LendingTree (NASDAQ:TREE – Get Free Report) issued its quarterly earnings data on Thursday. The financial services provider reported $1.38 earnings per share for the quarter, missing analysts’ consensus estimates of $1.49 by ($0.11), Zacks reports. LendingTree had a return on equity of 12.44% and a net margin of 13.55%.The business had revenue of $319.07 million for the quarter, compared to analysts’ expectations of $321.33 million. During the same period last year, the business earned $0.99 earnings per share. The company’s revenue for the quarter was up 36.5% on a year-over-year basis.
Here are the key takeaways from LendingTree’s conference call:
- LendingTree delivered an exceptional Q1 — Adjusted EBITDA grew 71% YoY on 37% revenue growth, posted the highest quarterly adjusted EBITDA in six years, reduced net leverage to 2.1x, and received an S&P upgrade to B+.
- The insurance segment was the primary driver, with revenue up 51% YoY and segment profit up 50% YoY, supported by stronger carrier demand, expanding carrier diversification (including health insurance), and expected continued momentum from increased competition and pricing dynamics.
- Consumer revenue grew 49% YoY (led by small business lending) but management cautioned about recent softening in personal and SMB loan demand—attributed to very low consumer sentiment, higher gas prices, and some lender tightening—and guided conservatively assuming muted seasonality.
- Home remains pressured by elevated mortgage rates and low transaction volumes; management is investing to win higher-quality traffic and expand lender relationships, viewing current results as cyclical lows with upside if rates normalize.
- Management is prioritizing a shift to organic traffic and AI adoption — noting that each 5-point increase in organic mix could add about $40 million of segment profit — and is using AI internally and in customer journeys to improve conversion and reduce costs.
LendingTree Trading Down 21.7%
Shares of NASDAQ:TREE traded down $10.78 during midday trading on Friday, reaching $38.81. The company’s stock had a trading volume of 1,473,132 shares, compared to its average volume of 362,519. The firm has a market cap of $541.40 million, a price-to-earnings ratio of 3.62 and a beta of 2.13. The business has a 50 day moving average price of $42.86 and a 200 day moving average price of $50.63. LendingTree has a 1 year low of $32.65 and a 1 year high of $77.35. The company has a quick ratio of 1.67, a current ratio of 1.67 and a debt-to-equity ratio of 1.35.
Institutional Trading of LendingTree
Wall Street Analysts Forecast Growth
TREE has been the topic of a number of analyst reports. Wall Street Zen upgraded LendingTree from a “hold” rating to a “buy” rating in a report on Saturday, April 18th. Needham & Company LLC reissued a “buy” rating and issued a $60.00 price target on shares of LendingTree in a report on Friday. Truist Financial set a $78.00 price objective on LendingTree in a research note on Friday. JPMorgan Chase & Co. started coverage on LendingTree in a research report on Tuesday, April 14th. They set an “overweight” rating and a $50.00 price objective for the company. Finally, Keefe, Bruyette & Woods cut their target price on shares of LendingTree from $83.00 to $70.00 and set an “outperform” rating for the company in a research note on Wednesday, March 4th. Five analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $68.60.
View Our Latest Stock Analysis on TREE
Key Headlines Impacting LendingTree
Here are the key news stories impacting LendingTree this week:
- Positive Sentiment: Zacks reports TREE’s Q1 results beat estimates, adjusted EBITDA jumped and the company raised its full‑year 2026 outlook — a key driver of the stock’s intraday strength. LendingTree Q1 Earnings Top Estimates, Stock Up, 2026 Outlook Raised
- Positive Sentiment: Company press release: record quarterly revenue of $327.3M, GAAP net income of $17.3M ($1.22/sh), and adjusted EBITDA of $42.0M — strong top‑line growth (yr/yr) underpinning the upbeat outlook. LENDINGTREE REPORTS FIRST QUARTER 2026 RESULTS
- Positive Sentiment: Needham reaffirmed its “buy” rating and set a $60 price target, signaling analyst confidence and giving the stock notable upside potential. Benzinga
- Neutral Sentiment: The company provided Q2 revenue guidance of roughly $305M–$325M and FY2026 revenue guidance of $1.3B–$1.4B (around street estimates), so guidance is not materially out of line but leaves room for upside/downside within the range.
- Neutral Sentiment: Investors can read the full Q1 earnings call transcript for color on product performance, marketing, and margin dynamics. Earnings Call Transcript
- Negative Sentiment: Some outlets reported a headline EPS miss (MarketBeat: $1.38 vs. $1.49 consensus), reflecting differences between GAAP and adjusted figures — this mixed messaging likely contributed to selling pressure and intraday volatility. MarketBeat Earnings Summary
LendingTree Company Profile
LendingTree, Inc operates an online marketplace that connects consumers with a network of lenders and financial service providers. Through its platform, borrowers can compare loan offers for mortgages, home equity loans, personal loans, student loans, auto loans and small business financing. The company also offers tools for comparing credit cards and deposit accounts, allowing users to research rates and terms from a range of providers in one place.
Founded in 1996 by Doug Lebda, LendingTree pioneered the comparison-shopping model for consumer credit products.
Further Reading
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