LendingTree (NASDAQ:TREE) Shares Gap Up - Here's What Happened

Key Points

• LendingTree shares jumped: The stock opened at $31.63 after closing at $28.87 and was last reported at $37.40.
• Third-quarter results were mixed: Revenue rose 12% year over year to $343.6 million and adjusted EPS of $2.20 beat estimates, but a $98.8 million noncash goodwill impairment contributed to a $72.4 million GAAP net loss. Next-quarter revenue guidance also reportedly fell short of expectations.
• Management sees further growth: Its 2026 outlook points to 14% adjusted EBITDA growth at the midpoint, and LendingTree plans to resume buybacks in the fourth quarter.

LendingTree, Inc. (NASDAQ:TREE - Get Free Report)'s stock price gapped up prior to trading on Wednesday. The stock had previously closed at $28.87, but opened at $31.63. LendingTree shares last traded at $37.3950, with a volume of 510,459 shares traded.

More LendingTree News

Here are the key news stories impacting LendingTree this week:

• Positive Sentiment: Third-quarter revenue rose 12% year over year to $343.6 million, beating estimates of $329.7 million, with growth across all three segments. Adjusted EPS of $2.20 also topped the cited consensus estimate of $1.29. LendingTree Q3 2026 results Zacks Q3 earnings report
• Positive Sentiment: Management’s 2026 outlook implies 14% adjusted EBITDA growth at the midpoint, and the company plans to resume stock buybacks in the fourth quarter—potential supports for sentiment. 2026 EBITDA outlook and buybacks
• Neutral Sentiment: Truist lowered its price target from $70 to $65 but maintained a Buy rating, signaling continued optimism while reducing its valuation estimate. Truist price-target update
• Neutral Sentiment: LendingTree’s general counsel is expected to leave after year-end with severance benefits; the report does not specify an operational impact. General counsel departure
• Negative Sentiment: The company posted a GAAP net loss of $72.4 million, or $5.15 per diluted share, primarily because of a $98.8 million noncash goodwill impairment. The charge weighed on reported earnings despite stronger revenue and adjusted results. Q3 earnings and goodwill charge
• Negative Sentiment: Although quarterly sales beat estimates, reported revenue guidance for the coming quarter fell short of expectations, tempering the positive results. Revenue guidance report

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on TREE shares. Keefe, Bruyette & Woods dropped their price target on shares of LendingTree from $70.00 to $58.00 and set an "outperform" rating on the stock in a report on Monday, July 13th. Wall Street Zen cut shares of LendingTree from a "buy" rating to a "hold" rating in a report on Saturday, October 24th. Truist Financial decreased their price objective on shares of LendingTree from $70.00 to $65.00 and set a "buy" rating for the company in a report on Wednesday. Northland Securities set a $60.00 price objective on shares of LendingTree in a research report on Thursday, July 30th. Finally, Needham & Company LLC dropped their target price on shares of LendingTree from $60.00 to $45.00 and set a "buy" rating on the stock in a report on Thursday, July 30th. Four analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $55.60.

LendingTree Stock Performance

The company has a market cap of $537.68 million, a PE ratio of 2.98 and a beta of 1.99. The company has a debt-to-equity ratio of 1.20, a current ratio of 1.85 and a quick ratio of 1.85. The business has a 50-day moving average of $26.38 and a 200 day moving average of $37.98.

LendingTree (NASDAQ:TREE - Get Free Report) last announced its earnings results on Tuesday, November 3rd. The financial services provider reported ($5.15) earnings per share (EPS) for the quarter, missing the consensus estimate of $1.26 by ($6.41). The firm had revenue of $343.59 million during the quarter, compared to analysts' expectations of $329.72 million. LendingTree had a return on equity of 14.57% and a net margin of 14.33%. The company's revenue for the quarter was up 11.6% on a year-over-year basis. During the same period in the previous year, the business posted $1.70 earnings per share. Equities research analysts anticipate that LendingTree, Inc. will post 3.49 EPS for the current fiscal year.

Institutional Trading of LendingTree

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. BlackRock Inc. bought a new position in shares of LendingTree in the second quarter worth about $54,329,000. Jennison Associates LLC grew its stake in shares of LendingTree by 74.0% during the 1st quarter. Jennison Associates LLC now owns 1,020,211 shares of the financial services provider's stock valued at $43,747,000 after acquiring an additional 434,038 shares during the period. Punch & Associates Investment Management Inc. bought a new position in shares of LendingTree during the 2nd quarter valued at approximately $32,140,000. Dimensional Fund Advisors LP increased its holdings in LendingTree by 9.0% in the 1st quarter. Dimensional Fund Advisors LP now owns 277,414 shares of the financial services provider's stock worth $11,895,000 after acquiring an additional 22,857 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership increased its holdings in LendingTree by 33.3% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 274,366 shares of the financial services provider's stock worth $11,765,000 after acquiring an additional 68,466 shares in the last quarter. 68.26% of the stock is owned by hedge funds and other institutional investors.

About LendingTree

LendingTree, Inc operates an online marketplace that helps consumers compare financial products and services from a network of lenders, insurers and other providers. Its platform is designed to connect shoppers with potential offers based on their financial needs and preferences.

The company's marketplace includes products such as mortgages and other home loans, personal loans, business loans, auto loans, credit cards, insurance and deposit accounts. LendingTree also provides educational content, comparison tools and financial guidance intended to help consumers evaluate borrowing, insurance and saving options.

Founded in 1996 by Doug Lebda, LendingTree is headquartered in Charlotte, North Carolina, and primarily serves consumers in the United States.

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