Match Group (MTCH): Tinder Getting a Monetization Boost - Aegis Capital

Aegis Capital analyst, Victor Anthony, reiterated his Buy rating on shares of Match Group (NASDAQ: MTCH) noting that Tinder's sub growth appears to have remained strong and that monetization of the app increased in 4Q16, aided by the Boost feature.

The analyst believes that Tinder ended 2016 with 1.67M paid subs, doubling YoY, as the management team had predicted at the start of the year. He sees Tinder's sub base growing 30% to reach 2.19M at the end of this year.

The analyst also believes that IAC could decide to spin off MTCH's shares this year which should be a positive for two reasons:
1) new, longer-term focused investors could buy into the stock due to the increased float
2) Match's management could enact a share repurchase program

No change to the price target of $20.

For an analyst ratings summary and ratings history on Match Group click here. For more ratings news on Match Group click here.

Shares of Match Group closed at $17.99 yesterday.

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