Tinder Turnaround Strategy Inspires Confidence in Match Group (MTCH)

Match Group (NASDAQ:MTCH) is one of the best communication services stocks according to Hedge Funds.

On January 5, Shweta Khajuria from Wolfe Research reaffirmed her stance on Match Group (NASDAQ:MTCH), giving a Buy call. Khajuria revised her price target from $42 to $43, implying about 32% upside.

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She highlighted the outperformance of Internet stocks over the last 3 years, and expects the trend to continue despite some fears of stretched multiples. She predicts AI advancements and relevant product development spending to remain some of the major drivers, along with strong macroeconomic forecasts.

On December 10, RBC Capital analyst Brad Erickson also reiterated his optimistic forecast for Match Group (NASDAQ:MTCH). He assigned a Buy rating with a target price set at $37, leading to an upside of around 13.5%.

Erikson’s rating came after his discussions with senior leadership, which revolved around the turnaround strategy for Tinder. Management emphasized that their focus will be on brand restoration, product improvements, and some level of demonetization to achieve a sustainable recovery.

Match Group (NASDAQ:MTCH) is an internet and technology company that primarily operates several online dating platforms. It offers digital technologies to help people build personal connections, and operates through its four distinct segments. Some of the renowned brands include Tinder, OurTime, Plenty of Fish, Hinge, Match, Meetic, OkCupid, and Pairs.

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