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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth

» LEDR's 10-Y Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q4 2012

LEDR Guru Trades in Q4 2012

John Rogers 1,072,306 sh (+18.38%)
Jim Simons 923,500 sh (-0.84%)
» More
Q1 2013

LEDR Guru Trades in Q1 2013

John Rogers 1,264,301 sh (+17.9%)
Jim Simons 994,700 sh (+7.71%)
» More
Q2 2013

LEDR Guru Trades in Q2 2013

Chuck Royce 520 sh (New)
Jean-Marie Eveillard 400,000 sh (New)
Mario Gabelli 47,000 sh (New)
Jim Simons 983,100 sh (-1.17%)
John Rogers 386,995 sh (-69.39%)
» More
Q3 2013

LEDR Guru Trades in Q3 2013

Jean-Marie Eveillard Sold Out
Mario Gabelli Sold Out
Jim Simons Sold Out
Chuck Royce Sold Out
John Rogers Sold Out
» More
» Details

Insider Trades

Latest Guru Trades with LEDR

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Jean-Marie Eveillard 2013-09-30 Sold Out 0.01%$10.82 - $13.18 $ 12.655%0
Mario Gabelli 2013-09-30 Sold Out $10.82 - $13.18 $ 12.655%0
Jean-Marie Eveillard 2013-06-30 New Buy0.01%$8.53 - $10.88 $ 12.6525%400000
Mario Gabelli 2013-06-30 New Buy$8.53 - $10.88 $ 12.6525%47000
Premium More recent guru trades are included for Premium Members only!!
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Guru Investment Theses on Market Leader, Inc.

John Rogers Comments on Market Leader - Aug 17, 2012

From his second quarter commentary:

Market Leader (LEDR) is an integrated software provider for real estate professionals. Founded in 1999 as a lead generation service for real estate professionals, the company has focused on providing end-to-end market and customer relationship management solutions. The company's comprehensive platform helps real estate brokers and agents attract new prospects, convert those prospects into clients, and manage their relationship with clients from first contact to final sale. The company's ActiveRain website is the leading social network for real estate professionals, with more than 200,000 members. RealEstate.com, which Market Leader acquired in September 2011 in a deal Domains.com described as "the buy of the century", provides the company with a valuable source of sales leads for clients.

Expanded Service and Reach

Market Leader has signed a series of deals, which provide stable and consistent payments for the next four years. And even more importantly, significant upside exists as users upgrade to the premium service. In January 2011, the company signed a deal with Keller Williams, the second largest residential realty franchise in the United States with more than 80,000 agents, to provide them with a fully-integrated platform through which they can manage all of their daily activities. In March 2012, the company announced a similar deal with Century21, making Market Leader's platform available to an additional 60,000 agents. Soon after, a third deal was announced, bringing Market Leader's software to 7,000 more agents. These deals are votes of confidence in Market Leader's product from some of the largest customers in the industry.

The Bloomberg of Real Estate

Five years into the real estate downturn, the industry continues to be challenged. And yet, Market Leader's management team has taken advantage of this environment to develop new products and transition from a lead-generation company to an industry-leading software-as-a-service platform. CEO Ian Morris, who is a top shareholder with 7% of shares outstanding, is focused on building the company into "the Bloomberg of real estate." He has the support of an impressive board of directors, including two software industry veterans who each own more than 5% of shares outstanding. Several strategic acquisitions have helped the company bolster its product offering and solidified its market position. As such, Market Leader is on track to generate positive EBITDA in 2012 for the first time since 2005, without significant improvements in the housing market. Market Leader is well positioned for growth when the existing home sales return to normalized levels, home prices grow, and realtors start to spend more on their businesses.

A Bargain Price

When we initiated our position in Market Leader, it was trading at a modest premium to its cash balance, which we perceived as very attractive downside protection. Based on the developments in the business since then, our estimates of its value have more than doubled. As of June 30, 2012, the stock was trading at $5.08, more than 40% below our estimate of intrinsic value.

Check out John Rogers latest stock trades



Valuation & Return


Business Description

Industry: Application Software » Software - Application
Compare:CRM, SQI, RHT, INTU, ADBE » details
Traded in other countries:HDT.Germany

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