Skip to Content

Match Group Inc MTCH

Rating as of

Morningstar’s Analysis

Valuation
Currency in USD
Is it the right time to buy or sell?
Find out with Morningstar Premium
Is it the right time to buy or sell?
Find out with Morningstar Premium

1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Capital Allocation

PREMIUM

Match Misses Q3 Expectations, but New Features and Products Will Drive Healthy Top Line Growth

Ali Mogharabi Senior Equity Analyst

Analyst Note

| Ali Mogharabi |

Match’s third-quarter results missed the FactSet consensus estimates on the top and bottom lines. However, we were pleased that newer apps such as Hinge, not just Tinder, increased their contribution to higher user monetization, displaying the firm’s network effect moat source. With more enhancements to Tinder and new products from the Hyperconnect technology, we think Match is well-positioned to attract more payers and grow the top line at double-digit rates, accommodated by margin expansion through 2025. However, we believe narrow-moat Match remains overvalued as it continues to trade at a premium to our $118 fair value estimate.

Read Full Analysis

Company Profile

Business Description

Match Group is a provider of online dating products. The firm became public in 2015 and was more than 80% owned by IAC/InterActiveCorp until IAC spun it off in second-quarter 2020. The company has a vast portfolio of different online dating service providers, including Tinder, Match.com, OkCupid, PlentyOfFish, and Meetic. Match Group has more than 45 brands of online dating sites and/or apps, from which it generates user fee revenue (95%) and advertising revenue (5%).

Contact
8750 North Central Expressway, Suite 1400
Dallas, TX, 75231
T +1 214 576-9352
Sector Communication Services
Industry Internet Content & Information
Most Recent Earnings Sep 30, 2021
Fiscal Year End Dec 31, 2021
Stock Type Slow Growth
Employees 1,900

Related