Bumble's (BMBL) turnaround is expected to take longer, with major product upgrades unlikely to drive meaningful improvement until 2027 as paying-user declines persist and higher marketing spending pressures margins, RBC Capital Markets said Friday in a report.

The company plans to roll out several changes through late 2026 and early 2027, including new ways for users to interact, updated profiles and a revamped sign-up flow, a better recommendation system with more in-person events, RBC said. Early tests of changes to chat features have improved conversations and matches, the report said.

RBC said it wants to see stronger evidence these gains can stabilize paying-user trends.

Bumble's transition to new cloud technology was delayed by a couple of months, pushing its new interaction model to early 2027, the report said. The upgrade should eventually allow faster product releases and quicker recommendation-engine improvements, RBC said.

The company is also testing features aimed at improving the free user experience and expanding real-world social events, which may help attract more users and later support paid subscriptions, the report said.

RBC lowered its price target on Bumble stock to $4 from $5 and maintained its neutral rating.

Price: 2.83, Change: -0.02, Percent Change: -0.70