Match slides after CEO change, bleak 2025 outlook

Zillow

05/02/2025 13:28

** Shares of Tinder owner Match Group  MTCH.O  down 7.5% to
$33.74 premarket after announcing CEO switch and disappointing
forecast
** Co late Tues named Spencer Rascoff as new CEO, succeeding
Bernard Kim, at a time it looks to attract more users to its
dating app
    ** Dallas-basd firm, which also operates Hinge, OkCupid and
Plenty of Fish, said it sees 2025 rev of $3.38-$3.5 bln compared
to LSEG estimate of $3.5 bln
    ** Its Q1 rev outlook also missed consensus
** Rascoff, co-founder and former CEO of online home-listing
firm Zillow Group  ZG.O , was appointed to MTCH's board last
year after talks with activist investor Elliott Investment
Management to improve its performance
    **  BTIG, which rates MTCH 'neutral', in a note late Tues
said visibility on a Tinder turn-around remains "very low",
adding that "the question at hand is whether adding Mr. Rascoff
can bring a turn-around into better focus"
    ** Of 26 analysts covering MTCH, recommendation breakdown is
11 "strong buy" or "buy" and 15 "hold"; median PT of $35 down
from $45 on Nov 5 - LSEG data
    ** Through Tues close, shares up 11.5% YTD following ~10%
decline in 2024. Stock well off its record-high close of $175.53
set in Oct 2021

(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
((lance.tupper@tr.com 1-646-279-6380))