Core Insights - Voya Investment Management's "Voya MI Dynamic Small Cap Fund" experienced underperformance in Q3 2025, primarily due to stock selection issues despite a strong recovery in equity markets [1] - The fund's performance was negatively impacted by its overweight position in Grindr Inc. (NYSE:GRND), which reported disappointing Q2 2025 results [3] Fund Performance - The equity markets rebounded significantly in Q3 2025, recovering from earlier volatility caused by tariffs, with growth stocks outperforming value stocks [1] - The fund underperformed the index on a NAV basis during the quarter [1] Grindr Inc. (NYSE:GRND) Analysis - Grindr Inc. had a one-month return of -11.07% and a 52-week loss of 12.97%, closing at $13.49 per share with a market capitalization of $2.59 billion as of December 5, 2025 [2] - The stock was identified as a primary detractor from the fund's performance, influenced by a negative shift in its earnings results compared to previous quarters [3] Hedge Fund Interest - Grindr Inc. was held by 29 hedge fund portfolios at the end of Q3 2025, a decrease from 32 in the previous quarter [4] - Despite a 30% year-over-year revenue increase to $116 million, the company is viewed as having less upside potential compared to certain AI stocks [4]

Core Viewpoint - Grindr Inc. (GRND) shares have increased by 2.4% over the past four weeks, closing at $13.51, with a mean price target of $21.75 indicating a potential upside of 61% [1] Price Targets - The average price target consists of four estimates ranging from a low of $20.00 to a high of $26.00, with a standard deviation of $2.87, suggesting a potential increase of 48% to 92.5% from the current price [2] - A low standard deviation indicates a strong agreement among analysts regarding the price targets, which can be a useful indicator for further research [9] Analyst Sentiment - Analysts have shown increasing optimism about GRND's earnings prospects, as evidenced by a positive trend in earnings estimate revisions, which correlates with potential stock price movements [11] - The Zacks Consensus Estimate for the current year has risen by 12.8% over the past month, with no negative revisions [12] Zacks Rank - GRND holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates, indicating a strong potential upside [13] Conclusion on Price Targets - While the consensus price target may not be a reliable indicator of the extent of potential gains, it does provide a directional guide for price movement [14]

Core Viewpoint - Grindr Inc. is viewed positively by Wall Street analysts, with a Buy rating reaffirmed after a rejected take-private offer, indicating confidence in its long-term growth potential [1][2]. Company Performance - Grindr confirmed it will not proceed with a $3.46 billion private deal due to financing issues, as major shareholders failed to provide necessary information [2]. - The company reported a strong third quarter, with revenue exceeding estimates by 2% and EBITDA surpassing expectations by 11% [4]. - Grindr's revenue growth is projected at approximately 26% for the full year, with nearly 29% year-over-year growth noted [3][4]. Market Position - Grindr remains the leading dating app within the LGBTQ community, benefiting from a strong network effect despite competition from Match and Bumble [3]. - The company is expected to maintain its leadership in the dating space and is planning a premium AI offering for 2026-2027, which could provide future growth opportunities [4]. Financial Outlook - Citizens lowered Grindr's price target to $21 from $23 but maintained a Market Outperform rating, reflecting confidence in the company's growth trajectory [4]. - Analysts anticipate Grindr will achieve profitability this year, projecting an EPS of $0.51 [4].

Core Viewpoint - Johnson Fistel, PLLP is investigating potential breaches of fiduciary duty by the Board of Directors of Grindr Inc. regarding their decision to terminate negotiations with the company's controlling stockholder, assessing whether this decision aligns with the duties owed to all stockholders, especially minority holders [1]. Group 1 - The investigation focuses on the impact of the Board's decisions on stockholder rights, including the balance of control within the company and the treatment of non-controlling investors [2]. - Shareholders of Grindr are encouraged to participate in the investigation and can find more information through a provided link or by contacting the lead analyst [2]. - Johnson Fistel, PLLP is a recognized shareholder-rights law firm that represents both individual and institutional investors in various legal actions related to securities [3]. Group 2 - In 2024, Johnson Fistel was ranked among the Top 10 Plaintiff Law Firms by ISS Securities Class Action Services, having recovered approximately $90.725 million for clients in cases where it served as lead or co-lead counsel [4].

Core Viewpoint - Grindr's majority shareholders have withdrawn their proposed buyout offer, valuing the company at $3.5 billion, due to uncertainties regarding financing and a preference for the company to remain publicly listed [2][3]. Company Performance - Grindr's shares rose by 1.5% in morning trading following the announcement of the buyout withdrawal [3]. - The company reported a 25% increase in net profit, reaching $31 million in the third quarter of this year [5]. - Grindr has over 14 million monthly active users, making it the most popular LGBTQ mobile app globally [5]. Shareholder Actions - Majority shareholders George Raymond Zage III and James Lu, who own approximately 64% of Grindr, have decided to terminate discussions regarding the buyout [3]. - Zage intends to continue purchasing Grindr shares in the open market, having already acquired over $200 million worth of shares as the stock hit a one-year low [4]. - Zage is advocating for increased shareholder returns through share buybacks and potential dividends [4]. Market Outlook - Wall Street analysts have recently upgraded their price targets for Grindr's shares to levels between $21 and $26, significantly above the $18 per share offered in the buyout proposal [2].

