Bumble Inc. (NASDAQ: BMBL), the Texas-based social networking company known for its dating and friendship services, saw its stock jump 25.1% in a recent session driven by higher than average trading volume, reflecting renewed investor optimism after unveiling a series of strategic initiatives. The sharp rise came after four consecutive sessions of losses and was highlighted by an impressive number of shares changing hands. The positive momentum follows significant company announcements that have quickly altered its market narrative.
On June 25, 2025, Bumble revealed a restructuring plan, including a major workforce reduction of around 240 employees, or roughly 30% of its global staff. This decision is expected to result in one-time costs of $13 million to $18 million for severance and related benefits, primarily impacting Bumble's third and fourth quarters of 2025. The company projects the cuts will generate $40 million in annual cost savings, which are slated for reinvestment into product and technology upgrades as Bumble seeks to elevate its competitive edge through an improved, personalized user experience and the strength of its friendship platform.
In the first quarter of 2025, Bumble reported a 7% decline in revenue to $247.1 million, but this result marginally surpassed Wall Street expectations of $246.2 million. The platform reported a nearly 1% dip in paying users, down to 2.7 million. As part of its efficiency drive, Bumble also announced a $20 million reduction in marketing spending. Company executives are emphasizing AI-driven safety features and enhanced matchmaking—along with dating coaching—as new growth levers for the service. For the upcoming second quarter, Bumble raised its revenue guidance to between $244 million and $249 million, up from its earlier forecast of $235 million to $243 million. Analysts note that while the expected earnings per share for the quarter is $0.19—a 20.8% drop year-on-year—overall consensus estimates have remained unchanged over the past 30 days, which according to stock market research often prevents further immediate downside pressure on a share price.
The recent stock rally underscores investor belief in the company’s bid for improved profitability, even as overall revenues and user numbers remain under pressure. However, sentiment among analysts is mixed. Currently, 16 analysts collectively rate Bumble stock as a “Hold”, with a 12-month average target of $6.38, indicating approximately 21.76% upside from the last reported price. As of June 28, 2025, BMBL shares traded at $6.45, representing a 0.77% daily decrease. Notably, Susquehanna recently lowered its target price on the equity from $6.00 to $5.00 while keeping a neutral stance, as reported by MarketBeat.
Bumble's market activity on June 28, 2025, saw an opening price of $6.59, with an intraday high of $6.625 and a low of $6.30, on a trading volume of 4,499,455 shares. The last trade was reported at 00:15:00 UTC. Despite modest declines in user figures and some pessimism among analysts, the company’s recalibrated revenue forecast and cost controls—along with continuing focus on technology and product innovation—position Bumble to potentially stabilize and grow from its current valuations. Investors are advised to monitor both short-term financial results and the execution of Bumble’s ongoing transformation plan for clues about the future trajectory of the stock.
Elsewhere in the online dating industry, Match Group (NASDAQ: MTCH)—whose brands include Tinder, Hinge, and OkCupid—closed the last trading session at $30.25. Over the last month, consensus earnings targets for Match have grown from $0.54 to $0.58 per share, up 7.4%. Match currently holds a Zacks Rank #2 (Buy) compared to Bumble’s Zacks Rank #3 (Hold), highlighting diverging expectations within the sector.
As the online dating and social connection market continues to evolve, investors will be watching for further earnings reports and any additional forward-looking statements from Bumble and its peers.