Constant Contact Surges Most Since 2007 on Revenue ForecastAri Levy
Constant Contact Inc., a maker of software that helps businesses with e-mail marketing, climbed the most in more than six years after increasing its sales forecast for the year.
The shares surged 29 percent to $28.22 at the close today in New York, the biggest gain since Oct. 3, 2007, Constant Contact’s first day of trading. The stock has more than doubled in the past year.
Revenue this year will jump 16 percent to about $330 million, up from a previous forecast of more than 13 percent growth, the Waltham, Massachusetts-based company said yesterday while announcing preliminary first-quarter earnings. Chief Executive Officer Gail Goodman said the company is adding new customers and generating more revenue per client.
Constant Contact, which plans to announce full quarterly results on May 1, provides online marketing tools to more than 500,000 small organizations.