Match Group Stock Hot After S&P 500 News

The stock is gapping higher after the news

Assistant Editor
Sep 7, 2021 at 10:34 AM
facebook twitter linkedin

The shares of Match Group Inc (NASDAQ:MTCH) are surging today, after news that the online dating name will join the S&P 500 index (SPX) later this month. At last check, the stock was up 7.2% to trade at $158.81.

Today's pop has MTCH on track for its fourth-straight daily gain, as well as gapping above pressure at the 180-day moving average. Before today, the equity was moving steadily higher since bouncing off the $130 level in mid-August, a trendline that has served as a floor for the stock's pullbacks since November. 

The majority of analysts are bullish on Match Group stock, with 12 of the 15 in coverage carrying a "buy" or better rating and the remaining three a tepid "hold." Plus, the 12-month consensus price target of $173.22 is a 9.6% premium to current levels. 

Meanwhile, the 12.7 million shares sold short account for 4.7% of the security's available float. In other words, it would take nearly six days to buy back these bearish bets, at MTCH's average pace of trading. 

Now could be a good time to weigh on the stock's next move with options. The equity's Schaeffer's Volatility Index (SVI) of 35% stands higher than 14% of all other readings in its annual range, implying that options players are pricing in relatively low volatility expectations at the moment. 

Grab your FREE Eternal Contrarian report!


Special Offers from Schaeffer's Trading Partners