Exploring IAC Inc. (IAC) Investor Profile: Who’s Buying and Why?

You are looking at IAC Inc. (IAC) and trying to figure out if the smart money is still buying, especially with the stock down 32.96% since November 2024. The short answer is: the institutional picture is complex, but the big players are still very much in the game, controlling over 84.4% of the company's shares. We're not talking about small bets; firms like BlackRock, Inc. and Vanguard Group Inc. are the top holders, but their recent moves tell a conflicting story-BlackRock, Inc. actually increased its holding by 2.494% as of September 30, 2025, while JPMorgan Chase & Co. made a massive cut, selling nearly 3 million shares. This split action is happening against a backdrop of the company narrowing its Q3 2025 net loss to US$21.88 million on US$589.79 million in sales, plus aggressively repurchasing 2,766,564 shares for US$100.01 million in the quarter. So, are the buyers betting on Dotdash Meredith's digital growth, or are the sellers worried about the search segment's steep decline? It's a classic capital allocation puzzle.

Who Invests in IAC Inc. (IAC) and Why?

The investor base for IAC Inc. (IAC) is overwhelmingly institutional, but the motivations are diverse, ranging from passive index tracking to deep-value activism. The core investment thesis revolves around the company's structure as a holding company-a collection of digital assets, including Dotdash Meredith and a substantial, liquid stake in MGM Resorts International, which was valued at $2.3 billion as of August 1, 2025.

The near-term opportunity, despite a recent stock price decline of about 32.96% between November 2024 and November 2025, is a bet on management's ability to successfully spin off or monetize these assets, or to improve the operating performance of key segments like Angi Inc.

Key Investor Types: The Institutional Dominance

IAC's ownership structure is heavily skewed toward professional money managers. This is not a stock driven primarily by retail sentiment. Institutional investors-mutual funds, pension funds, hedge funds, and ETFs-collectively own roughly 88.9% to 89.79% of the company's shares. Retail investors, the individual 'you' buying shares through a brokerage, account for a much smaller portion, around 6.25% of the total shares outstanding. Insiders, including Chairman Barry Diller, hold about 3.96%. That's a strong alignment of interests.

Here is a breakdown of the major institutional players based on their Q3 2025 filings:

The two largest holders, BlackRock, Inc. and Vanguard Group Inc, are primarily passive investors, holding a combined total of over 15 million shares as of September 30, 2025. They own IAC because it is a component of the various indices their massive exchange-traded funds (ETFs) and mutual funds track. They are not making an active bet on the management team, but simply reflecting the market's structure. This passive base provides a floor for liquidity.

Investment Motivations: Betting on the Breakup Value

The primary attraction for active investors-the hedge funds and value funds-is the significant discount between IAC's current market capitalization (around $2.43 billion as of November 2025) and the estimated fair value of its underlying assets, often called the 'sum-of-the-parts' valuation.

The motivation boils down to a few clear points:

• Asset Value: The $2.3 billion stake in MGM Resorts International alone represents a huge portion of IAC's market cap. Investors see this as a liquid asset that can be monetized.
• Growth Prospects: The consensus analyst rating is a 'Moderate Buy' with a price target of $46.73, suggesting a significant upside from the November 2025 price of around $31.99 per share. Analysts project a massive earnings per share (EPS) growth of 116.28% next year, from $0.43 to $0.93 per share.
• Catalysts: Management has been clear about its 'appetite to put our cash to work, be it buying back more of our stock or going after new strategic fits.' This signals potential capital allocation events, like stock buybacks or further spin-offs, which are classic catalysts for value-focused investors.

The company is not a dividend play; it is a capital appreciation story. You are investing in a management team that has a history of building and spinning off successful companies, like Match Group and Expedia Group. If you want to understand the long-term vision, you should review their Mission Statement, Vision, & Core Values of IAC Inc. (IAC).

Investment Strategies: The Active vs. Passive Divide

The institutional ownership breaks down into two main strategic camps: passive and active.

Passive Strategies: Funds like BlackRock and Vanguard execute a passive strategy. They buy and hold IAC because it's in the index, so their trading volume is low and their holding period is long. This is a set-it-and-forget-it approach, defintely not a deep dive into the financials.

Active Strategies: This is where the real action is. Active managers employ several strategies:

• Value Investing: Funds like Southeastern Asset Management Inc/Tn/ focus on the deep-value discount. They see the underlying assets-Dotdash Meredith, Angi Inc., and the MGM stake-as being worth significantly more than the stock price. They are long-term holders, waiting for management to close the valuation gap.
• Activist/Event-Driven Investing: Hedge funds like Aristeia Capital Llc and Corvex Management LP are often event-driven. They are buying in anticipation of a specific corporate action, such as a major sale of the MGM stake or the spin-off of another business unit. They may also engage with management to push for these actions, using their significant ownership to influence strategy.
• Growth-at-a-Reasonable-Price (GARP): Some investors are drawn to the expected growth acceleration in 2026. While Q3 2025 revenue was a miss at $589.79 million, the projected 116.28% EPS growth for the following year suggests the worst of the operating headwinds may be over, making the stock a compelling GARP candidate.

Here's the quick math on the value gap: if the MGM stake is worth $2.3 billion, and the entire company's market cap is only slightly higher at $2.43 billion, the market is essentially valuing the rest of the businesses (Dotdash Meredith, Angi Inc., Search, etc.) at near zero. That's the value investor's primary signal.

