Checking for Potential in Three Interactive Media and Services Stocks

By Rosalio Madrigal
May 27, 2026
Checking for Potential in Three Interactive Media and Services Stocks
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This week, we use AAII’s A+ Investor Stock Grades to provide insight into three interactive media and services stocks. With personalized experiences via artificial intelligence (AI) becoming a competitive requirement, should you consider the three stocks of Match Group Inc. (MTCH), Taboola.com Ltd. (TBLA) and Zedge Inc. (ZDGE)?

Interactive Media and Services Stocks Recent News

The interactive media and services industry is experiencing rapid expansion, driven by surging demand for personalized digital experiences, immersive technologies and AI-powered content platforms. According to Coherent Market Insights, the global interactive media market is estimated to be valued at $61.34 billion in 2026 and is projected to reach $157.30 billion by 2033, reflecting a 14.4% compound annual growth rate (CAGR). AI is emerging as a foundational force within this growth, with algorithms analyzing user data to tailor content, advertisements and interactive experiences to individual preferences. AI also helps media companies and advertisers optimize campaign effectiveness and respond quickly to audience feedback by facilitating real-time content moderation, sentiment analysis and predictive analytics.

From a geographic standpoint, North America is estimated to lead the market with a 43.7% share in 2026, while Asia Pacific, holding a 19.3% share of the market, is projected to be the fastest-growing region. By application, the retail and consumer goods segment is expected to lead the market with an estimated share of 29.7% in 2026.

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Grading Interactive Media and Services Stocks With AAII’s A+ Stock Grades

When analyzing a company, it is helpful to have an objective framework that allows you to compare companies in the same way. This is why AAII created the A+ Stock Grades, which evaluate companies across five factors that research and real-world investment results indicate to identify market-beating stocks in the long run: value, growth, momentum, earnings estimate revisions (and surprises) and quality.

Using AAII’s A+ Stock Grades, the following table summarizes the attractiveness of three interactive media and services stocks—Match Group, Taboola, Zedge—based on their fundamentals.

AAII’s A+ Stock Grade Summary for Three Interactive Media and Services Stocks

What the A+ Stock Grades Reveal

Match Group Inc. (MTCH) is a global online dating and social connection company operating in the U.S., Europe, Asia and beyond. It offers digital platforms and subscription-based services designed to help people form meaningful relationships. The company operates a portfolio of dating brands, with its primary platforms including Tinder, Hinge, Match, Meetic and OkCupid. Match Group provides a range of monetized features such as premium subscriptions, with purchases and advertising across its platforms. It also invests in product innovation, AI and safety technologies to enhance user experience and trust across its global membership base. The company was founded in 1986 and is headquartered in Dallas, Texas.

Match Group has a Momentum Grade of B, based on its Momentum Score of 64. This means that the stock’s momentum has been strong in terms of its weighted relative price strength over the last four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters, with the most recent quarterly price change given a weight of 40% and each of the three previous quarters given a weight of 20%. The ranks are 75, 36, 32 and 80, sequentially from the most recent quarter. The weighted four-quarter relative price strength is 0.7%.

Match Group has a Quality Grade of A, based on a score of 94, which is very strong. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. The A+ Quality Grade is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit to assets, buyback yield, change in total liabilities to assets, accruals to assets, Z double prime bankruptcy risk (Z) score and F-Score. To be assigned a Quality Score, though, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The company ranks strongly in terms of its return on assets and buyback yield. Its return on assets is 16.0% and its buyback yield is 7.0%, both ranking in the 94th percentile among all U.S.-listed stocks. Match Group also has a very high return on invested capital of 154.5%.

The components of the Growth Composite Score consider a company’s success in growing sales on a year-over-year and long-term annualized basis and its ability to consistently generate positive cash from its core operations. Match Group’s Growth Grade is A, which is very strong. The company has generated positive annual cash from operations in the past five consecutive years and has a strong five-year annualized sales growth rate of 7.8%.

Taboola.com Ltd. (TBLA) is a global digital advertising and content discovery company operating in the U.S., Europe, Asia and beyond. It offers personalized content recommendations and native advertising solutions for publishers, advertisers and brands. The company operates through its proprietary AI-driven platform, which powers content discovery experiences across a network of premium digital publishers. Taboola delivers targeted content and advertisement recommendations, including sponsored content, video and display ads, reaching consumers across news sites, entertainment platforms and mobile applications. It also provides publisher monetization tools, audience engagement solutions and performance analytics through its open-web advertising ecosystem. The company was incorporated in 2006 and is headquartered in New York City, New York.

Taboola has a Value Grade of A, based on its Value Score of 93, which is deep value. The Value Grade is the percentile rank of the average of the percentile ranks of the price-to-sales (P/S) ratio, price-earnings (P/E) ratio, price-to-book-value (P/B) ratio, price-to-free-cash-flow (P/FCF) ratio, shareholder yield and the ratio of enterprise value to earnings before interest, taxes, depreciation and amortization (EBITDA).

The company has a price-earnings ratio of 13.7, ranking in the 33rd percentile. A low price-earnings ratio is considered a better value. Its enterprise-value-to-EBITDA ratio is 8.7, ranking in the 28th percentile. Taboola’s shareholder yield of 17.5% ranks in the 1st percentile.

Earnings estimate revisions indicate how analysts view a firm’s short-term prospects. Taboola has an Earnings Estimate Revisions Grade of B, based on a score of 72, which is positive. The grade is based on the statistical significance of its latest two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months. Taboola reported a positive earnings surprise for first-quarter 2026 of 70.0%, and in the prior quarter reported a positive earnings surprise of 50.3%. Over the last month, the consensus earnings estimate for full-year 2026 has increased from $0.603 to $0.630 per share.

Taboola has a Growth Grade of A, which is very strong. The company has a five-year annualized sales growth rate of 10.0% and has generated positive annual cash from operations in the past five consecutive years.

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Zedge Inc. (ZDGE) is a digital media and content marketplace company operating in the U.S. and internationally. It offers a platform for mobile phone personalization content, including wallpapers, ringtones, notification sounds and video wallpapers for consumers worldwide. The company operates through its flagship Zedge app and its Emojipedia platform, serving a large global user base across Android and iOS devices. Zedge provides free and premium personalization content, with monetization through advertising, a subscription service called Zedge Premium and a creator marketplace connecting independent artists with consumers. The company was founded in 2008 and is headquartered in New York City, New York.

Zedge has a Quality Grade of A, based on a score of 80, which is very strong. The company ranks strongly in terms of its gross income to assets and buyback yield. Its gross income to assets of 85.8% ranks in the 97th percentile, and its buyback yield of 6.7% ranks in the 94th percentile.

The company has a Value Grade of A, based on a score of 88, which is deep value. Its price-to-free-cash-flow ratio of 13.3 ranks in the 35th percentile, and its price-to-sales ratio of 1.26 ranks in the 37th percentile. Its enterprise-value-to-EBITDA ratio of 6.7 ranks in the 17th percentile.

Zedge has a Momentum Grade of C, based on its Momentum Score of 56. This means that the stock’s momentum is average in terms of its weighted relative price strength over the last four quarters. The ranks are 40, 82, 19 and 84, sequentially from the most recent quarter. The weighted four-quarter relative price strength is –1.5%.


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