Match Group, Inc. Fundamental Analysis (NASDAQ: MTCH)
Match Group, Inc. Fundamental Analysis (NASDAQ: MTCH)
Match Group, Inc. (NASDAQ: MTCH) shows moderate financial fundamentals with a PE ratio of 15.34, profit margin of 20.17%, and ROE of -3.04%. The company generates $3.5B in annual revenue with weak year-over-year growth of 0.22%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -102.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MTCH's fundamental strength across five key dimensions:
Efficiency Score
ExcellentMTCH demonstrates superior asset utilization.
Valuation Score
ExcellentMTCH trades at attractive valuation levels.
Growth Score
ModerateMTCH shows steady but slowing expansion.
Financial Health Score
ExcellentMTCH maintains a strong and stable balance sheet.
Profitability Score
ModerateMTCH maintains healthy but balanced margins.
Key Financial Metrics
Is MTCH Expensive or Cheap?
P/E Ratio
MTCH trades at 15.34 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, MTCH's PEG of 0.39 indicates potential undervaluation.
Price to Book
The market values Match Group, Inc. at -44.84 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.57 times EBITDA. This is generally considered low.
How Well Does MTCH Make Money?
Net Profit Margin
For every $100 in sales, Match Group, Inc. keeps $20.17 as profit after all expenses.
Operating Margin
Core operations generate 28.15 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-3.04 in profit for every $100 of shareholder equity.
ROA
Match Group, Inc. generates $17.55 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Match Group, Inc. generates strong operating cash flow of $1.19B, reflecting robust business health.
Free Cash Flow
Match Group, Inc. generates strong free cash flow of $1.13B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.91 in free cash annually.
FCF Yield
MTCH converts 10.87% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.34
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.39
vs 25 benchmark
P/B Ratio
Price to book value ratio
-44.84
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.99
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-14.98
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.72
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-3.04
vs 25 benchmark
ROA
Return on assets percentage
0.18
vs 25 benchmark
ROCE
Return on capital employed
0.28
vs 25 benchmark
How MTCH Stacks Against Its Sector Peers
| Metric | MTCH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.34 | 18.45 | Better (Cheaper) |
| ROE | -303.57% | 877.00% | Weak |
| Net Margin | 20.17% | 1007.00% | Weak |
| Debt/Equity | -14.98 | -0.44 (disorted) | Distorted |
| Current Ratio | 1.72 | 1.86 | Neutral |
| ROA | 17.55% | 253.00% | Weak |
MTCH outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Match Group, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
34.27%
Industry Style: Growth, Technology, Streaming
High GrowthEPS CAGR
247.94%
Industry Style: Growth, Technology, Streaming
High GrowthFCF CAGR
24.00%
Industry Style: Growth, Technology, Streaming
High Growth