MediaAlpha (NYSE:MAX) Stock Jumps 3.9% – What’s Next?

MediaAlpha, Inc. (NYSE:MAX) traded up 3.9% during mid-day trading on Thursday. The company traded as high as $10.19 and last traded at $10.0510. Approximately 113,489 shares changed hands during trading, a decline of 85% from the average daily volume of 778,542 shares. The stock had previously closed at $9.67.

Wall Street Analyst Weigh In

A number of research firms have recently commented on MAX. Zacks Research raised MediaAlpha from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, September 22nd. Canaccord Genuity Group lifted their target price on MediaAlpha from $15.00 to $17.00 and gave the stock a “buy” rating in a report on Thursday, July 30th. The Goldman Sachs Group boosted their price target on shares of MediaAlpha from $10.00 to $14.00 and gave the stock a “neutral” rating in a research report on Thursday, July 30th. JPMorgan Chase & Co. initiated coverage on shares of MediaAlpha in a report on Monday, August 24th. They issued a “neutral” rating and a $15.00 price target for the company. Finally, TD Cowen reduced their price objective on shares of MediaAlpha from $13.00 to $11.00 and set a “hold” rating for the company in a research report on Tuesday, June 23rd. Two investment analysts have rated the stock with a Strong Buy rating, three have given a Buy rating and four have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $14.29.

MediaAlpha Stock Performance

The stock has a 50 day moving average of $11.59 and a two-hundred day moving average of $10.87. The stock has a market cap of $619.64 million, a PE ratio of 6.24 and a beta of 1.14.

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

Insider Activity

In other news, Director Eugene Nonko sold 10,843 shares of the firm’s stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $13.78, for a total value of $149,416.54. Following the completion of the sale, the director owned 1,042,064 shares of the company’s stock, valued at $14,359,641.92. This trade represents a 1.03% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. 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, insider Steven Yi sold 72,000 shares of the stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $12.64, for a total value of $910,080.00. Following the completion of the sale, the insider directly owned 2,387,690 shares of the company’s stock, valued at $30,180,401.60. This represents a 2.93% 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. In the last quarter, insiders have sold 404,457 shares of company stock valued at $5,048,676. 14.65% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Dimensional Fund Advisors LP increased its position in MediaAlpha by 94.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 620,669 shares of the company’s stock valued at $5,773,000 after acquiring an additional 300,871 shares in the last quarter. Bank of America Corp DE boosted its position in shares of MediaAlpha by 380.9% in the 1st quarter. Bank of America Corp DE now owns 279,704 shares of the company’s stock worth $2,601,000 after purchasing an additional 221,540 shares during the last quarter. Jacobs Asset Management LLC boosted its holdings in MediaAlpha by 31.1% during the first quarter. Jacobs Asset Management LLC now owns 924,443 shares of the company’s stock worth $8,597,000 after buying an additional 219,144 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in MediaAlpha by 24.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 1,061,981 shares of the company’s stock valued at $9,876,000 after purchasing an additional 206,077 shares during the period. Finally, Principal Financial Group Inc. increased its position in shares of MediaAlpha by 288.7% in the 1st quarter. Principal Financial Group Inc. now owns 137,613 shares of the company’s stock valued at $1,280,000 after buying an additional 102,210 shares in the last quarter. 64.39% of the stock is owned by institutional investors.

About MediaAlpha

MediaAlpha, Inc (NYSE: MAX) operates a technology platform designed to help insurance companies and distributors acquire customers through digital channels. Its platform connects consumers who are shopping for insurance with providers and other distribution partners, using data, analytics and automated transactions to facilitate customer acquisition.

The company’s services primarily support insurance shopping and marketing across categories such as auto, home, health and life insurance.