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Grindr Inc. (GRND)
:GRND
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Grindr (GRND) AI Stock Analysis

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GRND

Grindr

(NYSE:GRND)

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Neutral 53 (OpenAI - 4o)
Rating:53Neutral
Price Target:
$15.50
▲(2.72% Upside)
Grindr's overall stock score reflects strong revenue growth and cash flow generation, but is tempered by ongoing profitability challenges and a negative P/E ratio. Positive earnings call sentiment and strategic growth plans provide some optimism, but technical indicators suggest mixed momentum.
Positive Factors
Revenue Growth
Consistent revenue growth indicates strong market demand and effective monetization strategies, supporting long-term business expansion.
Product Innovation
Introducing AI-powered features enhances user experience and creates new revenue streams, strengthening competitive positioning.
Cash Flow Improvement
Improved cash flow enhances financial stability and provides resources for reinvestment in growth initiatives, supporting long-term sustainability.
Negative Factors
Profitability Challenges
Ongoing profitability issues may limit the ability to reinvest in growth and innovation, potentially affecting long-term competitiveness.
International Expansion Challenges
Limited focus on international markets could hinder global market share growth and reduce potential revenue diversification.
Advertising Revenue Volatility
Dependence on large, one-time advertising campaigns can lead to revenue volatility, impacting financial predictability and planning.

Grindr (GRND) vs. SPDR S&P 500 ETF (SPY)

Grindr Business Overview & Revenue Model

Company DescriptionGrindr 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 MoneyGrindr generates revenue primarily through a freemium model, where users can access basic features for free but can opt for premium subscriptions that offer additional functionalities. The key revenue streams include subscription fees from its premium service, Grindr XTRA, which provides users with enhanced features like advanced filtering options, ad-free browsing, and increased profile visibility. Additionally, Grindr earns revenue through advertising by partnering with brands that target the LGBTQ+ community, selling ad placements within the app. The company also engages in promotional partnerships and collaborations with relevant organizations and events, further contributing to its earnings. Overall, Grindr's diverse revenue model leverages both direct user payments and advertising income to sustain its operations and growth.

Grindr Earnings Call Summary

Earnings Call Date:Nov 06, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Mar 11, 2026
Earnings Call Sentiment Positive
The earnings call presented a strong financial performance with significant revenue growth and improved EBITDA margins. The introduction of new products and AI features indicates a focus on future growth. However, challenges in repeating certain advertising successes and opportunities for international expansion remain. Overall, the sentiment is positive, with more emphasis on achievements and strategic growth plans.
Q3-2025 Updates
Positive Updates
Strong Revenue Growth
Grindr reported a 30% year-over-year increase in total revenue, reaching $116 million for the quarter.
Adjusted EBITDA Margin Improvement
The adjusted EBITDA margin improved by 2 points to 47%, marking a record for Grindr.
User Engagement and Growth
Average MAU totaled 15.1 million with a payer penetration rate of 8.6%, and ARPU of $24.70.
Expansion and Product Innovation
Grindr is testing a new AI-powered premium tier designed for power users, expected to be a meaningful revenue opportunity by late 2026.
Increase in Full Year 2025 Adjusted EBITDA Guidance
Grindr increased its full year 2025 adjusted EBITDA guidance to between $191 million and $193 million, with an implied margin greater than 43%.
Negative Updates
Potential Impact of Prior Year Advertising Campaign
The company does not expect to repeat the strong advertising outperformance from Q3 in the upcoming Q4 due to the absence of a large one-time brand campaign that benefited the previous year.
Challenges in International Markets
Grindr has not prioritized international growth as much as other initiatives, and there are opportunities for improvement in localization and brand recognition in countries like Brazil, Philippines, and India.
Company Guidance
During Grindr's Third Quarter 2025 Earnings Call, the company reported a 30% year-over-year increase in revenue, with total revenue reaching $116 million and an adjusted EBITDA margin of 47%. Grindr raised its full-year 2025 adjusted EBITDA guidance to between $191 million and $193 million, implying a margin of over 43%, while reaffirming its revenue growth outlook of at least 26%. The company highlighted a strong performance in its ads business, which contributed to the growth, and noted a 25% increase in direct revenue and a 56% increase in indirect revenue. The average number of paying users was 1.3 million, with an 8.6% penetration rate and an average revenue per user (ARPU) of $24.70. Grindr also discussed its strategic focus on expanding product offerings and testing subscription price changes, as well as the introduction of a new AI-powered premium tier for power users, which is expected to generate significant revenue opportunities starting in late 2026.

