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BMBL stock’s most recent pullback offers up an attractive buy according to Jefferies.

Bumble’s recent pullback offers attractive opportunity, says Jefferies

Jefferies analyst Brent Thill believes investors will be pleased with the 27% ex-forex revenue growth reported by Bumble (BMBL) in Q4 given many concerns leading into the report and he calls FY22 Bumble App revenue guidance of 34%-36% growth that was above the Street forecast of 29% the biggest positive surprise. Thill believes the recent pullback, with the stock down 52% year-to-date and trading at about a 30% discount to Match Group (MTCH), offers an attractive opportunity and he kept a Buy rating and $36 price target on Bumble shares.

Bumble results strong across the board says JPMorgan

JPMorgan analyst Cory Carpenter lowered the firm’s price target on Bumble to $41 from $50 and keeps an Overweight rating on the shares. There was a lot of concern into Bumble’s earnings around the company’s Russia exposure, and the results not only proved these fears were overdone, but “were flat out strong across the board,” Carpenter tells investors in a research note. The guidance implies Bumble app payer net adds will be notably higher in 2022 versus 2021, says the analyst.

Bumble discontinuing operations in Russia

Bumble announced that it is discontinuing its operations in Russia, as well as removing all of its apps from the Apple App Store and Google Play Store in Russia and Belarus. The combined revenue from Russia, Ukraine, and Belarus was approximately 2.8% of total Bumble annual revenue in 2021, almost all in Badoo App and Other revenue. Russia, Belarus, and Ukraine contribute less than 0.1% of Bumble App revenue.

Bumble Announced Q4 and Full Year Results

On March 8, 2022, Bumble Inc. (NASDAQ: BMBL), the parent company of Bumble, Badoo, and Fruitz, reported financial results for the fourth quarter and full year ended December 31, 2021.

Bumble reported Q4 EPS of (8c) versus the consensus estimate of zero. The company reported Q4 revenue of $208.2M versus the consensus estimate of $209.55M. Q4 total paying users increased 10.6% to 3.0M, compared to 2.7M in Q4 of 2020, total average revenue per paying user, or ARPPU, was $22.83, compared to $20.02 in Q4 of 2020.

Fourth Quarter 2021 Operational and Financial Highlights:
(All comparisons relative to the Fourth Quarter 2020)

Revenue increased 25.7% to $208.2 million, compared to $165.6 million. This includes an unfavorable impact of $1.5 million from foreign currency movements year over year.
Bumble App revenue increased 42.2% to $150.5 million, compared to $105.8 million.
Badoo App and Other revenue decreased (3.5)% to $57.7 million, compared to $59.8 million.
Total paying users increased 10.6% to 3.0 million, compared to 2.7 million.
Total average revenue per paying user (ARPPU) was $22.83, compared to $20.02.
Net loss was $14.7 million, or (7.0)% of revenue, compared to net loss of $26.1 million, or (15.8)% of revenue.
Adjusted EBITDA was $54.8 million, or 26.3% of revenue, compared to $44.1 million, or 26.6% of revenue.

“We are pleased to deliver another quarter of strong revenue and adjusted EBITDA growth and are excited to add Fruitz to our family of global, market-leading apps,” said Whitney Wolfe Herd, founder and CEO of Bumble. “In our first year as a public company, and with our mission at the forefront of everything we do, we successfully executed on our core strategic priorities: driving scale and engagement, increasing monetization, and improving profitability.”

📺 Why has bumble Dating App Stock Price FALLEN drastically? | Bumble $BMBL Stock Analysis

Why has bumble Dating App Stock Price FALLEN drastically? | Bumble $BMBL Stock Analysis

📉 BMBL Stock Technical Analysis

The large players volume has exploded higher which is bullish but both the long and short-term trends are negative. It is better to avoid buying stocks with negative trends. BMBL is part of the Interactive Media & Services industry. There are 78 other stocks in this industry, of which 68% are performing better than BMBL. BMBL is currently making a new 52 week low. This is a very bad signal. BMBL is lagging the S&P500 Index which is trading in the middle of its 52-week range.

The technical rating of BMBL is bad and it also does not present a quality setup at the moment. BMBL stock has a Setup Rating of 3 out of 10. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first. Click here to sign up for email alerts on when BMBL stock consolidates and has a Setup Rating of 8 or higher.

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