Grindr (GRND) AI Stock Analysis

• Market Cap: $2.94B
• Dividend Yield: N/A
• Average Volume (3M): 2.14M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.57
• Revenue Growth: 28.35%
• EPS Growth: 24.57%
• Country: US
• Employees: 142
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Application
• EPS (TTM): 0.08
• Shares Outstanding: 191,977,660
• 10 Day Avg. Volume: 1,691,462
• 30 Day Avg. Volume: 2,137,943
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.60
• Enterprise Value/Revenue: 12.21
• Enterprise Value/Gross Profit: 16.43
• Enterprise Value/Ebitda: -677.58
• 1Y Price Target: $22.75
• Price Target Upside: 50.56% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 50 Neutral
• Price Target: $16.50 ▲(9.20% Upside)

Grindr's overall stock score is driven by strong revenue growth and positive earnings call sentiment. However, significant challenges in profitability, valuation concerns, and technical weakness weigh down the score.

Positive Factors

Product Expansion

The expansion of Grindr Inc.'s product offerings is expected to drive significant growth, supported by new product initiatives and advertising revenue.

Revenue Growth

Grindr Inc. reported a 27% year-over-year revenue growth in the second quarter, reflecting strong advertising performance and robust engagement.

Share Buyback

Grindr Inc. announced a buyback program of up to $500 million, indicating confidence in their business and supporting stock value.

Negative Factors

Direct Revenue

Grindr Inc.'s direct revenue growth was lower than expected, despite robust advertising growth, potentially impacting overall financial performance.

Market Challenges

Grindr Inc. faces challenges in expanding further in direct revenue streams, as lower than expected growth could affect future revenue targets.

Grindr Business Overview & Revenue Model

Company Description

Grindr Inc. operates social network platform for the LGBTQ community. Its platform enables gay, bi, trans, and queer people to engage with each other, share content and experiences, and express themselves. It offers a free, ad-supported service and a premium subscription version. The company was founded in 2009 and is based in West Hollywood, California.

How the Company Makes Money

Grindr generates revenue primarily through its subscription-based model and in-app advertising. The app offers a premium service known as Grindr XTRA, which provides users with additional features such as ad-free browsing, unlimited blocks and favorites, and advanced filters for a monthly fee. Additionally, Grindr offers another premium tier called Grindr Unlimited, which includes even more exclusive features such as incognito browsing and the ability to unsend messages. Alongside subscriptions, Grindr monetizes its large user base through targeted advertising, partnering with brands to deliver ads that resonate with its audience. These revenue streams are further supported by strategic partnerships with companies and organizations that align with its brand values and community focus.

Grindr Financial Statement Overview

Summary

Grindr shows strong revenue growth and improving cash flow metrics, but struggles with profitability and balance sheet stability. Operational inefficiencies and leverage need addressing for better financial health.

Income Statement

Grindr's revenue has shown consistent growth, with a TTM revenue growth rate of 6.02%. However, the company is struggling with profitability, as indicated by negative net profit margins and EBIT margins over the periods. The gross profit margin remains strong at approximately 74%, but the negative EBITDA margin suggests operational inefficiencies.

Balance Sheet

The balance sheet shows improvement in the debt-to-equity ratio, now at 0.08 in the TTM period, reflecting reduced leverage. However, the company has faced challenges with negative equity in previous years, impacting return on equity, which is currently negative. The equity ratio is not favorable, indicating potential financial instability.

Cash Flow

Grindr's cash flow position is improving, with a significant free cash flow growth rate of 25.54% in the TTM period. The operating cash flow to net income ratio is strong at 1.57, indicating good cash generation relative to net income. However, the free cash flow to net income ratio is slightly below 1, suggesting room for improvement in cash profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	385.10M	344.64M	259.69M	195.01M	145.83M	104.46M
Gross Profit	286.19M	257.06M	192.23M	143.74M	108.47M	73.04M
EBITDA	-6.94M	-75.76M	21.30M	70.09M	68.23M	27.01M
Net Income	-55.51M	-131.00M	-55.77M	852.00K	5.06M	-20.85M
Balance Sheet
Total Assets	547.62M	479.09M	444.60M	438.83M	449.73M	503.70M
Cash, Cash Equivalents and Short-Term Investments	120.83M	59.15M	27.61M	8.72M	15.78M	41.39M
Total Debt	15.00M	293.91M	344.25M	365.34M	137.12M	193.93M
Total Liabilities	359.93M	610.66M	462.89M	434.78M	186.49M	247.45M
Stockholders Equity	187.69M	-131.57M	-18.29M	4.05M	263.24M	-10.96M
Cash Flow
Free Cash Flow	117.15M	94.01M	31.92M	45.06M	30.63M	-812.36K
Operating Cash Flow	119.97M	94.96M	36.15M	50.64M	34.43M	-345.36K
Investing Cash Flow	-4.04M	-5.34M	-4.23M	-5.58M	-3.80M	-278.76M
Financing Cash Flow	-11.45M	-58.85M	-13.04M	-52.11M	-56.25M	280.25M

Grindr Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.11
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GRND, the sentiment is Negative. The current price of 15.11 is below the 20-day moving average (MA) of 16.17, below the 50-day MA of 18.70, and below the 200-day MA of 18.81, indicating a bearish trend. The MACD of -0.93 indicates Negative momentum. The RSI at 30.26 is Neutral, neither overbought nor oversold. The STOCH value of 12.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GRND.

Grindr Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
YALA	78 Outperform	$1.20B	9.55	21.16%	―	6.79%	12.97%
LYFT	68 Neutral	$6.83B	77.30	14.07%	―	19.94%	―
ZETA	66 Neutral	$4.41B	―	-8.21%	―	40.60%	79.56%
GTLB	63 Neutral	$7.88B	470.51	2.53%	―	28.97%	98.96%
Sector *	61 Neutral	$35.09B	8.26	-10.58%	1.90%	8.56%	-9.51%
BMBL	52 Neutral	$634.46M	―	-75.71%	―	-5.06%	-2318.18%
GRND	50 Neutral	$2.94B	―	-76.08%	―	28.35%	24.57%

Grindr Corporate Events

Grindr Reports 27% Revenue Growth in Q2 2025

On August 7, 2025, Grindr Inc. reported a 27% revenue growth for the second quarter of 2025, reaching $104 million, with a net income of $17 million and an adjusted EBITDA of $45 million. The company emphasizes its strong performance and strategic focus on AI-native consumer platforms, which are expected to sustain its competitive advantage and long-term shareholder value.

Grindr Announces CFO Transition on July 31, 2025

On July 31, 2025, Grindr Inc. announced the planned transition of its Chief Financial Officer, Vanna Krantz, who will remain in her role until a successor is appointed. Krantz, who has been instrumental in Grindr’s public market entry and financial planning, will assist with the transition and is set to receive severance benefits upon her resignation. Additionally, Grindr held its 2025 annual stockholder meeting on July 30, where key decisions included the election of directors and the ratification of Ernst & Young LLP as the independent registered public accounting firm. A stockholder proposal on freedom of association was not approved.

Grindr Announces Board Changes and New Audit Chair

On June 3, 2025, Grindr Inc. announced the resignation of Gary Horowitz from its Board of Directors, with Chad Cohen appointed as his replacement and as Chair of the Audit Committee. Cohen, a seasoned finance executive, brings extensive experience from his previous roles at Zillow, Adaptive Biotechnologies, and Capella Space, and is expected to contribute significantly to Grindr’s growth and strategic direction. The company also revised its Non-Employee Director Compensation Policy, adjusting annual cash retainers and equity awards for board members.