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Bumble (BMBL) Surges 9.2%: Is This an Indication of Further Gains?

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Bumble Inc. (BMBL - Free Report) shares soared 9.2% in the last trading session to close at $8.4. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 47.6% gain over the past four weeks.

Bumble is benefiting from a complete re-establishment of its platform for sustained growth, including efforts toward removing bots and scammers to increase member trust, and modernizing its matching algorithm by leveraging AI.

This company is expected to post quarterly earnings of $0.37 per share in its upcoming report, which represents a year-over-year change of +68.2%. Revenues are expected to be $243.29 million, down 9.4% 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 Bumble, the consensus EPS estimate for the quarter has been revised 0.6% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on BMBL going forward to see if this recent jump can turn into more strength down the road.

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

Bumble belongs to the Zacks Internet - Software industry. Another stock from the same industry, Informatica Inc. (INFA - Free Report) , closed the last trading session 0.2% higher at $24.54. Over the past month, INFA has returned 1.2%.

For Informatica Inc., the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.21. This represents a change of -8.7% from what the company reported a year ago. Informatica Inc. currently has a Zacks Rank of #3 (Hold).


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