Core Insights - Grindr's majority shareholders, Ray Zage and James Lu, have withdrawn their $3.46 billion offer to take the dating app private [1] Company Summary - The withdrawal of the $3.46 billion offer indicates a significant shift in the strategic direction of Grindr's majority shareholders [1]

Core Viewpoint - The Proposing Shareholders, who own over 60% of Grindr Inc.'s outstanding shares, have withdrawn their non-binding proposal to take the company private at $18.00 per share due to the Special Committee's decision to cease engagement, primarily citing financing uncertainties [1][2][3]. Group 1: Proposal and Withdrawal - The Special Committee's decision to stop engagement with the Proposing Shareholders was based on uncertainties regarding the financing of the proposed acquisition [2]. - The Proposing Shareholders had received significant expressions of interest for acquisition financing, including letters of confidence and offers of senior debt, hybrid securities, and equity [2]. - Following the termination of engagement, the Proposing Shareholders have decided to withdraw their proposal and will instead focus on purchasing additional shares in the market [3]. Group 2: Future Plans and Recommendations - The Proposing Shareholders intend to recommend that Grindr's management and board increase the size of share repurchase plans and consider dividends to enhance shareholder returns [3]. - There is a commitment to engage with management on the growth of Grindr's initiatives, including telemedicine and potential future opportunities in various sectors such as travel, media, AI, and cryptocurrency [4]. Group 3: Financial Performance and Market Position - Grindr recently reported strong third-quarter financial results, which has led to confidence in the company's ability to create significant shareholder value [6]. - Investment banks have set price targets for Grindr that are significantly higher than the proposed acquisition price of $18.00 per share [6]. - The company has completed substantial share repurchases in 2025 at prices exceeding the proposed acquisition price, indicating a strong market position [6]. - Grindr's management prefers the company to remain public, and it currently has one of the lowest net debt to EBITDA ratios in its history, along with significant free cash flow growth [6].

Core Viewpoint - Grindr's stock experienced a significant decline of approximately 12% following the termination of takeover discussions, which has raised concerns about its near-term prospects despite strong fundamentals [1][2]. Company Performance - Grindr continues to lead the LGBTQ+ dating market, showcasing a paid user growth of about 17% year-over-year, which surpasses competitors like Match Group and Bumble [3]. - The management has maintained its full-year revenue guidance at around 26%, indicating confidence in the company's strategic direction [4]. Valuation and Market Sentiment - Grindr's stock is currently trading at about 13 times forward EBITDA estimates, which is considered attractive compared to historical multiples and peer valuations, especially given its superior growth profile and expanding margins [5]. - Options traders anticipate that Grindr's stock will exceed $15.50 in the next three months, and the stock's relative strength index has dropped below 30, suggesting that bearish momentum may be waning [6]. Analyst Outlook - Wall Street firms continue to express optimism regarding Grindr's stock, indicating potential for significant upside despite recent setbacks [7].

Core Insights - Proactive provides fast, accessible, and actionable business and finance news content to a global investment audience [2] - The company focuses on medium and small-cap markets while also covering blue-chip companies and broader investment stories [3] - Proactive's news team delivers insights across various sectors including biotech, mining, oil and gas, and emerging technologies [3] Technology Adoption - Proactive is committed to adopting technology to enhance workflows and content production [4] - The company utilizes automation and software tools, including generative AI, while ensuring all content is edited and authored by humans [5]

Core Viewpoint - Grindr Inc.'s board of directors and majority stockholders are under investigation for potential breaches of fiduciary duties related to a proposed take-private transaction that would cash out minority shareholders at $18 per share [1][3][5]. Group 1: Investigation Details - The investigation is led by Bleichmar Fonti & Auld LLP, focusing on the actions of majority stockholders James Fu Bin Lu and George Raymond Zage, III [1][5]. - On October 14, 2025, SEC filings indicated that Lu and Zage were proposing a transaction to take Grindr private, which would exclude minority shareholders while maintaining their ownership [3]. - The offer to purchase minority shares at $18.00 per share was publicly disclosed on October 24, 2025 [3]. Group 2: Transaction Conditions - The proposed take-private transaction does not appear to require a majority-of-the-minority stockholder vote, raising concerns about the effectiveness of the special committee appointed by the board [4]. - The special committee's role in overseeing the transaction and protecting minority shareholders' interests remains uncertain [4]. Group 3: Legal Options for Shareholders - Current shareholders of Grindr are encouraged to seek additional information and may have legal options available to them [2][6]. - BFA Law operates on a contingency fee basis, meaning shareholders will not incur costs unless the firm secures a favorable outcome [6].