LendingTree Reports Strong Earnings, Sets Growth for 2025

Author: Olivia Taylor Updated: 03-06-2025 01:28 PM

LendingTree Reports Strong Q4 Earnings

LendingTree, Inc. (NASDAQ: TREE) shares have soared recently after the company posted fourth-quarter financial results that surpassed expectations. The reported earnings of $1.16 per share were a pleasant surprise, as analysts had predicted a loss of five cents. Additionally, revenues reached $261.5 million, exceeding projections of $236.84 million.

Promising First Quarter Outlook

Looking ahead, LendingTree has set its sights on the first quarter with revenue predictions between $241 million and $248 million, slightly above the analyst consensus estimate of $243.27 million. Furthermore, for fiscal year 2025, the company anticipates revenue to fall between $985 million and $1.025 billion, which aligns closely with the $1.02 billion estimate provided by analysts.

Analysts React to Performance

The market response has been favorable, with analysts expressing confidence in the company's trajectory. J.P. Morgan analyst Melissa Wedel has increased her price forecast from $65.00 to $68.00 while maintaining an Overweight rating. Wedel's optimism is supported by the anticipated double-digit year-over-year growth across LendingTree's various business segments.

Growth in All Segments

According to Wedel, the fourth-quarter performance has exceeded both estimates and guidance. This is encouraging not only for investors but also indicates a strong recovery coming in 2025. The analyst believes that even amid strict underwriting standards, LendingTree is poised to return to a growth phase across all its divisions.

Enhanced Features for Increased Revenue

Confidence in LendingTree's growth strategy continues to build, especially with the expansion of its SPRING platform, formerly known as MyLendingTree. As new features are introduced, the potential for increased revenue from its product offerings is significant over the long term.

Price Predictions from Other Analysts

Other analysts have also adjusted their forecasts. Keefe, Bruyette & Woods analyst Ryan Tomasello has reaffirmed an Outperform rating but reduced the price target from $73 to $66. Meanwhile, Needham’s Mayank Tandon has kept a Buy rating intact while lowering the target from $78 to $65.

Current Stock Performance

LendingTree's stock (TREE) is experiencing a robust uptick, climbing 23.7%, trading at approximately $49.83 in recent market sessions. This substantial rise reflects growing investor confidence following the impressive earnings report.

Frequently Asked Questions

What were LendingTree's Q4 earnings results?

LendingTree reported earnings of $1.16 per share, beating analyst expectations of a five-cent loss, and revenue of $261.5 million, which was above the $236.84 million forecast.

What is LendingTree's revenue outlook for the first quarter of 2025?

The company expects first-quarter revenue in the range of $241 million to $248 million, above the analyst consensus of $243.27 million.

What are analysts saying about LendingTree's stock?

Analysts like Melissa Wedel from J.P. Morgan have raised price targets and shown confidence in the company's growth potential, predicting double-digit growth across all segments in 2025.

How is the stock performing currently?

LendingTree's shares have risen 23.7%, with recent trading prices hovering around $49.83, indicating strong market reaction to the earnings results.

What changes are being made to LendingTree's platforms?

The company is expanding its SPRING platform, aiming to introduce new features that are expected to generate additional revenue and enhance customer engagement over time.

About The Author

Olivia Taylor here, a 26-year-old writer and financial advisor. After earning a degree in finance, I worked in the sector for years. I've always loved numbers and had a talent for simplifying difficult financial ideas so that anyone could understand. I wrote my first book because of this passion; it helps readers take charge of their financial futures by fusing real-life stories with useful financial advice.

Whether they are just beginning their careers, preparing for significant life events, or seeking to invest wisely, my goal with my writing is to enable people to make educated financial decisions. The foundation of my work is the conviction that security and freedom of the individual are largely determined by financial literacy. To further financial education, I run workshops and frequently write for financial blogs in addition to my books.

I like to travel, experience other cultures, and find inspiration in daily life when I'm not writing or examining market trends. My passion is utilizing sound financial practices to help people reach their financial objectives and lead the best lives possible.

Contact Olivia Taylor privately here. Or send an email with ATTN: Olivia Taylor as the subject to contact@investorshangout.com.

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

The content of this article is based on factual, publicly available information and does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice, and the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. This article should not be considered advice to purchase, sell, or hold any securities or other investments. If any of the material provided here is inaccurate, please contact us for corrections.