MediaAlpha stock price target raised to $13.50 from $12 by Goldman Sachs

Investing.com - Goldman Sachs raised its price target on MediaAlpha (NYSE:MAX) to $13.50 from $12.00 while maintaining a Buy rating following the company’s third-quarter 2025 earnings report. According to InvestingPro data, this target is still below the Fair Value estimate, suggesting the stock remains undervalued despite trading at $11.12.

The investment bank highlighted MediaAlpha’s continued revenue outperformance led by its property and casualty (P&C) segment, with forward guidance exceeding both Goldman Sachs and consensus expectations.

Goldman Sachs noted expectations that broadening carrier demand within the P&C segment will continue into 2026, alongside continued operating expense discipline driving healthy conversion from contribution profit to EBITDA.

The firm also pointed to MediaAlpha’s new focus on shareholder returns through share buybacks as a positive development.

Goldman Sachs views MediaAlpha as positively positioned for several long-term secular growth trends within the insurance digital advertising market, including P&C market recovery, the shift from agency to direct-to-consumer carrier models, and rising digital channel penetration from both consumers and overall ad spending.

In other recent news, MediaAlpha Inc. reported its financial results for the third quarter of 2025, exceeding analysts’ expectations. The company achieved an earnings per share (EPS) of $0.26, surpassing the forecasted $0.20. Additionally, MediaAlpha’s revenue reached $306.5 million, outperforming the anticipated $283.98 million. Despite these positive financial results, the company’s stock experienced a decline in aftermarket trading, which some attribute to concerns over future guidance and market conditions. These developments reflect the latest updates concerning MediaAlpha’s financial performance.

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