MediaAlpha (NYSE:MAX) Stock Rating Lowered by Zacks Research

MediaAlpha (NYSE:MAX) was downgraded by equities research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Wednesday, Zacks reports.

Several other analysts have also issued reports on the company. The Goldman Sachs Group cut their price target on MediaAlpha from $14.00 to $10.50 and set a “neutral” rating for the company in a report on Wednesday, October 14th. Canaccord Genuity Group upped their price target on MediaAlpha from $15.00 to $17.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. JPMorgan Chase & Co. assumed coverage on MediaAlpha in a research note on Monday, August 24th. They issued a “neutral” rating and a $15.00 price objective on the stock. Royal Bank Of Canada lifted their price objective on MediaAlpha from $11.00 to $15.00 and gave the company an “outperform” rating in a research report on Wednesday, August 5th. Finally, Keefe, Bruyette & Woods lifted their price objective on MediaAlpha from $15.00 to $17.00 and gave the company an “outperform” rating in a research report on Wednesday, July 8th. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, MediaAlpha currently has a consensus rating of “Moderate Buy” and a consensus price target of $13.79.

MediaAlpha Price Performance

Shares of MediaAlpha stock opened at $12.45 on Wednesday. The company’s fifty day simple moving average is $11.30 and its 200-day simple moving average is $11.00. The stock has a market capitalization of $762.38 million, a PE ratio of 7.68 and a beta of 1.14. MediaAlpha has a 1-year low of $7.09 and a 1-year high of $14.70.

MediaAlpha (NYSE:MAX) last issued its quarterly earnings data on Wednesday, July 29th. The company reported $0.65 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.23 by $0.42. The firm had revenue of $316.88 million during the quarter, compared to the consensus estimate of $300.87 million. MediaAlpha had a net margin of 7.94% and a negative return on equity of 301.42%. As a group, research analysts anticipate that MediaAlpha will post 1.40 EPS for the current year.

Insiders Place Their Bets

In other news, insider Steven Yi sold 24,000 shares of the business’s stock in a transaction dated Thursday, October 8th. The stock was sold at an average price of $10.04, for a total value of $240,960.00. Following the transaction, the insider directly owned 2,315,740 shares in the company, valued at $23,250,029.60. The trade was a 1.03% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Eugene Nonko sold 7,273 shares of the company’s stock in a transaction dated Wednesday, October 21st. The stock was sold at an average price of $11.63, for a total value of $84,584.99. Following the completion of the transaction, the director directly owned 812,730 shares of the company’s stock, valued at approximately $9,452,049.90. This trade represents a 0.89% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 438,875 shares of company stock worth $5,391,177. 14.65% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Triad Investment Management boosted its stake in MediaAlpha by 10.4% in the 2nd quarter. Triad Investment Management now owns 368,731 shares of the company’s stock worth $4,635,000 after purchasing an additional 34,867 shares during the period. Squarepoint Ops LLC raised its position in shares of MediaAlpha by 8.7% during the second quarter. Squarepoint Ops LLC now owns 234,255 shares of the company’s stock valued at $2,945,000 after buying an additional 18,714 shares during the last quarter. Corient Private Wealth LP raised its position in shares of MediaAlpha by 50.7% during the second quarter. Corient Private Wealth LP now owns 23,451 shares of the company’s stock valued at $295,000 after buying an additional 7,892 shares during the last quarter. AXQ Capital LP purchased a new position in shares of MediaAlpha in the second quarter worth $316,000. Finally, Globeflex Capital L P purchased a new position in shares of MediaAlpha in the second quarter worth $702,000. 64.39% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about MediaAlpha

Here are the key news stories impacting MediaAlpha this week:

• Positive Sentiment: MediaAlpha’s most recent reported quarter materially exceeded expectations, with earnings of $0.65 per share versus the $0.23 consensus estimate and revenue of $316.9 million versus the $300.9 million forecast. Analysts expect approximately $1.40 in full-year EPS, providing a favorable fundamental backdrop.
• Positive Sentiment: Analyst sentiment remains generally constructive. MediaAlpha has a consensus “Moderate Buy” rating and an average price target of $13.79, above the stock’s recently cited trading level. Canaccord Genuity and RBC have price targets of $17 and $15, respectively.
• Neutral Sentiment: CRO Keith Cramer sold 12,000 shares for approximately $136,680, reducing his direct holdings by 4.78%. Director Eugene Nonko sold a combined 18,426 shares across transactions on October 19 and 21. All sales were made under pre-arranged Rule 10b5-1 plans to cover tax-withholding obligations from vested equity awards, limiting their value as a signal about management’s outlook. MediaAlpha insider sales article
• Negative Sentiment: The concentration of sales by a senior executive and director may weigh on sentiment and add near-term selling pressure, even though the transactions were relatively small compared with their remaining holdings and were not discretionary open-market sales.

About MediaAlpha

MediaAlpha, Inc operates a technology platform that helps insurance carriers and distributors acquire customers through digital channels. Its marketplace connects consumers who are shopping for insurance with providers seeking qualified prospects, using data, analytics and automated systems to facilitate the matching process.

The company’s platform supports customer acquisition across insurance categories, including property and casualty products such as auto and home insurance, as well as health, life and Medicare-related coverage.