William Blair analyst Adam Klauber has maintained their bullish stance on MAX stock, giving a Buy rating on April 22.
Adam Klauber has given his Buy rating due to a combination of factors including MediaAlpha’s significant growth in transaction value and revenue, which exceeded expectations. The company’s transaction value surged by 116% to $473 million, surpassing the estimated $432 million, while revenue increased by 109% to $264 million, above the anticipated $238 million. This growth was largely driven by a 200% year-over-year increase in P&C transaction value and a slightly better-than-expected open platform mix.
Furthermore, despite the ongoing FTC investigation into the company’s under-65 health business, Klauber sees long-term value in MediaAlpha’s leading position in P&C insurance advertising. The company’s adjusted EBITDA also outperformed estimates, reaching $29 million compared to the expected $25 million. With strong P&C momentum and promising second-quarter guidance, Klauber maintains a positive outlook on MediaAlpha’s future performance.
In another report released on April 22, KBW also maintained a Buy rating on the stock with a $16.00 price target.