempting to stabilize and grow proprietary revenue streams, sharpen profitability, and reorganize platforms and cost structure. The mix of analyst responses - from lowered targets to maintained Buy stances - underscores differing assessments of ANGI's ability to translate operational improvements into a sustained revenue recovery.