Key Points
- Buzz Holdings L.P. Bcp sold 2.76 million Bumble shares for approximately $9.78 million at an average price of $3.54, reducing its ownership by 99.51% to just 13,733 shares.
- Bumble has agreed to be acquired by Ithaca for $6.05 per Class A share, an approximately 138% premium to its unaffected price. The deal would take Bumble private but remains subject to shareholder approval and customary closing conditions.
- The company continues to face operating challenges, including a 15.2% year-over-year revenue decline and a larger-than-expected quarterly loss; analysts give Bumble a consensus “Reduce” rating with an average price target of $4.12.
Bumble Inc. (NASDAQ:BMBL - Get Free Report) major shareholder Buzz Holdings L.P. Bcp sold 2,763,510 shares of Bumble stock in a transaction dated Tuesday, October 13th. The shares were sold at an average price of $3.54, for a total transaction of $9,782,825.40. Following the transaction, the insider directly owned 13,733 shares of the company's stock, valued at approximately $48,614.82. This trade represents a 99.51% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Major shareholders that own 10% or more of a company's shares are required to disclose their transactions with the SEC.
Buzz Holdings L.P. Bcp also recently made the following trade(s):
- On Monday, September 28th, Buzz Holdings L.P. Bcp sold 3,767,776 shares of Bumble stock. The stock was sold at an average price of $2.94, for a total transaction of $11,077,261.44.
Bumble Price Performance
Shares of NASDAQ BMBL opened at $5.97 on Thursday. The company has a 50 day simple moving average of $2.90 and a two-hundred day simple moving average of $3.14. Bumble Inc. has a fifty-two week low of $2.44 and a fifty-two week high of $5.98. The company has a market capitalization of $787.86 million, a price-to-earnings ratio of -1.41 and a beta of 1.88. The company has a debt-to-equity ratio of 0.65, a quick ratio of 1.62 and a current ratio of 1.62.
Bumble (NASDAQ:BMBL - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The company reported ($0.84) EPS for the quarter, missing analysts' consensus estimates of $0.25 by ($1.09). Bumble had a positive return on equity of 35.88% and a negative net margin of 58.99%. The company had revenue of $210.53 million during the quarter, compared to the consensus estimate of $210.46 million. During the same period in the prior year, the firm earned ($2.45) earnings per share. The business's revenue for the quarter was down 15.2% compared to the same quarter last year. Analysts expect that Bumble Inc. will post -0.08 EPS for the current fiscal year.
Hedge Funds Weigh In On Bumble
A number of hedge funds have recently added to or reduced their stakes in BMBL. HB Wealth Management LLC purchased a new stake in Bumble during the 1st quarter valued at $34,000. L2 Asset Management LLC bought a new stake in shares of Bumble in the 2nd quarter worth $42,000. R Squared Ltd bought a new stake in shares of Bumble in the 1st quarter worth $48,000. Abel Hall LLC raised its stake in shares of Bumble by 49.4% in the first quarter. Abel Hall LLC now owns 17,530 shares of the company's stock worth $57,000 after purchasing an additional 5,793 shares during the last quarter. Finally, Chicago Partners Investment Group LLC purchased a new position in shares of Bumble in the first quarter worth $63,000. 94.85% of the stock is currently owned by hedge funds and other institutional investors.
Trending Headlines about Bumble
Here are the key news stories impacting Bumble this week:
- Positive Sentiment: Ithaca will pay Bumble shareholders $6.05 per Class A share, representing an approximately 138% premium to Bumble’s unaffected October 9 closing price. The transaction provides a defined cash-exit value and would take Bumble private. Bumble acquisition announcement
- Positive Sentiment: The announced premium has driven a major repricing in BMBL, with reports describing the stock as up roughly 138% for the week. The deal also reduces investor exposure to Bumble’s ongoing turnaround challenges, including weak user engagement and declining paying users. Reuters Bumble take-private report
- Neutral Sentiment: BMBL is trading close to the proposed $6.05 consideration, leaving only a relatively small spread for investors. Further upside may therefore depend on deal completion rather than Bumble’s standalone operating performance. The transaction remains subject to customary closing conditions and shareholder approval. Yahoo Finance acquisition report
- Negative Sentiment: Several law firms, including Bleichmar Fonti & Auld, Kahn Swick & Foti, and Ademi, have announced investigations into whether the $6.05 price and sale process fairly value Bumble and adequately protect shareholders. These announcements are typically investor solicitations and do not establish wrongdoing, but they could create litigation, delay, or additional uncertainty around the merger. BFA Law Bumble investigation
Analysts Set New Price Targets
BMBL has been the topic of several analyst reports. Raymond James Financial reissued a "market perform" rating on shares of Bumble in a report on Thursday, June 25th. UBS Group raised their price target on Bumble from $3.00 to $6.05 and gave the company a "neutral" rating in a report on Wednesday. Wells Fargo & Company lowered their price target on Bumble from $5.00 to $4.00 and set an "equal weight" rating for the company in a research report on Friday, August 7th. Royal Bank Of Canada lowered their price target on Bumble from $5.00 to $4.00 and set a "sector perform" rating for the company in a research report on Friday, August 7th. Finally, Wall Street Zen cut shares of Bumble from a "buy" rating to a "hold" rating in a research note on Saturday, August 8th. One investment analyst has rated the stock with a Buy rating, fifteen have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Bumble has a consensus rating of "Reduce" and an average target price of $4.12.
Check Out Our Latest Stock Analysis on Bumble
Bumble Company Profile
(
Get Free Report)
Bumble Inc is a technology company that operates a portfolio of online dating and social networking platforms. Its flagship Bumble app is designed to help people make meaningful connections, including romantic relationships, friendships and professional contacts. A distinctive feature of Bumble's dating service has historically given women greater control over initiating conversations in heterosexual matches.
The company also operates Badoo, an online dating platform with a significant international presence, and Bumble For Friends, a service focused on helping users build platonic friendships.
Further Reading
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