Bumble Inc. stock has recently caught the eye of traders, thanks to a noticeable surge in its trading volume, reaching a substantial
2.3M shares today. This uptick in activity might hint at a potential bullish trend, especially when considering the stock's Accumulation Distribution figure of
99.4K, which suggests a strong interest in holding onto shares rather than selling off. While the Price Action Indicator shows a slight negative, the overall momentum and increased investor attention could signal a promising opportunity for those looking to capitalize on short-term gains in the Internet Content & Information sector.
Key Points
Bumble Inc's asset utilization ratio stands at 42.44%, indicating that the company generates $0.42 in revenue for every dollar of assets. This figure reflects how effectively Bumble uses its assets in daily operations. A rising asset utilization ratio would imply improved efficiency. However, Bumble's profit margin is currently at -0.54%, hinting at challenges in pricing strategies or managing operational costs. This figure is notably below average, suggesting room for improvement. Additionally, Bumble's operating margin is 0.2%, meaning it earns just $0.20 in net operating income for every $100 in sales. These financial metrics highlight areas where Bumble could enhance its financial performance and operational efficiency.
The successful prediction of Bumble
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as Bumble Inc, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of Bumble based on Bumble hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to Bumble's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Bumble's related companies.
Use Technical Analysis to project Bumble expected Price
Bumble technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Bumble technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Bumble trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...Breaking down Bumble Further
The latest bullish price patterns experienced by current Bumble Inc shareholders could raise concerns from institutional investors as the firm is trading at a share price of
5.35 on
2,291,426 in volume. The company management teams have been very successful in rebalancing the firm assets at opportune times to take advantage of market volatility in
May. The stock standard deviation of daily returns for 90 days investing horizon is currently 5.08. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Bumble partners.
| 2022 | 2023 | 2024 | 2025 (projected) |
Gross Profit | 654.1M | 744.0M | 752.8M | 574.3M | Total Revenue | 903.5M | 1.1B | 1.1B | 805.5M |
Current Deferred Revenue Breakdown
Bumble Current Deferred Revenue yearly trend continues to be quite stable with very little volatility. The value of Current Deferred Revenue is projected to decrease to about 40.5
M. Current Deferred Revenue usually refers to revenue that has been collected but not yet earned, typically from prepaid service contracts or subscriptions. This amount is considered a liability until the service is provided or the subscription period ends. At this time, Bumble's Current Deferred Revenue is quite stable compared to the past year.
| 2010 | 23.39 Million |
| 2019 | 24.75 Million |
| 2020 | 31.27 Million |
| 2021 | 39.92 Million |
| 2022 | 46.11 Million |
| 2023 | 48.75 Million |
| 2024 | 43.41 Million |
| 2025 | 40.48 Million |
"Buy the rumor, sell the news" is a saying that often rings true in the stock market, and Bumble Inc. is currently experiencing a surge that has investors buzzing. With a Price to Sales ratio of just 0.76X and a Price to Book ratio of 0.68X, Bumble appears undervalued compared to its peers, sparking interest in a potential bullish trend. Despite a high Price to Earnings ratio of 96.14X, the company's strong cash position, with $334.64 million in cash and equivalents, provides a cushion for future growth initiatives. However, investors should be cautious of the 72.75% probability of bankruptcy, which could temper enthusiasm. As Bumble navigates these dynamics, the market will be watching closely to see if this surge is the start of a sustained upward trend or just a fleeting moment.
Bumble is expecting lower volatility in July
Bumble Inc's stock exhibits a skewness of 2.43, hinting at the possibility of significant positive returns. This might seem contradictory to the company's expectation of reduced volatility in July. The skewness indicates potential sharp upward movements, yet the overall market sentiment or upcoming company developments could be fostering a more stable outlook in the short term. Investors should monitor announcements or market conditions that might affect this balance between skewness and expected volatility. Bumble Inc also shows above-average downside volatility for the chosen time frame. Understanding these volatility trends can help investors make informed decisions. High volatility, especially in bear markets, can impact Bumble's stock price, prompting investors to adjust their portfolios by acquiring different assets as prices decline.
Our Bottom Line On Bumble Inc
Whereas some companies within the software—application industry are still a little expensive, even after the recent corrections, Bumble may offer a potential longer-term growth to institutional investors. With a somewhat neutral outlook on your 90 days horizon, it may be better to hold off any trading activity and neither buy new shares of Bumble nor short your existing holdings in the Stock. It seems the expected volatility has not yet been fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Bumble.
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Gabriel Shpitalnik is a Member of Macroaxis Editorial Board. Gabriel is a young entrepreneur and writes predominantly on the business, technology, and finance sector. He likes to analyze different equity instruments across a wide range of industries focusing primarily on consumer products and evolving technologies.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Gabriel Shpitalnik do not own shares of Bumble Inc. Please refer to our
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