Lendingtree’s Strong Performance and Promising Outlook Justify Buy Rating

Analyst Mayank Tandon from Needham reiterated a Buy rating on Lendingtree (TREE – Research Report) and decreased the price target to $65.00 from $78.00.

Mayank Tandon has given his Buy rating due to a combination of factors that highlight Lendingtree’s strong performance and promising outlook. The company has reported fourth-quarter results that surpassed market expectations in both revenue and EBITDA, driven by improvements across all three of its business segments, including home equity line of credit demand, personal and small business lending, and insurance leads.
Furthermore, Lendingtree has provided an optimistic forecast for the upcoming quarters, projecting double-digit growth in its consumer, home, and insurance sectors. This positive outlook is supported by successful diversification strategies and a favorable demand environment. Additionally, the stock’s valuation appears attractive, with a forward EV/EBITDA multiple that suggests potential for upside. These elements collectively underpin Tandon’s decision to maintain a Buy rating on Lendingtree’s stock.

Tandon covers the Technology sector, focusing on stocks such as Agilysys, Euronet Worldwide, and Par Technology. According to TipRanks, Tandon has an average return of -2.6% and a 38.12% success rate on recommended stocks.

In another report released today, J.P. Morgan also reiterated a Buy rating on the stock with a $68.00 price target.