Stocks dropped after Donald Trump ordered that U.S. companies find alternatives to their operations in China.US Marketsread more
"We don't need China and, frankly, would be far better off without them," Trump tweeted.Politicsread more
President Trump again rips into Federal Reserve Chairman Jerome Powell, comparing him to Chinese President Xi Jinping.Politicsread more
Powell repeats his pledge to keep the economic expansion going while acknowledging that tariffs and other factors are causing growth to slow.The Fedread more
Trump is meeting with his top trade advisors at the White House amid a slew of tweets that rocked financial markets Friday morning.Marketsread more
The Koch brothers financed one of the most influential political networks in the modern era. The sprawling political empire includes conservative and libertarian nonprofits...Politicsread more
The two American car companies are among the top exporters of U.S.-produced vehicles to China along with BMW and Daimler/Mercedes-Benz, according to industry data obtained by...Autosread more
China says the new tariffs will begin Sept. 1 and Dec. 15. That's when President Trump's latest tariffs on Chinese goods are to take effect.Marketsread more
The dollar fell on Friday following a speech from Federal Reserve Chair Jerome Powell and after President Donald Trump ordered U.S. companies to find alternatives to their...Currenciesread more
On Tuesday, Walmart filed suit against Tesla alleging its solar panels had caused fires in seven of its stores.Technologyread more
Amazon shows numerous listings for toys and medications that lack the proper health risks to children, as well as sleeping mats previously banned by the FDA, according to a...Technologyread more
IAC/InterActive Corp., the holding company behind Vimeo, CollegeHumor, The Daily Beast and a host of other brands, is chronically undervalued by Wall Street despite its efforts to reward investors, CEO Joey Levin said Thursday on CNBC.
Between its majority stakes in two of its now-public former subsidiaries — Tinder parent Match Group and Angie's List parent ANGI Homeservices — and its cash hoard, IAC's total value "usually adds up to something more than [its] market cap," Levin told CNBC's Jim Cramer in a "Mad Money" interview.
At the end of Thursday's trading session, Match Group's market cap was around $15.5 billion and ANGI's was roughly $8.5 billion. Just taking into account IAC's 81.1 percent and 83.9 stakes in each company, respectively, and the $1.7 billion in cash on its balance sheet, that adds up to roughly $21.4 billion — well above IAC's current $18 billion market cap.
"I think [at] any multi-business business, there are reasons that investors give them a discount," Levin said on Thursday, adding that some might think "they'll never get access to the cash flow" because the company is so multifaceted.
But according to Levin, who has been CEO since 2015, IAC has "a history of repurchasing shares, we have a history of paying dividends, things like that, so we generally, I think, should get credit for that," he told Cramer.
People also worry that because IAC is made up of so many different businesses, they might have to pay higher taxes on its stock, which tends to happen with conglomerates because their businesses are taxed separately.
Levin's response? "We've done a number of spin-offs. We've distributed shares tax-free," he said. "Most of the things we do, we try and avoid those conglomerate discount things and we really try and act like an anti-conglomerate."
The CEO added that IAC's management has spotted an encouraging new trend in the last year among company's individual businesses, which also include publishing company Dotdash and fitness platform DailyBurn.
"We've been fortunate to have each of our businesses — really in the last year, in a way we'd never seen before — ... individually growing, and each of them still single-digit-penetrated in huge markets," Levin said. "Take ANGI Homeservices. It's a $400 billion market, and we have single-digit penetration in there and a lead, a pretty substantial lead relative to the next folks."
Shares of IAC climbed 4.41 percent in Thursday's trading session, closing at $215.93. Match Group's stock hit a 52-week high after earnings. ANGI Homeservices lost nearly 4 percent in after-hours trading on the heels of its earnings report after gaining more than 2 percent intraday.