Bumble News

Investments
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Bumble shares rise over 15% after the company announced a 30% workforce reduction and raised its Q2 revenue and EBITDA guidance

  • Bumble announced that it will lay off 240 roles, approximately 30% of the company’s employees.
  • As a result, it will book around $13 million to $18 million of non-recurring charges related to severance, benefits and other charges for the impacted employees.
  • It expects to save up to $40 million of annual cost savings due to the work force reduction, which will be invested in strategic programs such as product and technology.
  • The charges will be booked primarily in Q3 and Q4 of 2025.
  • Bumble also raised its Q2 2025 revenue guidance to a range of $244 million to $249 million, up from the previous range of $235 million to $243 million.
  • It also increased its adjusted EBITDA outlook to between $88 million and $93 million, compared to the prior range of $79 million to $84 million.
  • Bumble shares are up 15.5% in pre-market following the news.
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Any news why the stock is up almost 8%?

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I think it mainly has to do with the US-Japan trade deal.

But UBS also raised its price target to $7.50 from $6.00 while maintaining neutral rating.

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I think it’s likely the price target. Sometimes stocks react really strongly to it because many fund managers allocate according to.

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You are probably right. Match Group shares are flat, meaning the US-Japan trade deal may not be the reason.

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What is the reason he increased the price target? I just saw that we have a standalone topic for Bumble analyst opinions

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The upgrade was part of UBS’s Q2 preview, which hasn’t been made public yet.

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I=8
Bumble falls almost 10% pre-Market after discounted share offering report

  • Bumble shares are down almost 10% pre-market following a report that shareholders are offering a block of shares at a significant discount.
  • According to the report, shares are being sold at a price range of $6.33 to $6.54 each, a discount of between 8.5% to 11.5% from yesterday’s closing price.
  • Block trade usually involves a significant amount of shares and is usually executed outside the regular trading hours to reduce market impact.
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Blackstone registered to sell around 16% of its outstanding shares at 9% discount to Wednesday’s closing price

  • Blackstone registered to sell around 16.7M shares (around 16% of Bumble’s outstanding shares), cutting into its 27% stake. The sales, made through entities called “BX Buzz,” were priced around $6.50 per share, below the prior $7.15 close.
  • Whitney Wolfe Herd, who recently returned as CEO, filed to sell around 1.4M of her 2.1M shares (about $9.7M at the prior close).
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Oh that’s not good. Vote of no confidence from key insiders and super large chunks being sold at once.

The reporting of news papers on total holdings can be misleading. Considering common units (which are equivalent to common shares and can be converted) Blackstone held in total 55M and Whitney Wolfe Herd 23M shares as of April 2025.

This means Blackstone filed to sell around 1/3 of holdings and Herd around 6%.

Hopefully they do this as they already have a buyer lined up.

If you find more insights on the topic or get more insights with gpt let us know.

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The shares that are registered for sell are the Class A Common Stock. But you are right to compute the share based on the total shares (Common Units and Class A) given there is possibility that Common Units might have been converted. For instance, Herd is selling 1.4 million Class A shares yet in April she had only 926,709 Class A shares. The filling says she sold 1,000,000 of Class A Common Stock (converted from Common Units) and 365,116 of Class A Common Stock (purchased during IPO).

There is no definitive proof yet that the block trade has found a buyer. However, a TipRanks article, which was published after the Bloomberg report (that stated the block trades were being offered at a price range of $6.33 to $6.54), reported that the 18.055 million shares were priced at $6.33 and that UBS acted as the sole book-running manager for the offering. According to GPT, a book-running manager operates much like an underwriter i.e. it contacts potential buyers to gauge interest, sets a price range, collects orders, and determine the lowest price at which all shares can be sold at once. Considering the book-running process, the shift from a price range ($6.33–$6.54) to a final price ($6.33) may suggest that buyers may have been found and the book was covered.

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Yes. Furthermore including the common units gives the reader a realistic view who owns what. Otherwise it appears that Whitney Herd is selling the majority of her shares, which is not the case.

We by now have the Form 4 filling which confirm changes of ownership. Blackstone sold 16.69M shares and Whitney Herd 1.37M shares.

The price was only $6.26 slightly below the indicated range and the final price named by TipRank.

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