Recent News
On June 23, 2026 Grindr announced CEO George Arison’s appointment as Chairman of the Board and related equity awards. The company disclosed an accelerated share repurchase activity during Q2 and an ongoing ASR program. A July investor notice flagged a shareholder-law firm inquiry into potential board fiduciary issues.
Technical Analysis
Directional indicators show limited trend strength: ADX at 17.28 indicates no established trend, leaving momentum-driven moves more probable than sustained directional breakouts.
Directional movement confirms near-term selling pressure. DI+ decreased to 18.85 (bearish) while DI– sits at 24.73 and shows a dip & reversal, which maps to rising downside pressure. Together these read as bearish directional bias against the current valuation context.
MACD sits negative at -0.07 and is decreasing, with the MACD beneath its signal line (0.02). That combination indicates weakening momentum and reinforces the short-term bearish tilt implied by the directional indicators.
MRO at 10.34 (dip & reversal) places the market price above the model target, implying potential downward pressure toward valuation; the recent MRO behavior suggests that repricing risk now outweighs immediate upside from momentum.
RSI at 53.4 and declining signals fading strength: price sits near neutral momentum but moving lower, which supports the expectation that short-term mean reversion could dominate until momentum re-accelerates.
Price sits above the 200-day average ($13.37) but below several short-term averages: the close at $15.25 falls under the 20-day average ($15.60) and the 50-day average ($15.84), while the 12-day EMA ( $15.61) declines. That structure favors longer-term support with short-term resistance overhead (Ichimoku Kijun-sen $16.82 and SuperTrend upper $16.64) and suggests any rally must clear those levels to regain bullish control.
Bollinger bands place the upper 1x band near $15.79; current price remains inside the bands and below the upper band, consistent with the combination of neutral RSI and negative MACD for a modest settling or pullback phase. Volume sits slightly above the 10-day average, supporting conviction behind recent directional moves.
Fundamental Analysis
Q2 results show total revenue of $138,138,000 and net income of $17,743,000; operating cash flow $40,806,000 and free cash flow $37,961,000. The company reported adjusted profitability metrics that underlie the valuation narrative below.
Profitability: EBIT of $29,421,000 yields an EBIT margin of 21.30%, down 34.92% QoQ and down 10.70% YoY. That margin sits below the industry peer mean (29.14%) and median (30.13%), indicating lower operating efficiency relative to the typical interactive-media peer despite positive absolute margins.
Top-line dynamics show a material timing effect: revenue growth QoQ printed at +100.32% while revenue growth YoY stands at -42.37%. The large QoQ uplift contrasts with steep YoY contraction, suggesting seasonality, one-off comparables, or recent product/monetization changes drove the sequential rebound in the quarter reported.
EPS and forward metrics: reported EPS $0.13 missed the estimate of $0.15 (EPS surprise -13.33%). Trailing PE registers at 112.80 while forward PE sits at 66.45; forward PE remains below the industry peer mean on forward PE but the trailing PE exceeds the peer high, reflecting current earnings base and near-term growth expectations. Forward EPS equals $0.1925 per share.
Capital structure and liquidity: total debt $389,595,000 produces net debt of $379,816,000 against cash and short-term investments of $6,504,000. Debt to EBITDA runs at 12.85x and debt-to-assets at 84.18%, indicating elevated leverage that pressures near-term flexibility. Current ratio of 1.10 declined QoQ and sits meaningfully below the industry peer mean (2.63).
Cash flow and returns: free cash flow yield at 1.49% improved YoY, and operating cash flow provides positive conversion with cash flow to earnings slightly above 1.0, supporting the company’s ability to generate operating cash despite leverage. Return on assets at 3.80% remains positive while return on equity reads -151.16% due to negative total equity; negative book value (book value per share -$0.06753) creates a negative P/B ($-217.14) and impacts equity-based ratios.
