Financial Performance - Q1 2025 consolidated revenue reached $239.7 million, a 43% increase year-over-year, with Insurance revenue growing 71%, Home segment up 22%, and Consumer segment up 9%[8] - Adjusted EBITDA for Q1 2025 was $24.6 million, representing a 10% margin on revenue, despite regulatory headwinds and non-recurring expenses[10] - Adjusted net income for Q1 2025 was $13.5 million, translating to $0.99 per share, reflecting a 47% increase year-over-year[11] - For Q1 2025, total revenue was $239.7 million, an increase from $167.8 million in Q1 2024, representing a year-over-year growth of approximately 42.8%[33] - The company reported a net loss of $12.4 million in Q1 2025, compared to a net income of $1.0 million in Q1 2024[33] - Net loss for Q1 2025 was $12,375,000, representing a net loss margin of 5% of revenue[41] - Adjusted EBITDA for Q1 2025 was $24,626,000, which is 10% of revenue[43] - Adjusted net income per share is calculated by dividing adjusted net income by adjusted weighted average diluted shares outstanding, with specific treatment for potentially dilutive securities during GAAP loss periods[56] Segment Performance - The Insurance segment is expected to continue its growth trajectory in 2025, supported by a favorable carrier profitability backdrop and optimized marketing strategies[3] - The Consumer segment's small business loan revenue grew 48% year-over-year, driven by a 50% increase in the concierge sales team, enhancing service levels and conversion rates[4] - Home segment revenue was $37.0 million, up 22% year-over-year, with segment profit increasing 36% to $13.1 million[16] - The Insurance segment is positioned for continued growth following last year's record performance despite regulatory changes[29] - The Home segment has seen consistent demand for home equity loans, contributing to overall revenue growth[29] - The Consumer segment's results are improving, driven by increased demand for small business and personal loans[29] Cash and Assets - The company held $126 million in cash at the end of the quarter, with plans to meet the remaining $95 million convertible note balance at maturity[24] - Cash and cash equivalents increased to $126.4 million as of March 31, 2025, from $106.6 million at the end of 2024[35] - Total assets rose to $777.1 million as of March 31, 2025, compared to $767.7 million at the end of 2024[35] - The company’s balance sheet continues to strengthen, which is expected to help lower interest expenses over time[29] Expenses and Costs - General and administrative expenses increased to $30,660,000 in Q1 2025 from $29,111,000 in Q4 2024[41] - Non-variable selling and marketing expenses were $10,750,000 in Q1 2025, slightly down from $11,084,000 in Q4 2024[41] - Interest expense for Q1 2025 was $9,084,000, compared to $9,950,000 in Q4 2024[43] - Litigation settlements and contingencies amounted to $15,212,000 in Q1 2025, significantly higher than $6,000 in Q4 2024[43] - The company reported a significant increase in non-cash compensation to $9,867,000 in Q1 2025 from $6,494,000 in Q4 2024[43] Market Outlook and Strategy - The company anticipates ongoing expense discipline and targeted growth initiatives to drive strong performance throughout the year[5] - Full-year 2025 revenue is projected to be between $955 million and $995 million, down from the previous range of $985 million to $1,025 million[28] - The second-quarter 2025 revenue is expected to be between $241 million and $248 million[28] - The corporate credit rating was upgraded to "B" with a positive outlook by S&P, indicating improved EBITDA profile and reduced leverage[25] - Forward-looking statements highlight potential risks including adverse mortgage market conditions, interest rates, and competition, which could impact future performance[61] - The company emphasizes the importance of maintaining brand recognition and attracting consumers cost-effectively as part of its strategic outlook[61] - Future product development and service enhancements are critical for maintaining competitive advantage in the market[61] - The company is focused on integrating potential acquisitions successfully to enhance operational efficiency and market presence[61] - Risks related to regulatory compliance and network security are acknowledged as significant factors that could affect business operations[61]

