Match Group, Inc. (MTCH): A Bull Case Theory

We came across a bullish thesis on Match Group, Inc. (MTCH) on Value Investing Subreddit Page by sjt-at-revelata. In this article, we will summarize the bulls’ thesis on MTCH. Match Group, Inc. (MTCH)’s share was trading at $29.93 as of May 19th. MTCH’s trailing and forward P/E were 14.82 and 10.91 respectively according to Yahoo Finance.

20 Most Popular Dating Apps In The US

Source: AdobeStock

Match Group (MTCH), long criticized for sluggish growth, is emerging as an overlooked opportunity. Despite its perception as a tech company in decline, the online dating industry remains structurally robust. Match’s fundamentals tell a different story: revenue has more than doubled from $1.7B in 2018 to $3.5B in 2024, with healthy 33% profit margins in Q1 2025. The company returned 135% of its free cash flow—$752.7M in 2024—through aggressive share buybacks. Match is revitalizing its platforms by leaning into spontaneous user experiences and expanding internationally through brands like The League, Azar, and Pairs in high-growth markets such as India, Brazil, and South Korea.

However, the company’s total debt has climbed sharply to $3.9B, raising concerns. Still, when viewed as a lifestyle platform with embedded user behavior, the stock appears far more attractive than its valuation suggests. With strong cash flow, global brand reach, and ripe conditions for a potential private equity buyout, Match looks undervalued. For additional perspective of the online dating industry, you might also be interested in Bumble.

Match Group, Inc. (MTCH) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 50 hedge fund portfolios held MTCH at the end of the fourth quarter which was 58 in the previous quarter. While we acknowledge the risk and potential of MTCH as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than MTCH but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

Disclosure: None. This article was originally published at Insider Monkey.