Polen Capital: “Bumble (BMBL) is Competitively Advantaged”

Polen Capital, an investment management firm, published its “Polen U.S. Small Company Growth Fund” first quarter 2022 investor letter – a copy of which can be downloaded here. Over the first quarter, the Polen U.S. Small Company Growth Composite Portfolio (the “Portfolio”) returned -21.98% gross and -22.18% net of fees, respectively, underperforming the Russell 2000 Growth Index’s (the “Index’) -12.63% return.   Try to spend some time looking at the fund’s top 5 holdings to be informed about their best picks for 2022. 

In its Q1 2022 investor letter, Polen U.S. Small Company Growth Fund mentioned Bumble Inc. (NASDAQ:BMBL) and explained its insights for the company. Founded in 2014, Bumble Inc. (NASDAQ:BMBL) is an Austin, Texas-based online dating company with a $5.6 billion market capitalization. Bumble Inc. (NASDAQ:BMBL) delivered a -10.16% return since the beginning of the year, while its 12-month returns are down by -34.89%. The stock closed at $30.42 per share on June 03, 2022.

Here is what Polen U.S. Small Company Growth Fund has to say about Bumble Inc. (NASDAQ:BMBL) in its Q1 2022 investor letter:

“Online dating company Bumble delivered strong fourth quarter growth metrics in March. The company has been successfully executing on its core strategic priorities of driving scale and engagement, monetization, and profitability. This is a newer position for us that we opportunistically purchased in the quarter. We are excited about the market potential for online dating, which has been growing in popularity but is still underpenetrated in many markets. The stigma related to it has been lessened as a result of the pandemic and general activity should improve as the economy reopens. We think Bumble is competitively advantaged because the company empowers women to make the first move. We believe that Bumble can take share in dating and leverage its brand in other categories.”

Bumble, Date

Photo by Good Faces Agency on Unsplash

Our calculations show that Bumble Inc. (NASDAQ:BMBL) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Bumble Inc. (NASDAQ:BMBL) was in 17 hedge fund portfolios at the end of the first quarter of 2022, compared to 25 funds in the previous quarter. Bumble Inc. (NASDAQ:BMBL) delivered a 68.25% return in the past 3 months. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

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