Grindr (NYSE:GRND) Downgraded by Wall Street Zen to "Hold"

Key Points

• Grindr has been downgraded from a "buy" rating to a "hold" rating by Wall Street Zen, with several analysts adjusting their price targets, including JMP Securities lowering theirs from $27.00 to $23.00.
• The company's latest quarterly earnings missed expectations, reporting $0.08 per share against a consensus estimate of $0.10, while revenue was also slightly below estimates at $104 million.
• Insider transactions indicate significant selling activity, with high-profile insiders, including CFO Vandana Mehta-Krantz, reducing their stock holdings, which raises concerns about future performance.

Grindr (NYSE:GRND - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Sunday.

Other equities research analysts have also recently issued research reports about the company. Raymond James Financial lowered their price target on Grindr from $26.00 to $20.00 and set an "outperform" rating for the company in a research note on Friday, August 8th. The Goldman Sachs Group upped their target price on Grindr from $20.00 to $26.00 and gave the stock a "buy" rating in a research report on Monday, May 12th. Citizens Jmp started coverage on Grindr in a research report on Monday, June 30th. They set an "outperform" rating and a $27.00 target price for the company. Finally, JMP Securities decreased their target price on Grindr from $27.00 to $23.00 and set a "market outperform" rating for the company in a research report on Monday, August 11th. Five analysts have rated the stock with a Buy rating, According to MarketBeat, the company presently has an average rating of "Buy" and a consensus price target of $22.60.

Grindr Stock Down 2.6%

Shares of NYSE GRND traded down $0.42 during trading hours on Friday, hitting $15.55. The stock had a trading volume of 722,213 shares, compared to its average volume of 1,821,117. The company has a market capitalization of $2.99 billion, a P/E ratio of -35.33 and a beta of 0.25. The firm's 50-day moving average price is $20.16 and its two-hundred day moving average price is $19.98. Grindr has a 52 week low of $11.39 and a 52 week high of $25.13. The company has a debt-to-equity ratio of 1.43, a quick ratio of 2.48 and a current ratio of 2.48.

Grindr (NYSE:GRND - Get Free Report) last announced its quarterly earnings results on Thursday, August 7th. The company reported $0.08 EPS for the quarter, missing the consensus estimate of $0.10 by ($0.02). The firm had revenue of $104.00 million during the quarter, compared to the consensus estimate of $104.40 million. Grindr had a negative net margin of 14.41% and a positive return on equity of 84.93%. The company's quarterly revenue was up 26.6% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.13) EPS. Analysts anticipate that Grindr will post 0.29 EPS for the current fiscal year.

Insider Activity at Grindr

In related news, Director J Michael Gearon, Jr. sold 250,300 shares of the company's stock in a transaction on Friday, May 30th. The stock was sold at an average price of $24.33, for a total value of $6,089,799.00. Following the completion of the transaction, the director directly owned 6,340,659 shares in the company, valued at approximately $154,268,233.47. This represents a 3.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Vandana Mehta-Krantz sold 56,611 shares of the company's stock in a transaction on Monday, June 16th. The shares were sold at an average price of $23.47, for a total value of $1,328,660.17. Following the completion of the transaction, the chief financial officer owned 752,594 shares of the company's stock, valued at $17,663,381.18. The trade was a 7.00% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 2,636,104 shares of company stock worth $62,819,311. 67.70% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of GRND. Nuveen LLC acquired a new position in shares of Grindr in the first quarter valued at $20,049,000. Adage Capital Partners GP L.L.C. acquired a new position in Grindr during the first quarter worth $14,320,000. Norges Bank acquired a new position in Grindr during the second quarter worth $16,618,000. Franklin Resources Inc. raised its stake in Grindr by 1,060.9% during the second quarter. Franklin Resources Inc. now owns 776,769 shares of the company's stock worth $17,633,000 after acquiring an additional 709,857 shares in the last quarter. Finally, Bwcp LP acquired a new position in Grindr during the fourth quarter worth $12,088,000. 7.22% of the stock is currently owned by institutional investors and hedge funds.

About Grindr

Grindr Inc operates social network and dating application for the lesbian, gay, bisexual, transgender, and queer (LGBTQ) communities worldwide. Its platform enables LGBTQ people to find and engage with each other, share content and experiences, and express themselves. The company offers ad-supported service and a premium subscription version.