Core Insights - LendingTree, Inc. reported a strong performance for Q1 2025, with total revenue reaching $239.7 million, a 43% increase year-over-year [5][9] - The company experienced growth across all three business segments, demonstrating the resilience of its financial performance [2][3] Financial Performance - Adjusted EBITDA for the quarter was $24.6 million, reflecting a 14% year-over-year growth [2][6] - The net loss for the quarter was $(12.4) million, or $(0.92) per diluted share, compared to a net income of $1.0 million in Q1 2024 [5][6][9] - Variable marketing margin was $77.7 million, a 12% increase from the previous year [8][9] Segment Performance - Home segment revenue was $37.0 million, up 22% year-over-year, with segment profit increasing by 36% to $13.1 million [7][9] - Consumer segment revenue reached $56.0 million, a 9% increase, with personal loans revenue growing by 16% [7][9] - Insurance segment revenue surged by 71% to $146.7 million, translating into a segment profit of $38.7 million, up 16% [7][9] Marketing and Operational Efficiency - The company emphasized its commitment to operational excellence, which has led to broad growth across all segments [3] - Fixed costs are being managed carefully while strategically investing in growth initiatives, establishing a culture of efficiency [3] Outlook - LendingTree updated its full-year 2025 outlook, projecting revenue between $955 million and $995 million [18] - The second-quarter revenue is expected to be between $241 million and $248 million [18]

Core Viewpoint - LendingTree, Inc. (TREE) and NerdWallet, Inc. (NRDS) are competing in the online lending market, each with distinct strategies and product offerings, facing challenges from changing consumer behaviors and market uncertainties [1][2]. Summary by Company NerdWallet, Inc. (NRDS) - NRDS operates primarily as an affiliate marketing provider, generating revenue through partnerships when users engage with financial products [3]. - The company has a strong market presence in personal finance, offering tools that help individuals and small to medium businesses make informed financial decisions [4]. - NRDS's application platform provides value across various financial products, including credit cards, mortgages, and personal loans [5]. - The user base has significantly grown, aided by strategic partnerships and the recent acquisition of Next Door Lending, enhancing its mortgage offerings [6]. - NRDS is expanding internationally, with growth opportunities in the U.K., Canada, and Australia, and expects adjusted EBITDA of $106-$116 million for 2025, slightly down from $108 million in 2024 [10]. LendingTree, Inc. (TREE) - TREE functions as an online marketplace connecting consumers with financial service providers, focusing on products like mortgages and personal loans [11]. - The company is diversifying its offerings, particularly in non-mortgage products, and has seen a compound annual growth rate of 3.3% in these revenue streams over the past three years [12][13]. - TREE is leveraging technology to enhance user experience and has made strategic investments, such as in EarnUp, to build a comprehensive financial health management ecosystem [14]. - The company anticipates adjusted EBITDA of $116-$126 million for 2025, indicating an increase of 11-21% from 2024 [14]. Financial Estimates Comparison - For NRDS, the Zacks Consensus Estimate for 2025 sales and EPS indicates year-over-year growth of 9.1% and 410%, respectively [15]. - For TREE, the estimates suggest year-over-year growth of 11.9% in sales and 20.7% in EPS [16]. Price Performance and Valuation - Both TREE and NRDS have underperformed the industry over the past year, with TREE showing modest gains while NRDS shares have significantly declined [20]. - TREE is trading at a forward price-to-sales (P/S F12M) multiple of 0.69X, below its five-year median of 0.74X, while NRDS is at 0.88X, below its median of 1.35X [21]. Final Thoughts - NRDS offers a scalable, content-driven platform with strong partner credibility and international growth potential, benefiting from a diversified product base [24]. - TREE is positioned as a lead-driven marketplace with a focus on technology and product expansion, making it attractive for monetizing user data and enhancing engagement [25].

