MediaAlpha (NYSE:MAX) Stock Bumped Down to “Hold” by Zacks Research

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

Several other equities research analysts also recently weighed in on the company. JPMorgan Chase & Co. initiated coverage on MediaAlpha in a report on Monday, August 24th. They issued a “neutral” rating and a $15.00 price target on the stock. Weiss Ratings raised MediaAlpha from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, October 8th. Wall Street Zen raised MediaAlpha from a “buy” rating to a “strong-buy” rating in a research report on Saturday, August 1st. Canaccord Genuity Group upped their price target on shares of MediaAlpha from $15.00 to $17.00 and gave the company a “buy” rating in a report on Thursday, July 30th. Finally, Royal Bank Of Canada raised their target price on MediaAlpha from $11.00 to $15.00 and gave the company an “outperform” rating in a research report on Wednesday, August 5th. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat.com, MediaAlpha presently has an average rating of “Moderate Buy” and a consensus price target of $13.79.

MediaAlpha Price Performance

MediaAlpha stock opened at $12.45 on Wednesday. MediaAlpha has a 1 year low of $7.09 and a 1 year high of $14.70. The firm’s 50 day moving average price is $11.30 and its 200-day moving average price is $11.00. The stock has a market cap of $762.38 million, a P/E ratio of 7.68 and a beta of 1.14.

MediaAlpha (NYSE:MAX) last posted its earnings results on Wednesday, July 29th. The company reported $0.65 EPS for the quarter, topping analysts’ consensus estimates of $0.23 by $0.42. The company had revenue of $316.88 million for the quarter, compared to the consensus estimate of $300.87 million. MediaAlpha had a negative return on equity of 301.42% and a net margin of 7.94%. As a group, equities analysts expect that MediaAlpha will post 1.40 EPS for the current year.

Insiders Place Their Bets

In related news, CRO Keith Cramer sold 12,000 shares of the business’s stock in a transaction on Monday, October 19th. The stock was sold at an average price of $11.39, for a total value of $136,680.00. Following the sale, the executive owned 239,303 shares in the company, valued at approximately $2,725,661.17. The trade was a 4.78% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through 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 that occurred on Wednesday, October 21st. The stock was sold at an average price of $11.63, for a total transaction of $84,584.99. Following the sale, the director directly owned 812,730 shares in the company, valued at approximately $9,452,049.90. The trade was a 0.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 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. Insiders have sold 438,875 shares of company stock worth $5,391,177 over the last ninety days. Company insiders own 14.65% of the company’s stock.

Institutional Investors Weigh In On MediaAlpha

A number of large investors have recently modified their holdings of the company. Triad Investment Management raised its holdings in MediaAlpha by 10.4% during the second 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 in the last quarter. Squarepoint Ops LLC raised its stake in shares of MediaAlpha by 8.7% during the 2nd quarter. Squarepoint Ops LLC now owns 234,255 shares of the company’s stock worth $2,945,000 after buying an additional 18,714 shares during the last quarter. Corient Private Wealth LP lifted its position in shares of MediaAlpha by 50.7% in the second quarter. Corient Private Wealth LP now owns 23,451 shares of the company’s stock valued at $295,000 after acquiring an additional 7,892 shares in the last quarter. AXQ Capital LP purchased a new stake in MediaAlpha in the 2nd quarter worth approximately $316,000. Finally, Globeflex Capital L P acquired a new position in shares of MediaAlpha during the 2nd quarter valued at about $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.

MediaAlpha Company Profile

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.