10 Cheap Penny Stocks to Buy According to Hedge Funds

Page 9 of 9

1. Bumble Inc. (NASDAQ:BMBL)

Forward P/E Ratio as of March 11: 8.15

Share Price as of March 11: $4.92

Number of Hedge Fund Holders: 33

Bumble Inc. (NASDAQ:BMBL) provides online dating and social networking applications. It’s known for its women-centric approach in the Bumble app. It also operates Badoo, Bumble BFF, Bumble Bizz, Bumble for Friends, and Geneva, which are a range of platforms for dating, friendship, and community building through subscription and in-app purchase models.

In 2024, Bumble App generated $866 million in revenue, which was a 3% increase from the previous year. The app’s paying user base grew by 290,000 during this period. In Q4 2024, Bumble App revenue was $212 million, which was a 4% decrease year-over-year. However, paying users increased by 5% to 2.8 million. The company is heavily investing in Bumble App’s future through product innovation and ecosystem improvements. Key features being introduced include AI-driven matching, enhanced safety tools like ID Verification, and new engagement features such as Instant Match.

While we acknowledge the growth potential of Bumble Inc. (NASDAQ:BMBL), our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than BMBL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

Page 9 of 9