3 Social Media Stocks Your Portfolio Won't Like Right Now

: KIND | Nextdoor Holdings, Inc. News, Ratings, and Charts

KIND – The social media sector anticipates a slower pace of ad sales growth as analysts expect a weaker economic outlook could drag down marketing spending. Hence, it would be wise to avoid fundamentally weak stocks, Nextdoor Holdings (KIND), Twitter (TWTR), and Bumble (BMBL). Read on….

Social media ad sales in the United States registered a 36% year-over-year growth in 2021 to reach $58 billion. However, this sector is currently facing a strong rebuff as inflation touched a multi-decade high. Global social media ad sales are now expected to grow by 11%, the slowest pace on record.

Mark Mahaney, a senior managing director at Evercore ISI, said, “Corporations, the ones that spend money on marketing campaigns, are seeing cost inflation in a variety of other parts of their business. So at the margin, that probably means they have less money to spend on marketing.”

Given the backdrop, it might be best to avoid the social media stocks Nextdoor Holdings, Inc. (KIND), Twitter, Inc. (TWTR), and Bumble Inc. (BMBL), given their bleak growth prospects.

Nextdoor Holdings, Inc. (KIND)

KIND operates as the neighborhood network that connects neighbors, businesses, and public services in the United States and internationally. 

For the fiscal first quarter of 2022, KIND’s loss from operations increased 32.9% year-over-year to $32.23 million. Net loss for the period increased 31.1% from the prior-year quarter to $32.95 million, while its net loss per share came in at $0.09 in the same period.

KIND’s EPS estimate for the fiscal year ending December 2022 came in at a negative $0.23.

The stock has declined 68.4% over the past year to close the last trading session at $3.35. It slumped 67.3% over the past nine months.

KIND’s POWR Ratings reflect this bleak outlook. The stock has an overall F rating, equating to a Strong Sell in our proprietary rating system. The POWR Ratings are calculated by considering 118 different factors, with each factor weighted to an optimal degree.

KIND also has a Stability grade of F and a Value, Momentum, and Sentiment grade of D. In the 64-stock F-rated Internet industry, it is ranked #61. Click here to see the additional POWR Ratings for KIND (Growth and Quality).

Twitter, Inc. (TWTR)

TWTR operates as a popular platform for public self-expression and conversation in real-time.  The company also provides promoted products that enable advertisers to promote brands, products, and services.

On July 8, TWTR received a purported termination notice from Elon Musk. In response, the Board issued the following statement – “We are committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plan to pursue legal action to enforce the merger agreement. We are confident we will prevail in the Delaware Court of Chancery.”

For the fiscal quarter ended June 30, 2022, TWTR’s revenue decreased 1.2% year-over-year to $1.18 billion. Income from operations came in at a negative $343.76 million, worsening significantly from the prior-year period. 

The company’s net income and net income per share came in at negative $270.01 million and negative $0.35, respectively, down 511.3% and 537.5% from the prior-year period.

Street EPS estimate of $0.27 for the fiscal fourth quarter ending December 2022 reflects a 17.1% year-over-year decrease. TWTR missed the street EPS estimates in three of the trailing four quarters.

The stock has slumped 40.9% over the past year and 22.3% over the past nine months to close the last trading session at $41.61.

It’s no surprise that TWTR has an overall D rating, which translates to Sell in our POWR Ratings system. It has an F grade for Sentiment and a D for Momentum and Stability.

TWTR is ranked #42 in the Internet industry. Click here to see the additional POWR Ratings for Growth, Value, and Quality for TWTR.

Bumble Inc. (BMBL)

BMBL provides online dating and social networking platforms in North America and globally. The company owns and operates websites and applications that offer subscription and in-app purchases dating products.

For the fiscal quarter ended March 31, BMBL’s net earnings decreased 92.6% year-over-year to $23.94 million. Net earnings per share stood at $0.13, down 92.3% from the same period a year ago.

Analysts expect BMBL’s EPS to decline 72.4% year-over-year to $0.53 for the fiscal year ended December 2022.

The stock has declined 27.8% over the past nine months to close yesterday’s trading session at $37.92.

BMBL’s overall D rating translates to Sell in our POWR Ratings system. The stock also has a D grade for Momentum and Stability. In the same industry, it is ranked #47.

In addition to the POWR Ratings grades we’ve stated above, one can see BMBL ratings for Growth, Value, Sentiment, and Quality here.


KIND shares were trading at $3.34 per share on Monday afternoon, down $0.01 (-0.30%). Year-to-date, KIND has declined -57.67%, versus a -12.61% rise in the benchmark S&P 500 index during the same period.


About the Author: Komal Bhattar


Komal's passion for the stock market and financial analysis led her to pursue investment research as a career. Her fundamental approach to analyzing stocks helps investors identify the best investment opportunities. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
KINDGet RatingGet RatingGet Rating
TWTRGet RatingGet RatingGet Rating
BMBLGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


:  |  News, Ratings, and Charts

Recession or Not Recession…That Is the Question

Every investor appreciates that recessions and bear markets go hand in hand. But the definition of a recession often seems more difficult to pin down. So are we in a recession? And if not, then does that mean that disaster has been averted or that the pain train is still rolling towards investors? This is an important debate because it helps us appreciate what lies ahead for the stock market (SPY). We will tackle this vital topic in this week's commentary. Read on below...

:  |  News, Ratings, and Charts

3 Active Stocks on Wall Street to Buy Right Now

Even though the U.S. stocks ended July with decent gains, growing recession fears could keep the stock market under pressure in the near term. However, despite the current market headwinds, it could be wise to invest in fundamentally sound stocks, Microsoft (MSFT), SIGA Technologies (SIGA), and Fortinet (FTNT), which have been active on Wall Street lately. Read on to learn more…

:  |  News, Ratings, and Charts

4 Big Reasons Why the Bear Rally Is Nearing an End…

The Stock Market (SPY) has put on an impressive rally over the last few weeks, leading many investors to believe that the bull is ready to resume its run. However, there are multiple reasons to believe the bear market is far from over. I lay out 4 of the main reasons below and explain how you can profit from the volatile markets that lie ahead. Read on below for more…

:  |  News, Ratings, and Charts

2 Winning Stocks to Pay Attention to This Week

Concerns over soaring inflation, the Fed’s aggressive interest rate hikes, the decline in GDP for two consecutive quarters, and a potential recession are expected to keep the stock market under pressure in the near term. Fundamentally sound and winning stocks Murphy USA (MUSA) and JAKKS Pacific (JAKK) could be good additions to your watchlist as investors prepare for a busy week of inflation data. Let’s discuss…

:  |  News, Ratings, and Charts

4 Big Reasons Why the Bear Rally Is Nearing an End…

The Stock Market (SPY) has put on an impressive rally over the last few weeks, leading many investors to believe that the bull is ready to resume its run. However, there are multiple reasons to believe the bear market is far from over. I lay out 4 of the main reasons below and explain how you can profit from the volatile markets that lie ahead. Read on below for more…

Read More Stories

More Nextdoor Holdings, Inc. (KIND) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All KIND News