In a report released today, Curtis Nagle from Bank of America Securities reiterated a Hold rating on Match Group (MTCH – Research Report), with a price target of $33.00.
Curtis Nagle has given his Hold rating due to a combination of factors affecting Match Group’s performance. While foreign exchange rates have turned favorable, providing a potential boost to revenues, there are concerns about macroeconomic uncertainties that could impact payer trends negatively. The improvement in Tinder’s user metrics is a positive sign, yet the growth in Hinge’s user base has slowed, which could affect overall revenue projections.
Despite strong margins and cash flow, the stock faces challenges due to the uncertainty of when payer trends might recover after a period of underperformance. Additionally, while Match Group’s valuation and free cash flow are supportive, the ambitious financial targets for 2026 and beyond present potential risks. These factors contribute to the decision to maintain a Hold rating, reflecting a cautious outlook amidst mixed signals in user trends and broader economic conditions.
In another report released on April 17, Morgan Stanley also maintained a Hold rating on the stock with a $32.00 price target.