Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.
Shares of Bumble (NASDAQ: BMBL) are down 50% from their all-time highs as its share price fell again on Thursday after its Q1 earnings release.
Bumble reported its earnings on Wednesday with users, revenue growth and profit smashing analyst expectations.
Total paying users grew 30% to 2.8 million compared to 2.2 million in 2020, while net earnings were $323.4 million or 1.69 per share compared to a loss of $55.8 million or $0.02 per share the previous year.
They reported revenue of $170.7 million in Q1 2021, compared with $79.1 million in 2020. Analysts had forecasted revenue to come in at $164.6 million.
The dating app company said it expects to report Q2 revenue between $175 million and $178 million with an adjusted EBITDA forecasted in the range of $42 million and $44 million.
Despite the positive earnings release, Bumble's shares have fallen after the open on Wall Street, currently down over 10% at $42.10. It means it is trading over 50% below its all-time high of $84.80, seen back in February.
On Thursday, several analysts commented and lowered their price targets for the stock:
Evercore ISI analyst Shweta Khajuria said Bumble is a “reopening play” and expects growth to hasten post-Covid. However, the analyst said they were “slightly discouraged” by Bumble's FY21 guidance.
One of the most frequently asked questions we receive is, “what stocks are best to buy right now?” It's a wide-ranging question, but one that we have answered… Our AskTraders stock analysts regularly review the market and compile a list of which companies you should be adding to your portfolio, including short and longer-term positions. Here are the best stocks to buy right now
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage . 75 % of retail investor accounts lose money when trading CFDs with this provider . You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money .