The practice of online dating has experienced massive growth since the onset of the Internet. Investors may remember as far back as the release of movies like 1998’s You’ve Got Mail, which presented the concept of developing a digital romance as a novelty. That is no longer the case. Indeed, many surveys now show that online dating is now the most common way for couples to meet.
Match Group (NASDAQ:MTCH) is in a great position to benefit from this trend. The Dallas-based company provides dating products to a worldwide client base. It owns and operates top dating services like Tinder, OkCupid, Plenty of Fish, and Hinge. Shares of this tech stock have plunged 55% year-over-year as of close on January 23. The stock has shot up 26% so far this year.
Market researcher Grand View Research estimated that the global online dating market was worth US$8.9 billion in 2021. The report projected that this market would deliver a compound annual growth rate (CAGR) of 6.9% from 2022 through to 2030.
Investors can expect to see this company’s final batch of fiscal 2022 earnings in the first week of February. In Q3 2022, Match delivered total revenue growth of 1% to $810 million. Meanwhile, adjusted operating income was flat at $284 million.
Shares of Match are trading in favourable value territory compared to its industry peers. Better yet, it is on track for strong growth in this exciting industry. Now is a great time to ride the New Year wave in Match stock.
