Bumble assumed with a Peer Perform at Wolfe Research

Wolfe Research analyst Zach Morrissey assumed coverage of Bumble with a Peer Perform rating and a fair value range for the stock at $12-$24. The firm is optimistic on the potential for continued growth at Bumble driven by healthy product cadence, continued international expansion, and incremental monetization opportunities, the analyst tells investors in a research note, stating that the company is already profitable with a path for steady margin expansion ahead. Wolfe adds however that it prefers to remain on the sidelines given competition concerns tied to Bumble’s sub-scale nature, execution risk, and ongoing concerns around ownership structure.