Should I Buy IAC? IAC 2026 Analysis

Should You Buy IAC Inc (IAC) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

35.650

1 Day change

1.57%

52 Week Range

41.860

Analysis Updated At

2026/02/04

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Not a good buy right now for an impatient investor: the stock is technically oversold, but momentum is still deteriorating and there’s no Intellectia buy signal to override the risk.
Intellectia Proprietary Trading Signals
- AI Stock Picker: no signal on given stock today.
- SwingMax: No signal on given stock recently.
Short-term bounce potential exists (RSI extremely oversold and price near support), but the higher-probability setup is to wait for a momentum turn (MACD stabilization / reclaim of key levels) before buying.
Options positioning (high put open interest vs calls) and hedge-fund selling suggest market participants are still defensively positioned despite the buyback headline.

Technical Analysis

Trend/Momentum: Bearish near-term; MACD histogram is negative (-0.497) and expanding lower, signaling downside momentum is strengthening.
RSI: RSI_6 at ~14.34 = extremely oversold, which often precedes reflex rallies, but oversold alone is not a buy trigger when MACD is still worsening.
Moving averages: Converging MAs = consolidation/indecision, not a confirmed reversal.
Key levels: Price (35.67) is below the pivot (38.065), so it remains technically “under pressure.”
- Immediate supports: S1 36.181 (just overhead/nearby) and S2 35.018 (next downside reference).
- Resistances to clear for a more credible reversal: Pivot 38.065, then R1 39.948.
Pattern-based forward look (provided): 80% odds of modest gains (+0.43% next day, +1.1% next week) but larger 1-month upside estimate (+11.31%) is contingent on stabilization/reversal actually occurring.

Options Data

Bearish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Sentiment read: Open Interest Put/Call at 1.85 is bearish/defensive (more puts outstanding than calls), implying hedging or downside positioning.
Near-term flow: Put/Call volume ratio 0.89 is slightly call-leaning on the day, suggesting some dip-buying, but not decisive.
Volatility: 30D IV ~42.94 vs historical vol ~22.13 and IV percentile ~86.85 = options are priced expensive; market expects larger-than-usual moves.
Activity: Today’s option volume is elevated vs average (today vs 30D avg ~14.81), consistent with post-earnings repositioning rather than calm accumulation.

Technical Summary

Sell

Buy

Positive Catalysts

- Capital return: Announced 2026 share buyback plan of ~$337M can support the stock on dips.
- Segment strength: Q4 2025 digital revenue reportedly +14% (a constructive internal signal).
- Outlook: Company anticipates mid-to-high single-digit growth in 2026 (helps narrative if execution follows).
- Street targets above current price: Recent targets lifted into mid-$40s by JPMorgan/Jefferies, implying upside if sentiment improves.

Neutral/Negative Catalysts

- Post-earnings damage: GAAP EPS of -$0.99 missed expectations; price reaction (-3.02% regular session) suggests disappointment dominated.
- Momentum still bearish technically (negative and falling MACD), raising risk of further downside/failed bounces.
- Positioning: Hedge funds are selling (selling amount up ~304.76% over last quarter), a notable headwind.
- Options OI skew is put-heavy (OI Put/Call 1.85), reflecting continued caution.
- Catalyst gap: Oppenheimer explicitly cited lack of near-term catalysts in its downgrade.

Financial Performance

Latest quarter: 2025/Q4.
Revenue: $645.98M, -34.70% YoY (material contraction; biggest fundamental concern).
Earnings: GAAP EPS -0.99 (still loss-making; EPS down -58.58% YoY per snapshot).
Net income: -76.79M, down -61.41% YoY (continued losses).
Margins: Gross margin 64.97%, down -2.80% YoY (some pressure).
Bottom line: Operational narrative (digital rev + buyback + 2026 growth guide) is improving, but the reported YoY declines keep the risk elevated for buying immediately after a weak print.
Politicians/Congress: No recent congress trading data available in the last 90 days; no politician/influential-figure transactions were provided.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Recent trend (ratings/targets):
- 2025-12-15: Oppenheimer downgraded to Perform from Outperform (no PT), citing valuation and lack of near-term catalysts.
- 2025-12-12: JPMorgan kept Overweight, raised PT $46 from $43.
- 2025-12-11: Jefferies kept Buy, raised PT $45 from $41.
Wall Street “pros” view (bull case): Targets in the mid-$40s suggest value/upside from current ~$35.7, helped by capital returns (buyback) and selective growth narrative into 2026.
Wall Street “cons” view (bear case): One notable downgrade highlights limited near-term catalysts and constrained upside vs longer-dated estimates; combined with the post-earnings miss, the stock may remain range-bound or drift lower before a clean turn.

9 Analyst Rating

Wall Street analysts forecast IAC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for IAC is 48.11 USD with a low forecast of 39 USD and a high forecast of 60 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

7 Buy

2 Hold

0 Sell

Strong Buy

Current: 35.100

Low

Averages

48.11

High

Current: 35.100

Low

Averages

48.11

High

UBS

Neutral

maintain

$39 -> $42

AI Analysis

2026-02-06

New

Reason

UBS

Price Target

$39 -> $42

AI Analysis

2026-02-06

New

maintain

Neutral

Reason

UBS raised the firm's price target on IAC to $42 from $39 and keeps a Neutral rating on the shares. Despite a 5% year over year decline in sessions from reduced Google traffic, People delivered 14% y/y digital revenue growth driven by licensing and performance advertising, with traffic headwinds expected to ease through 2026, the analyst tells investors in a research note. IAC's valuation is effectively driven by People's EBITDA and its MGM stake, which now worth about 76% of market cap, making MGM performance and asset monetization catalysts key to investor interest, the firm adds.

Oppenheimer

Outperform -> Perform

downgrade

2025-12-15

Reason

Oppenheimer

Price Target

2025-12-15

downgrade

Outperform -> Perform

Reason

Oppenheimer downgraded IAC to Perform from Outperform without a price target. The firm says IAC's sum-of-the-parts share discount is back to historical highs and there is minimal upside to 2026 estimates. It cites valuation and a lack of near-term catalysts for the downgrade.

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IAC Should I Buy

IAC Should I Buy

Should You Buy IAC Inc (IAC) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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