MTCH - Embedded Expectations Analysis - 2021 03 30
Match Group, Inc. (MTCH:USA) currently trades at a historical high relative to UAFRS-based (Uniform) earnings, with a 53.3x Uniform P/E. At these levels, markets have bullish expectations for the firm, but management may be concerned about sustaining revenue growth, securing platform investments, and penetrating the Asian marketSpecifically, management may lack confidence in their ability to sustain average subscriber growth in North America, create more partnerships with third-party organizations, and maintain mid- to high-teens top line growth across all their businesses. Furthermore, they may have concerns about the continued impact of volatility caused by the pandemic, the state of the recovery of the Indian market, and the impact of the Identifier for Advertisers (IDFA) rollout on their business. Moreover, management may lack confidence in their ability to further penetrate the Asian market, capitalize on their multiproduct strategy in Japan and South Korea, and gain market share with Hawaya. Finally, they may have concerns about their ability to further increase engagement on their POF Live and make incremental investments to their platform
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