Key Highlights
- The firm recommended a cautious stock-picking approach for the Internet sector in 2026.
- Key risks include limited margin growth due to rising investment costs and the possibility that AI agents could bypass traditional platforms, capping the potential for higher stock multiples.
- In its Q3 2025 earnings report, Bumble disclosed that its total revenue for the quarter was $246 million, which was a 10% decline year-over-year.
- The Bumble App accounted for $199 million of this total (down 10%), while Badoo and other revenue fell 11% to $47 million.
- Despite the top-line contraction, the company achieved a net income of $52 million, which was a recovery from the $849 million net loss in the prior year, which had been driven by ~$900 million in non-cash impairment charges.
