Bumble (NASDAQ:BMBL) Issues Quarterly Earnings Results, Misses Estimates By $1.09 EPS

Bumble (NASDAQ:BMBL) announced its quarterly earnings results on Wednesday. The company reported ($0.84) earnings per share for the quarter, missing the consensus estimate of $0.25 by ($1.09), FiscalAI reports. The business had revenue of $210.53 million during the quarter, compared to the consensus estimate of $210.46 million. Bumble had a negative net margin of 72.04% and a positive return on equity of 32.66%. Bumble’s revenue was down 15.2% compared to the same quarter last year. During the same period in the previous year, the business posted ($2.45) EPS.

Here are the key takeaways from Bumble’s conference call:

• Technology migration delayed the product roadmap. Bumble’s move to its new cloud-based technology platform is running about two months late because of data volume and complexity, pushing the new interaction model into very early 2027, though management expects substantially faster product and algorithm development once completed.
• Early product tests showed improved chat initiation, matches, and mutual conversations after changes to opening messages, response windows, and recommendation algorithms. Bumble plans to roll these updates out globally by the end of August.
• The company is preparing to reinvest in brand marketing beginning in the third quarter, targeting younger users through creators, communities, and local experiences. Management believes Bumble has strong favorability among existing users and that the main opportunity is rebuilding awareness among younger cohorts.
• Bumble is testing a more compelling free product, including limited access to the “Liked You” feature, alongside simpler subscription tiers and a potential higher-priced tier. Early tests increased votes, matches, and mutual chats, but the company is applying guardrails to limit potential impacts on revenue per user and payer conversion.
• Second-quarter revenue fell to $211 million from $248 million year over year, while adjusted EBITDA declined to $73 million from $95 million. Third-quarter guidance calls for revenue of $205 million–$213 million and adjusted EBITDA of $56 million–$60 million, with margins expected to normalize as technology, talent, and marketing investments increase.

Bumble Stock Performance

Shares of NASDAQ BMBL traded down $0.16 during midday trading on Wednesday, reaching $3.04. The company’s stock had a trading volume of 4,487,761 shares, compared to its average volume of 3,575,675. The stock has a market capitalization of $394.65 million, a P/E ratio of -0.52, a PEG ratio of 0.10 and a beta of 1.87. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.22 and a quick ratio of 1.22. The firm has a 50 day moving average price of $2.99 and a 200-day moving average price of $3.28. Bumble has a 12-month low of $2.54 and a 12-month high of $7.95.

Analyst Upgrades and Downgrades

Several analysts have recently commented on the company. Weiss Ratings downgraded Bumble from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Thursday, May 7th. Raymond James Financial reiterated a “market perform” rating on shares of Bumble in a report on Thursday, June 25th. Citigroup lowered their price target on Bumble from $3.90 to $3.60 and set a “neutral” rating for the company in a research report on Tuesday, May 26th. UBS Group lifted their price objective on shares of Bumble from $4.00 to $4.50 and gave the stock a “neutral” rating in a report on Wednesday, May 6th. Finally, Wall Street Zen upgraded shares of Bumble from a “hold” rating to a “buy” rating in a research note on Saturday, June 27th. One research analyst has rated the stock with a Buy rating, fifteen have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Reduce” and a consensus target price of $4.33.

Insider Buying and Selling at Bumble

In related news, major shareholder Holdings Gp Man Blackstone III sold 7,477,500 shares of Bumble stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $3.78, for a total transaction of $28,264,950.00. Following the sale, the insider directly owned 19,374 shares in the company, valued at approximately $73,233.72. This trade represents a 99.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder Buzz Holdings L.P. Bcp sold 7,477,500 shares of the business’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $3.78, for a total value of $28,264,950.00. Following the completion of the transaction, the insider directly owned 19,374 shares in the company, valued at approximately $73,233.72. This represents a 99.74% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 29,954,026 shares of company stock valued at $113,182,633 in the last ninety days. 15.35% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Bumble

Several institutional investors have recently added to or reduced their stakes in the stock. Saba Capital Management L.P. increased its holdings in Bumble by 52.6% during the fourth quarter. Saba Capital Management L.P. now owns 5,337,549 shares of the company’s stock worth $19,055,000 after buying an additional 1,838,923 shares during the last quarter. Jacobs Levy Equity Management Inc. bought a new position in shares of Bumble during the 4th quarter valued at approximately $3,516,000. Cubist Systematic Strategies LLC grew its position in shares of Bumble by 3,714.4% during the 2nd quarter. Cubist Systematic Strategies LLC now owns 923,093 shares of the company’s stock valued at $6,083,000 after acquiring an additional 898,893 shares during the period. Barclays PLC increased its stake in shares of Bumble by 137.7% during the 3rd quarter. Barclays PLC now owns 1,380,934 shares of the company’s stock worth $8,410,000 after purchasing an additional 799,947 shares during the last quarter. Finally, AQR Capital Management LLC increased its stake in shares of Bumble by 75.8% during the 4th quarter. AQR Capital Management LLC now owns 1,616,696 shares of the company’s stock worth $5,772,000 after purchasing an additional 697,322 shares during the last quarter. Institutional investors own 94.85% of the company’s stock.

About Bumble

Bumble Inc operates a technology platform designed to facilitate social and professional connections through its suite of apps, most notably the flagship Bumble dating app. The company’s core premise is to empower users—particularly women—to make the first move, helping to reshape traditional dating dynamics. In addition to its dating function, Bumble offers mode-switching features that allow users to find friends through “Bumble BFF” or pursue professional networking opportunities via “Bumble Bizz.”

Beyond the Bumble app, the company also owns and operates Badoo, a social discovery platform with a substantial global footprint, particularly in Europe and Latin America.