Grindr Financial Statement Overview

Summary
Grindr shows strong revenue growth and efficient cost management, but profitability remains a challenge with negative net income and EBIT margins. The balance sheet has improved in leverage, but equity levels are low. Cash flow metrics are strong, indicating effective cash generation despite profitability issues.
Income Statement
45
Neutral
Grindr's income statement shows a mixed performance. The company has achieved a consistent revenue growth rate, with a notable 6.87% increase in the TTM period. However, profitability remains a concern, as evidenced by negative net profit margins and EBIT margins in recent periods. The gross profit margin is strong at around 74.5%, indicating efficient cost management relative to revenue. Despite this, the negative EBITDA margin highlights challenges in operational efficiency.
Balance Sheet
40
Negative
The balance sheet reveals a moderate financial position. The debt-to-equity ratio has improved significantly in the TTM period, dropping to 0.21 from negative figures in previous years, indicating better leverage management. However, the return on equity remains negative, reflecting ongoing profitability challenges. The equity ratio is low, suggesting limited equity financing relative to total assets, which could pose risks if debt levels increase.
Cash Flow
60
Neutral
Grindr's cash flow statement shows positive trends, with a strong free cash flow growth rate of 22.92% in the TTM period. The operating cash flow to net income ratio is robust at 1.56, indicating effective cash generation relative to earnings. The free cash flow to net income ratio is also healthy, suggesting that the company is generating sufficient cash to cover its net losses. These metrics highlight a solid cash flow position despite profitability issues.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue411.55M344.64M259.69M195.01M145.83M104.46M
Gross Profit306.63M257.06M192.23M143.74M108.47M73.04M
EBITDA-11.34M-75.76M21.30M70.09M68.23M27.01M
Net Income-49.36M-131.00M-55.77M852.00K5.06M-20.85M
Balance Sheet
Total Assets439.19M479.09M444.60M438.83M449.73M503.70M
Cash, Cash Equivalents and Short-Term Investments6.33M59.15M27.61M8.72M15.78M41.39M
Total Debt15.00M293.91M344.25M365.34M137.12M193.93M
Total Liabilities368.23M610.66M462.89M434.78M186.49M247.45M
Stockholders Equity70.95M-131.57M-18.29M4.05M263.24M-10.96M
Cash Flow
Free Cash Flow144.01M94.01M31.92M45.06M30.63M-812.36K
Operating Cash Flow146.29M94.96M36.15M50.64M34.43M-345.36K
Investing Cash Flow-7.00M-5.34M-4.23M-5.58M-3.80M-278.76M
Financing Cash Flow167.21M-58.85M-13.04M-52.11M-56.25M280.25M

Grindr Technical Analysis

Technical Analysis Sentiment
Positive
Last Price15.09
Price Trends
50DMA
14.48
Positive
100DMA
16.80
Negative
200DMA
18.38
Negative
Market Momentum
MACD
-0.09
Negative
RSI
58.55
Neutral
STOCH
37.81
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GRND, the sentiment is Positive. The current price of 15.09 is above the 20-day moving average (MA) of 13.53, above the 50-day MA of 14.48, and below the 200-day MA of 18.38, indicating a neutral trend. The MACD of -0.09 indicates Negative momentum. The RSI at 58.55 is Neutral, neither overbought nor oversold. The STOCH value of 37.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GRND.

Grindr Risk Analysis

Grindr disclosed 58 risk factors in its most recent earnings report. Grindr reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Grindr Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$1.17B9.0821.16%6.79%12.97%
67
Neutral
$8.16B58.9124.53%14.90%
63
Neutral
$7.64B-0.63%28.97%98.96%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
61
Neutral
$4.74B-3.92%35.87%85.20%
53
Neutral
$2.61B-76.08%28.35%24.57%
50
Neutral
$563.74M-25.34%-7.43%61.29%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GRND
Grindr
15.09
0.09
0.60%
LYFT
Lyft
22.04
4.26
23.96%
YALA
Yalla Group
7.20
3.15
77.78%
BMBL
Bumble
4.26
-3.81
-47.21%
ZETA
Zeta Global Holdings Corp
19.51
-16.07
-45.17%
GTLB
Gitlab
45.55
-14.95
-24.71%

Grindr Corporate Events

Grindr Inc. Reports Strong Q3 2025 Revenue Growth
Nov 7, 2025

Grindr Inc. is a leading social networking app primarily serving the LGBTQ+ community, known for its significant presence in the dating and social networking industry, with a focus on connecting users globally.

Business Operations and StrategyExecutive/Board Changes
Grindr Appoints New CFO to Drive Growth
Positive
Oct 1, 2025

On September 30, 2025, Grindr Inc. announced the appointment of John F. North as the new Chief Financial Officer, effective October 1, 2025. North brings over 20 years of experience in leading high-growth public companies and will work closely with Grindr’s executive team to drive the company’s strategy and financial operations. This leadership change is expected to support Grindr’s rapid growth and enhance shareholder value. The appointment includes a comprehensive compensation package with performance-based incentives, reflecting Grindr’s focus on strategic expansion and value creation.

The most recent analyst rating on (GRND) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on Grindr stock, see the GRND Stock Forecast page.

Grindr Inc.’s AI Integration: Navigating Risks and Regulatory Challenges
Aug 10, 2025

Grindr Inc. faces significant business risks due to its integration of artificial intelligence (AI) and machine learning (ML) technologies into its operations and services. The deployment of AI/ML, particularly generative AI, presents challenges such as potential operational failures, legal liabilities, and reputational damage. Additionally, the company must navigate complex regulatory landscapes and privacy laws, which could lead to compliance costs and legal actions. Competitive pressures and the need for continuous innovation in AI/ML offerings further compound these risks, potentially impacting Grindr’s market position and financial performance.

Grindr Inc. Reports Strong Q2 2025 Growth
Aug 8, 2025

Grindr Inc. is a prominent social networking app catering primarily to the LGBTQ+ community, offering a platform for connection and expression across more than 190 countries. The company has established itself as a leader in the digital dating industry, known for its unique focus on location-based services and community engagement.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 08, 2025