Stock Traders Purchase Large Volume of LendingTree Call Options (NASDAQ:TREE)

LendingTree, Inc. (NASDAQ:TREE) was the target of unusually large options trading activity on Thursday. Stock investors bought 9,537 call options on the stock. This represents an increase of 2,564% compared to the typical volume of 358 call options.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on TREE shares. Zacks Research cut shares of LendingTree from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, December 30th. Needham & Company LLC cut their price objective on LendingTree from $85.00 to $60.00 and set a “buy” rating on the stock in a research report on Tuesday. Weiss Ratings reissued a “hold (c-)” rating on shares of LendingTree in a research report on Monday, December 29th. Keefe, Bruyette & Woods lowered their target price on LendingTree from $83.00 to $70.00 and set an “outperform” rating for the company in a research note on Wednesday. Finally, Wall Street Zen cut LendingTree from a “strong-buy” rating to a “buy” rating in a research note on Monday, November 10th. Five equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $74.00.

Hedge Funds Weigh In On LendingTree

A number of hedge funds have recently bought and sold shares of the company. Jennison Associates LLC purchased a new stake in LendingTree during the 4th quarter valued at about $31,120,000. Ameriprise Financial Inc. lifted its stake in shares of LendingTree by 1,747.8% in the second quarter. Ameriprise Financial Inc. now owns 546,536 shares of the financial services provider’s stock worth $20,260,000 after buying an additional 516,958 shares in the last quarter. Mariner LLC grew its holdings in shares of LendingTree by 31.5% during the fourth quarter. Mariner LLC now owns 1,760,407 shares of the financial services provider’s stock valued at $93,461,000 after buying an additional 421,826 shares during the last quarter. Arrowstreet Capital Limited Partnership increased its position in shares of LendingTree by 1,163.1% during the third quarter. Arrowstreet Capital Limited Partnership now owns 263,835 shares of the financial services provider’s stock valued at $17,078,000 after acquiring an additional 242,947 shares in the last quarter. Finally, Blue Grotto Capital LLC increased its position in shares of LendingTree by 64.3% during the fourth quarter. Blue Grotto Capital LLC now owns 584,931 shares of the financial services provider’s stock valued at $31,054,000 after acquiring an additional 228,858 shares in the last quarter. Institutional investors own 68.26% of the company’s stock.

Key Stories Impacting LendingTree

Here are the key news stories impacting LendingTree this week:

• Positive Sentiment: Record revenue and stronger guidance — LendingTree reported Q4 revenue above $1 billion (up ~22%) and raised 2026 sales guidance toward ~$1.33B, which investors view as a major growth signal. LendingTree’s revenue soars past $1 billion, fueled by AI adoption
• Positive Sentiment: AI narrative driving forward guidance and investor enthusiasm — management highlighted AI adoption as a durable revenue driver on the earnings call, underpinning upside expectations. LendingTree Inc. Earnings Call Highlights AI‑Fueled Upside
• Positive Sentiment: Unusual call buying signals speculative bullish flow — unusually heavy options activity (9,537 calls, ~2,564% above average) indicates traders are placing aggressive bullish bets, which can amplify intraday moves. (Market data entry)
• Positive Sentiment: Brokerage sentiment remains constructive — the stock has a consensus “Moderate Buy” from analysts, supporting potential upside if revenue execution continues. LendingTree Receives Consensus Recommendation of “Moderate Buy”
• Neutral Sentiment: Regulatory stance — LendingTree publicly supports the Homebuyers Privacy Protection Act (Trigger Leads Bill). That reduces certain lead practices but the company says it preserves competition; impact is structural and likely neutral-to-mixed near term. LendingTree Supports Implementation of Homebuyers Privacy Protection Act
• Neutral Sentiment: Local and trade coverage amplifies the AI/revenue story but offers limited incremental financial detail. LendingTree’s $1.12 Billion Hot Streak Supercharges South End Comeback
• Negative Sentiment: Q4 EPS miss and swing to a loss — while revenue beat, the company reported negative EPS for the quarter (miss vs. consensus), which raises near‑term profitability concerns and likely pressured intraday sentiment. TREE Lags Q4 Earnings Estimates, Stock Up 23.9% on Revenue Growth
• Negative Sentiment: Analyst target trimmed — Keefe, Bruyette & Woods cut its price target from $83 to $70 (still an outperform rating), a modest negative as it reduces upside expectations from some institutional models. Benzinga coverage of KBW price target change

LendingTree Price Performance

TREE stock opened at $46.01 on Friday. The company has a debt-to-equity ratio of 1.35, a quick ratio of 1.43 and a current ratio of 1.75. The firm has a 50 day moving average price of $50.90 and a 200-day moving average price of $57.37. LendingTree has a 52-week low of $32.65 and a 52-week high of $77.35. The firm has a market capitalization of $628.96 million, a price-to-earnings ratio of 4.29 and a beta of 2.21.

LendingTree (NASDAQ:TREE) last posted its quarterly earnings results on Monday, March 2nd. The financial services provider reported ($0.39) earnings per share for the quarter, missing the consensus estimate of $0.90 by ($1.29). The company had revenue of $310.92 million during the quarter, compared to analysts’ expectations of $286.56 million. LendingTree had a return on equity of 12.44% and a net margin of 13.55%.The business’s quarterly revenue was up 22.3% on a year-over-year basis. Equities research analysts forecast that LendingTree will post 0.48 EPS for the current fiscal year.

About LendingTree

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.