Match Group initiated with a Market Perform at Raymond James

Raymond James last night initiated coverage of Match Group with a Market Perform rating and no price target. The analyst says Match has done an enviable job of constructing a portfolio of online dating properties comprised of some of the space’s most preeminent brands. However, the app-based dating ecosystem “is at a crossroads,” as apps built to cater to Millennial tastes are struggling to adapt to changing usage patterns from Gen Z, the analyst tells investors in a research note. The firm says “threading the needle between making fundamental changes while not disrupting the existing payer base raises the risk that returns could be subdued while this process plays out.”