Raymond James downgrades Bumble on near-term headwinds

Raymond James downgraded Bumble to Market Perform from Outperform without a price target. While the brand is among the best positioned in the online dating space in terms of relevance with young people, the company faces near-term headwinds stemming from changing user habits, the analyst tells investors in a research note. The firm thinks these changes “require significant rethinks among apps built in the Millennial era.” Bumble can navigate the path, but the scale of changes required raises near-term execution risk, Raymond James contends. As a result, it sees the current estimates as properly calibrated with a balanced risk/reward.