Tech Industry

Agency.com snaps out of slump

Shares of Agency.com raced up 4 31/64, or 18 percent, to 29 1/4 Wednesday after Goldman Sachs upgraded the Internet consulting firm from a "market perform" recommendation to a "buy."

Since its strong initial public offering in December, Agency.com (Nasdaq: ACOM) shares have been locked in a steady descent.

The stock peaked at 98 in December before falling to a low of 24 1/2 earlier this month.

In its latest quarter, Agency.com to post a smaller-than-expected loss, dropping $1.8 million, or 6 cents a share, on sales of $31.3 million.

For the year, it lost $12.8 million, or 53 cents a share, on sales of $87.8 million versus a loss of $2.5 million, or 15 cents a share, on sales of $26.4 million.

Analysts are expecting it to lose 3 cents a share in its first quarter before posting a profit of 3 cents a share in the fiscal year.

Both analysts following the stock maintain either a "buy" or "strong buy" recommendation.