Why Bumble Shares Are Down 22% This Year
Dating is often a multidimensional process. Although it originates online at an increasing rate, people eventually end up meeting in person or moving their online conversations off dating apps and into texts or social media platforms. The pandemic created a unique circumstance in which the online part of the equation was basically the whole thing -- lockdowns often prevented aspiring couples from progressing into the real world.
Bumble (NASDAQ: BMBL) reported that the number of messages in its platform rose 26% in March 2020 when the lockdowns began. It wasn't alone with most of the app-based dating players also enjoying a massive boost to their engagement levels. But when Bumble reported its first-quarter earnings results, revenue growth had slowed to a trickle on a sequential basis, so there is an indication the company may have seen peak growth in 2020.
Image source: Getty Images.
Source Fool.com
