Shares of Bumble Inc. (BMBL) plunged over 6% in after-hours trading on Wednesday, November 6, after the dating app operator forecast fourth-quarter revenue below analysts' expectations. The disappointing guidance overshadowed Bumble's better-than-expected third-quarter results, signaling concerns over sluggish spending by users on its dating platforms.
For the fourth quarter, Bumble projected revenue in the range of $256 million to $262 million, lower than the average analyst estimate of $260.2 million. This guidance raised concerns among investors about the company's ability to sustain growth, especially in the face of economic headwinds and intensifying competition in the online dating market.
Despite the weak Q4 outlook, Bumble's third-quarter revenue of $273.6 million surpassed expectations of $271.9 million, driven by growth in paid subscriptions. However, this positive development was overshadowed by the disappointing revenue forecast for the current quarter, leading to the sharp sell-off in Bumble's stock.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.