MeetMe's Stock Soars After Sales Outlook Raised

Shares of MeetMe Inc. soared 12% in after-hours trade Tuesday, after the social-gathering company raised its second-quarter sales outlook. The company now expects revenue for the quarter ended June 30 in the range of $10.5 million to $10.7 million, up from its previous estimate of $9 million to $9.5 million. The company's guidance for adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) was raised to $1.5 million to $2 million from $250,000 to $750,000. "Since resuming management of our advertising inventory, we have experienced stronger rates than we originally anticipated," said Chief Executive Geoff Cook. "We continue to enhance and improve our current ad inventory and look forward to testing full-screen mobile video ad units in July." The stock had tumbled 26% over the past three months through Tuesday's close, compared with the S&P 500's 0.9% gain.