Valuation: WMDST values the stock as under-valued. That assessment reflects positive free cash generation, maintained gross margins (74.98%), and sequential revenue recovery balanced against elevated leverage and compressed QoQ margins. The consensus price target mean sits at $17.74 while the current close reads $15.25, leaving a modest valuation gap conditioned on margin recovery and debt trajectory.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-06-30 |
| REPORT DATE: | 2026-08-06 |
| NEXT REPORT DATE: | 2026-11-05 |
| CASH FLOW | Begin Period Cash Flow | $ 24.4 M |
| Operating Cash Flow | $ 40.8 M | |
| Capital Expenditures | $ -2.85 M | |
| Change In Working Capital | $ -1.33 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -17.31 M | |
| End Period Cash Flow | $ 7.1 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 138.1 M | |
| Forward Revenue | $ 65.1 M | |
| COSTS | ||
| Cost Of Revenue | $ 34.6 M | |
| Depreciation | $ 895.0 K | |
| Depreciation and Amortization | $ 895.0 K | |
| Research and Development | $ 20.3 M | |
| Total Operating Expenses | $ 105.6 M | |
| PROFITABILITY | ||
| Gross Profit | $ 103.6 M | |
| EBITDA | $ 30.3 M | |
| EBIT | $ 29.4 M | |
| Operating Income | $ 32.5 M | |
| Interest Income | — | |
| Interest Expense | $ 6.5 M | |
| Net Interest Income | $ -6.53 M | |
| Income Before Tax | $ 22.9 M | |
| Tax Provision | $ 5.1 M | |
| Tax Rate | 22.493 % | |
| Net Income | $ 17.7 M | |
| Net Income From Continuing Operations | $ 17.7 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.15 | |
| EPS Actual | $ 0.13 | |
| EPS Difference | $ -0.02 | |
| EPS Surprise | -13.333 % | |
| Forward EPS | $ 0.19 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 462.8 M | |
| Intangible Assets | $ 358.8 M | |
| Net Tangible Assets | $ -370.53 M | |
| Total Current Assets | $ 93.0 M | |
| Cash and Short-Term Investments | $ 6.5 M | |
| Cash | $ 6.5 M | |
| Net Receivables | $ 69.7 M | |
| Inventory | — | |
| Long-Term Investments | $ 3.2 M | |
| LIABILITIES | ||
| Accounts Payable | $ 3.1 M | |
| Short-Term Debt | $ 20.0 M | |
| Total Current Liabilities | $ 84.5 M | |
| Net Debt | $ 379.8 M | |
| Total Debt | $ 389.6 M | |
| Total Liabilities | $ 474.6 M | |
| EQUITY | ||
| Total Equity | $ -11.74 M | |
| Retained Earnings | $ -52.57 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ -0.07 | |
| Shares Outstanding | 173.825 M | |
| Revenue Per-Share | $ 0.79 | |
| VALUATION | Market Capitalization | $ 2.5 B |
| Enterprise Value | $ 2.9 B | |
| Enterprise Multiple | 96.715 | |
| Enterprise Multiple QoQ | 60.855 % | |
| Enterprise Multiple YoY | -28.177 % | |
| Enterprise Multiple IPRWA | high: 151.041 GRND: 96.715 mean: 34.269 median: 28.715 low: -37.674 |
|
| EV/R | 21.225 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | -39.431 | |
| Asset To Liability | 0.975 | |
| Debt To Capital | 1.031 | |
| Debt To Assets | 0.842 | |
| Debt To Assets QoQ | 0.36 % | |
| Debt To Assets YoY | 60.257 % | |
| Debt To Assets IPRWA | high: 1.032 GRND: 0.842 mean: 0.144 median: 0.122 low: 0.001 |
|
| Debt To Equity | -33.191 | |
| Debt To Equity QoQ | -107.05 % | |
| Debt To Equity YoY | -2265.774 % | |
| Debt To Equity IPRWA | high: 1.435 mean: 0.224 median: 0.181 low: -0.52 GRND: -33.191 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | -217.144 | |
| Price To Book QoQ | -108.108 % | |
| Price To Book YoY | -1234.195 % | |
| Price To Book IPRWA | high: 12.13 median: 6.956 mean: 6.815 low: -8.753 GRND: -217.144 |
|
| Price To Earnings (P/E) | 112.798 | |
| Price To Earnings QoQ | 24.656 % | |
| Price To Earnings YoY | -56.122 % | |
| Price To Earnings IPRWA | GRND: 112.798 high: 99.926 mean: 48.196 median: 37.234 low: -47.824 |
|
| PE/G Ratio | -15.791 | |
| Price To Sales (P/S) | 18.452 | |
| Price To Sales QoQ | 6.811 % | |
| Price To Sales YoY | -46.482 % | |
| Price To Sales IPRWA | high: 36.351 median: 36.141 mean: 34.367 GRND: 18.452 low: 0.003 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 66.447 | |
| Forward PE/G | -9.302 | |
| Forward P/S | 39.137 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -4.885 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.296 | |
| Asset Turnover Ratio QoQ | 14.073 % | |
