MediaAlpha (NYSE:MAX) Price Target Cut to $11.00 by Analysts at TD Cowen

Key Points

• TD Cowen cut MediaAlpha’s price target from $13.00 to $11.00 and kept a hold rating on the stock, implying only modest upside from current levels.
• Other analysts have been mixed on MAX, with recent downgrades from Zacks Research and Wall Street Zen, while the overall consensus rating remains Moderate Buy with an average target price of $12.36.
• MediaAlpha recently reported Q1 earnings of $0.21 per share, missing estimates, even though revenue came in above expectations and rose 17.3% year over year.

MediaAlpha (NYSE:MAX - Get Free Report) had its price objective lowered by TD Cowen from $13.00 to $11.00 in a research note issued on Tuesday,Benzinga reports. The firm presently has a "hold" rating on the stock. TD Cowen's price target suggests a potential upside of 3.92% from the company's current price.

A number of other equities research analysts also recently weighed in on MAX. Zacks Research downgraded shares of MediaAlpha from a "hold" rating to a "strong sell" rating in a report on Tuesday, May 19th. Wall Street Zen downgraded shares of MediaAlpha from a "strong-buy" rating to a "buy" rating in a report on Saturday, May 2nd. The Goldman Sachs Group dropped their target price on shares of MediaAlpha from $13.50 to $11.50 and set a "neutral" rating on the stock in a report on Tuesday, February 24th. JPMorgan Chase & Co. increased their target price on shares of MediaAlpha from $11.00 to $12.00 and gave the company an "overweight" rating in a research note on Thursday, April 30th. Finally, Keefe, Bruyette & Woods reduced their target price on shares of MediaAlpha from $16.00 to $15.00 and set an "outperform" rating for the company in a report on Tuesday, April 7th. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $12.36.

MediaAlpha Price Performance

Shares of MAX traded up $0.41 during midday trading on Tuesday, reaching $10.59. The stock had a trading volume of 137,167 shares, compared to its average volume of 716,154. The company has a market capitalization of $659.97 million, a P/E ratio of 16.55 and a beta of 1.16. The firm's 50 day moving average price is $9.21 and its 200-day moving average price is $10.09. MediaAlpha has a 52 week low of $7.09 and a 52 week high of $13.92.

MediaAlpha (NYSE:MAX - Get Free Report) last announced its earnings results on Wednesday, April 29th. The company reported $0.21 earnings per share for the quarter, missing the consensus estimate of $0.25 by ($0.04). The firm had revenue of $310.00 million for the quarter, compared to the consensus estimate of $298.91 million. MediaAlpha had a net margin of 3.37% and a negative return on equity of 147.82%. The company's quarterly revenue was up 17.3% compared to the same quarter last year. During the same period in the prior year, the business earned ($0.04) EPS. On average, equities analysts forecast that MediaAlpha will post 1.02 earnings per share for the current year.

Insider Buying and Selling at MediaAlpha

In related news, Director Eugene Nonko sold 6,667 shares of the stock in a transaction on Wednesday, June 17th. The stock was sold at an average price of $10.01, for a total value of $66,736.67. Following the completion of the transaction, the director owned 1,207,272 shares in the company, valued at $12,084,792.72. This trade represents a 0.55% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Jeffrey B. Coyne sold 5,000 shares of MediaAlpha stock in a transaction dated Friday, May 15th. The stock was sold at an average price of $8.10, for a total value of $40,500.00. Following the completion of the transaction, the general counsel directly owned 591,764 shares in the company, valued at $4,793,288.40. This represents a 0.84% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 510,912 shares of company stock valued at $5,020,336 over the last 90 days. 14.65% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the company. Hsbc Holdings PLC lifted its position in shares of MediaAlpha by 2.3% in the 2nd quarter. Hsbc Holdings PLC now owns 51,550 shares of the company's stock valued at $561,000 after acquiring an additional 1,144 shares in the last quarter. Tower Research Capital LLC TRC boosted its stake in MediaAlpha by 28.0% in the 2nd quarter. Tower Research Capital LLC TRC now owns 5,551 shares of the company's stock worth $61,000 after purchasing an additional 1,213 shares during the period. Quarry LP grew its position in MediaAlpha by 43.3% during the 3rd quarter. Quarry LP now owns 4,087 shares of the company's stock worth $47,000 after purchasing an additional 1,234 shares in the last quarter. The Manufacturers Life Insurance Company grew its position in MediaAlpha by 13.4% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 12,757 shares of the company's stock worth $140,000 after purchasing an additional 1,510 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd raised its stake in MediaAlpha by 5,900.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 2,160 shares of the company's stock valued at $28,000 after purchasing an additional 2,124 shares during the period. 64.39% of the stock is owned by hedge funds and other institutional investors.

About MediaAlpha

MediaAlpha, Inc is a technology company that operates a real-time digital marketplace for the distribution of insurance and adjacent services. The company's platform connects buyers—consumers seeking insurance policies—to sellers, including insurance carriers and distribution partners, through programmatic bidding and data-driven pricing. By leveraging transaction-level data and proprietary auction mechanics, MediaAlpha enables carriers to acquire customers more efficiently and at scale.

The firm offers a suite of products that help clients optimize marketing spend and improve conversion rates.

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