Core Viewpoint - LendingTree, Inc. (TREE) is expected to report year-over-year growth in revenues and earnings for the first quarter of 2025, with a consensus estimate of 74 cents per share and revenues of $244 million, reflecting increases of 5.7% and 45.3% respectively [4][5]. Financial Performance - In the last reported quarter, TREE's adjusted net income per share exceeded the Zacks Consensus Estimate, driven by revenue growth, although total costs increased [2]. - TREE has a strong earnings surprise history, beating estimates in three of the last four quarters with an average surprise of 64.76% [2]. Revenue Estimates - The consensus estimate for TREE's first-quarter 2025 revenues is $244 million, indicating a year-over-year rise of 45.3% [5]. - The Home segment is expected to generate revenues of $35 million, a 16.7% increase year-over-year [8]. - The Consumer segment is projected to see revenues of $57 million, suggesting a 9.6% year-over-year rise [10]. - The Insurance segment is anticipated to achieve revenues of $152.7 million, reflecting a significant year-over-year surge of 77.8% [12]. Growth Drivers - TREE is well-positioned for growth, with strong performance in the Insurance segment and increasing traction in the Consumer and Home segments [6]. - The demand for home equity loans has been robust, contributing to sustained growth [7]. - The Consumer segment is expected to benefit from stabilization in credit markets and ongoing platform migrations aimed at enhancing user experience [9][10]. - Management anticipates continued strong underwriting profitability in the Insurance segment, which should drive consumer spending [11]. Strategic Initiatives - TREE is diversifying its revenue sources by expanding non-mortgage product offerings, including personal, auto, small business, and student loans [21]. - The company has completed acquisitions totaling over $1 billion, enhancing its credit services and online lending platform [22]. - Cost-containment efforts, including headcount reduction and elimination of less profitable businesses, are expected to support bottom-line growth [23]. Valuation - TREE's stock is currently trading at a forward price-to-book ratio of 6.41, above its median level of 4.22 and the industry average of 3.92 [19].

Core Viewpoint - LendingTree, Inc. is set to release its fiscal first quarter 2025 results on May 1, 2025, after market close, along with a letter to shareholders available on its website [1][2]. Company Overview - LendingTree, Inc. operates LendingTree.com, a leading online financial services marketplace in the U.S. [1][3] - The company connects consumers with over 500 financial partners, offering access to loans, credit cards, insurance, and more [3]. - Since its inception, LendingTree has assisted millions of customers in obtaining financing, saving money, and enhancing their financial health [3]. - The company is headquartered in Charlotte, NC [4].

Core Viewpoint - LendingTree, Inc. has shown resilience and growth through diversification and strategic acquisitions, positioning itself well for future profitability despite challenges in the mortgage sector [4][20]. Performance Overview - LendingTree's shares have increased by 9.9% over the past year, outperforming the industry growth of 7.9% and the S&P 500's rise of 6.8% [1]. - The company has a strong earnings surprise history, surpassing Zacks Consensus Estimates in three of the last four quarters [12]. Revenue Diversification - The company has shifted from an overreliance on mortgage lending to a diversified online marketplace, expanding its offerings to include credit cards, personal loans, auto loans, small business loans, and student loans [5][6]. - Non-mortgage revenue streams have experienced a compound annual growth rate of 3.3% over the past three years, indicating successful diversification efforts [7]. Inorganic Growth and Technology Investment - LendingTree has engaged in multiple acquisitions exceeding $1 billion, enhancing its credit services and online lending platform [8]. - The investment in EarnUp, a consumer-facing payments platform, reflects the company's commitment to building a tech-enabled ecosystem for financial health management [9]. Cost Management - The company has implemented cost-containment measures, including headcount reductions and the elimination of less profitable businesses, resulting in a decrease in variable marketing margin from 41.7% in 2023 to 33.8% in 2024 [10]. Earnings Growth and Projections - In Q4 2024, LendingTree reported adjusted EPS of $1.16, a significant increase from 28 cents in the previous year, driven by a 188% year-over-year growth in the Insurance segment [11]. - Earnings are projected to grow by 20.7% in 2025 and 23.6% in 2026, outpacing peers [14][18]. Sales Estimates - For 2025, the company is expected to generate revenues of approximately $1.01 billion, with a year-over-year growth estimate of 11.85% [21]. - The sales growth for 2026 is projected at 5.68% [21]. Valuation - LendingTree is currently trading at a forward P/E ratio of 10.89X, which is lower than the industry average of 19.19X, indicating it may be undervalued relative to its peers [23].

