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Match Group (MTCH) Stock Jumps 7.8%: Will It Continue to Soar?

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Match Group (MTCH - Free Report) shares ended the last trading session 7.8% higher at $102.69. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 14.9% loss over the past four weeks.

Match Group is benefiting from increasing activity and engagement seen across its apps like Tinder, Hinge, Meetic, Pairs and OkCupid since the COVID-19 outbreak.

Moreover, competitor Bumble’s strong fourth-quarter 2021 results, announced in the second week of March, reflected robust demand for online dating services that bodes well for Match Group.

Match Group is taking initiatives about creating a dating metaverse and avatar based virtual experiences which may later be rolled out to apps in its portfolio.

Match Group has been working on launching Virtual Reality solutions. The company already underwent a revamp with its launch of Tinder Explore, and has plans of expansion to include exclusive, shared and live experiences and a virtual goods-based economy, supported by Tinder Coins, Tinder’s new in-app currency.

This media and internet company is expected to post quarterly earnings of $0.67 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $796.29 million, up 19.3% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Match Group, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on MTCH going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Match Group is part of the Zacks Internet - Commerce industry. Revolve Group (RVLV - Free Report) , another stock in the same industry, closed the last trading session 5.5% higher at $52.85. RVLV has returned -11.6% in the past month.

For Revolve Group, the consensus EPS estimate for the upcoming report has changed +14.3% over the past month to $0.25. This represents a change of -16.7% from what the company reported a year ago. Revolve Group currently has a Zacks Rank of #3 (Hold).


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