MediaAlpha Q3 revenue beats analyst estimates amid digital customer acquisition shift

MediaAlpha

28/10/2026 20:23

Overview
US insurance customer acquisition platform's Q3 revenue rose 23%, beating analyst expectations
Q3 adjusted EBITDA beat analyst expectations, rising 36% year over year
Company repurchased $9 mln of stock in Q3, $82 mln total under buyback program

Outlook
MediaAlpha sees Q4 revenue between $355 mln and $375 mln
Company expects Q4 contribution of $54 mln to $57 mln
MediaAlpha forecasts Q4 adjusted EBITDA of $36 mln to $39 mln

Result Drivers
CARRIER SPENDING - Co said aggressive competition and higher budgets from insurance carriers in home and auto drove marketplace demand
OPERATING LEVERAGE - Co attributed results in part to operating leverage and cash generation, per CFO Tigran Sinanyan
DIGITAL ACQUISITION - Co cited ongoing shift toward digital customer acquisition as supporting growth

Company press release: ID:nGNX5CKyWt

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$375.95 mln
$347.93 mln (8 Analysts)
Q3 Net Income
 
$29.36 mln
 
Q3 Adjusted EBITDA
Beat
$39.50 mln
$33.77 mln (7 Analysts)
Q3 Gross Margin
 
14.70%
 
Q3 Operating Income
 
$28.83 mln
 
Q3 Pretax Profit
 
$37.17 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for MediaAlpha, Inc. is $15.00, about 27.4% above its October 27 closing price of $11.77
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads
Oct 26 - Insurance brokerage Brown & Brown's Q3 revenue misses estimates
Oct 28 - Brown & Brown CEO says admitted market competition hit specialty organic revenue in Q3
Oct 28 - Aon reports 6% organic growth, Q3 earnings beat consensus

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)