Core Viewpoint - Tree.com has experienced a 3.4% decline in share price over the past month, although it has outperformed the S&P 500 index [1] Group 1: Earnings Report and Estimates - The consensus estimate for Tree.com has shifted upward by 161.5% in the past month, indicating positive revisions [2] - The most recent earnings report is crucial for understanding the key drivers affecting the company's performance [1] Group 2: VGM Scores - Tree.com holds a strong Growth Score of A and a momentum score of A, while its value score is C, placing it in the middle 20% for that investment strategy [3] - The aggregate VGM Score for Tree.com is A, which is significant for investors not focused on a single strategy [3] Group 3: Outlook - The upward trend in estimates suggests a promising outlook for Tree.com, supported by a Zacks Rank of 1 (Strong Buy) [4] - An above-average return is expected from the stock in the coming months based on the current estimates and revisions [4]

Hammer candles can occur on any timeframe -- such as one-minute, daily, weekly -- and are utilized by both short-term as well as long-term investors. Like every technical indicator, the hammer chart pattern has its limitations. Particularly, as the strength of a hammer depends on its placement on the chart, it should always be used in conjunction with other bullish indicators. Shares of Tree.com (TREE) have been struggling lately and have lost 9.6% over the past week. However, a hammer chart pattern was for ...

Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum if future growth does not justify high valuations [1] - Identifying the right entry point for fast-moving stocks is challenging, and traditional momentum parameters may not always be reliable [1] Group 2: Bargain Stocks with Momentum - Investing in bargain stocks that have recently shown price momentum may be a safer strategy [2] - The Zacks Momentum Style Score is useful for identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced fast-moving stocks [2] Group 3: Tree.com (TREE) Analysis - Tree.com (TREE) has shown significant price momentum with a four-week price change of 31.8% [3] - Over the past 12 weeks, TREE's stock gained 26.1%, indicating its ability to deliver positive returns over a longer timeframe [4] - TREE has a beta of 1.9, suggesting it moves 90% higher than the market in either direction, indicating fast-paced momentum [4] Group 4: Valuation and Earnings Estimates - TREE has a Momentum Score of A, indicating a favorable time to invest [5] - The stock has a Zacks Rank 1 (Strong Buy) due to upward revisions in earnings estimates, which attract more investors [6] - TREE is trading at a Price-to-Sales ratio of 0.75, meaning investors pay 75 cents for each dollar of sales, indicating a reasonable valuation [6] Group 5: Additional Investment Opportunities - Besides TREE, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen [7] - Zacks offers over 45 Premium Screens to help identify potential winning stock picks based on various investing styles [8]

Group 1 - Tree.com (TREE) shares have increased by 27.3% over the past four weeks, closing at $51.41, with a mean price target of $66 indicating a potential upside of 28.4% [1] - The average price targets from analysts range from a low of $58 to a high of $72, with a standard deviation of $4.87, suggesting a relatively high agreement among analysts regarding the stock's price direction [2][9] - Analysts are optimistic about TREE's earnings prospects, as indicated by a positive trend in earnings estimate revisions, which has shown a strong correlation with near-term stock price movements [4][11] Group 2 - Over the last 30 days, three earnings estimates for TREE have been revised upward, resulting in a Zacks Consensus Estimate increase of 111.3% [12] - TREE holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for upside [13] - While consensus price targets may not be entirely reliable, the direction they imply appears to be a good guide for potential price movement [13]