| Asset Turnover Ratio YoY | 74.174 % | |
| Asset Turnover Ratio IPRWA | high: 0.5 GRND: 0.296 mean: 0.147 median: 0.144 low: 0.002 |
|
| Receivables Turnover | 1.976 | |
| Receivables Turnover Ratio QoQ | 5.012 % | |
| Receivables Turnover Ratio YoY | 4.578 % | |
| Receivables Turnover Ratio IPRWA | high: 6.708 mean: 2.017 GRND: 1.976 median: 1.813 low: 0.137 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 46.181 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 36.009 | |
| Cash Conversion Cycle Days QoQ | -10.203 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 54.723 GRND: 36.009 median: 4.16 mean: -7.669 low: -436.789 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 16.204 | |
| CapEx To Revenue | -0.021 | |
| CapEx To Depreciation | -3.179 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 354.6 M | |
| Net Invested Capital | $ 374.6 M | |
| Invested Capital | $ 374.6 M | |
| Net Tangible Assets | $ -370.53 M | |
| Net Working Capital | $ 8.5 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.077 | |
| Current Ratio | 1.101 | |
| Current Ratio QoQ | -16.308 % | |
| Current Ratio YoY | -55.564 % | |
| Current Ratio IPRWA | high: 7.2 median: 2.719 mean: 2.628 GRND: 1.101 low: 0.476 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 12.851 | |
| Cost Of Debt | 1.29 % | |
| Interest Coverage Ratio | 4.506 | |
| Interest Coverage Ratio QoQ | -30.009 % | |
| Interest Coverage Ratio YoY | -35.387 % | |
| Interest Coverage Ratio IPRWA | high: 58.055 median: 24.223 mean: 22.405 GRND: 4.506 low: -47.177 |
|
| Operating Cash Flow Ratio | 0.214 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 10.172 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -1.717 % | |
| Revenue Growth | 6.308 % | |
| Revenue Growth QoQ | 100.318 % | |
| Revenue Growth YoY | -42.372 % | |
| Revenue Growth IPRWA | high: 17.855 % mean: 8.724 % median: 7.974 % GRND: 6.308 % low: -18.891 % |
|
| Earnings Growth | -7.143 % | |
| Earnings Growth QoQ | -117.857 % | |
| Earnings Growth YoY | -64.285 % | |
| Earnings Growth IPRWA | high: 250.0 % median: 61.29 % mean: 59.161 % GRND: -7.143 % low: -191.304 % |
|
| MARGINS | ||
| Gross Margin | 74.976 % | |
| Gross Margin QoQ | 0.08 % | |
| Gross Margin YoY | 1.729 % | |
| Gross Margin IPRWA | high: 100.0 % GRND: 74.976 % mean: 64.632 % median: 61.649 % low: 7.209 % |
|
| EBIT Margin | 21.298 % | |
| EBIT Margin QoQ | -34.92 % | |
| EBIT Margin YoY | -10.7 % | |
| EBIT Margin IPRWA | high: 45.687 % median: 30.129 % mean: 29.144 % GRND: 21.298 % low: -69.708 % |
|
| Return On Sales (ROS) | 23.529 % | |
| Return On Sales QoQ | -28.444 % | |
| Return On Sales YoY | 0.723 % | |
| Return On Sales IPRWA | high: 39.835 % mean: 32.993 % median: 30.879 % GRND: 23.529 % low: -58.436 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 38.0 M | |
| Free Cash Flow Yield | 1.489 % | |
| Free Cash Flow Yield QoQ | 4.933 % | |
| Free Cash Flow Yield YoY | 45.98 % | |
| Free Cash Flow Yield IPRWA | high: 12.447 % GRND: 1.489 % mean: -0.082 % median: -0.134 % low: -13.895 % |
|
| Free Cash Growth | 19.164 % | |
| Free Cash Growth QoQ | -58.115 % | |
| Free Cash Growth YoY | -67.05 % | |
| Free Cash Growth IPRWA | high: 376.923 % GRND: 19.164 % mean: -145.988 % median: -157.879 % low: -468.573 % |
|
| Free Cash To Net Income | 2.139 | |
| Cash Flow Margin | 13.108 % | |
| Cash Flow To Earnings | 1.021 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 3.8 % | |
| Return On Assets QoQ | -28.839 % | |
| Return On Assets YoY | 40.118 % | |
| Return On Assets IPRWA | high: 16.895 % mean: 12.068 % median: 10.842 % GRND: 3.8 % low: -15.635 % |
|
| Return On Capital Employed (ROCE) | 7.776 % | |
| Return On Equity (ROE) | -1.512 | |
| Return On Equity QoQ | -104.741 % | |
| Return On Equity YoY | -1805.121 % | |
| Return On Equity IPRWA | high: 0.279 mean: 0.16 median: 0.136 low: -0.429 GRND: -1.512 |
|
| DuPont ROE | -325.575 % | |
| Return On Invested Capital (ROIC) | 6.088 % | |
| Return On Invested Capital QoQ | -24.653 % | |
| Return On Invested Capital YoY | 47.695 % | |
| Return On Invested Capital IPRWA | high: 15.712 % mean: 13.794 % median: 8.219 % GRND: 6.088 % low: -11.818 % |
|