Finance: Track the 13D and 13F filings of Aristeia Capital Llc and Corvex Management LP for any changes in their position, as this will signal their conviction in an upcoming corporate catalyst.

Institutional Ownership and Major Shareholders of IAC Inc. (IAC)

If you're looking at IAC Inc. (IAC), the first thing to understand is that this is defintely an institutionally-driven stock. About 88.90% of the company's shares are held by institutional investors, meaning the vast majority of the stock's movement and strategic pressure comes from large funds, not retail traders. That's a critical factor in a year where the stock price has seen a steep decline, trading around $31.99 per share as of November 2025, down 32.96% since late 2024.

Top Institutional Investors and Their Stakes

The investor base is dominated by the usual suspects in passive and active management. The sheer size of their holdings means their trading activity can dictate short-term price action. Their latest filings, covering the third quarter ending September 30, 2025, show a few familiar names leading the pack.

Here's the quick math on who owns the largest slice of the pie, based on the most recent 13F filings:

The top two, BlackRock, Inc. and Vanguard Group Inc, are primarily passive index funds, so their positions are tied to the stock's inclusion in various indices. They hold their stakes because IAC is simply part of the index.

Recent Shifts: Who's Buying and Who's Bailing?

The changes in ownership during the 2025 fiscal year tell a more interesting story than the static list of top holders. We saw a significant divergence in strategy, with some major players making massive bets while others cut their losses. This kind of rebalancing shows a clear split in how the market views IAC's future, especially after the Q3 2025 earnings miss where the company reported an EPS of -$0.27 against an estimated -$0.24.

The most dramatic moves came from two ends of the spectrum:

• Massive Accumulation: Aristeia Capital, L.L.C. and Corvex Management LP were huge buyers. Aristeia's stake increased by an incredible 33,524.384%, adding over 2.8 million shares, while Corvex boosted its position by 39.355%. This suggests a strong conviction in a turnaround or a deep-value play.
• Major Reduction: JPMorgan Chase & Co. slashed its position by a staggering 44.436%, selling nearly 3 million shares. This suggests a major portfolio re-allocation or a loss of faith in the near-term strategy.

When you see this kind of institutional churn, it often signals a debate over the company's core assets, like its stake in MGM Resorts International, which was valued at $2.3 billion as of August 2025. One side is betting on management's ability to 'spin-off' or 'monetize' those assets, and the other is exiting due to the current operational drag.

The Role of Large Investors in Stock and Strategy

Institutional investors are not just passive holders; they are a powerful force that shapes the company's stock price and corporate strategy. With over 91 million shares held by institutions, their collective trading volume can easily overwhelm retail activity.

More importantly, the presence of activist-leaning funds, often filing a Schedule 13D (indicating intent to influence strategy) rather than a passive 13G, puts pressure on management. These funds demand clear capital allocation decisions, especially in a holding company structure like IAC. They want to see a clear path to value creation, which often means separating business units or returning capital to shareholders, as IAC did by repurchasing 4.5 million shares for $200 million in early 2025.

The stock's performance-a significant drop in 2025 despite institutional accumulation-shows the market is still skeptical of the conglomerate discount, which is when the sum of the parts is valued less than the individual pieces. The institutional investors who are buying are betting that management, led by Barry Diller, will execute a strategy to close that gap. For a deeper dive into the company's direction, you should review the Mission Statement, Vision, & Core Values of IAC Inc. (IAC).

Your next step should be to track the next round of 13F filings to see if the accumulation trend from Aristeia and Corvex continued into Q4 2025, which would signal a shift in the institutional consensus.

Key Investors and Their Impact on IAC Inc. (IAC)

The investor profile of IAC Inc. (IAC) is dominated by large institutions, which own a significant portion of the stock, but the company's direction is still heavily influenced by its unique holding company structure and the vision of its Chairman, Barry Diller. Institutional ownership is exceptionally high, sitting at nearly 88.90% of the stock, meaning big money managers, not retail traders, drive the valuation and trading volume.

This high concentration means that a few major funds' decisions can create significant stock movement. Honestly, your focus should be less on the individual retail buyer and more on how these institutional giants are positioning their capital.

The Institutional Giants: Who Owns the Biggest Piece?

As of the most recent filings (September 30, 2025), the top institutional holders of IAC Inc. are familiar names in the financial world. These aren't activist investors in the traditional sense, but their sheer size gives them immense influence. Their investment thesis is largely passive, tracking indices or following a long-term value strategy, but their trading volume still dictates daily price action.

Here's a quick look at the largest shareholders and their stake as of Q3 2025:

Notice the massive change from Aristeia Capital, L.L.C. and Corvex Management LP. That kind of buying shows a conviction in the company's strategic direction, particularly its core assets like People Inc. and the MGM Resorts International stake.

Investor Influence: The 'Holding Company Discount' Problem

The biggest influence on IAC Inc.'s stock price isn't a single activist fund, but the market's collective skepticism, often called the 'holding company discount.' Investors struggle to value a conglomerate with diverse assets like the digital publishing arm, People Inc., and a massive strategic stake in a casino operator, MGM Resorts International.

The stock's performance often closely mirrors the price of MGM Resorts International, which holds 64.7 million shares valued at $2.1 billion as of May 2, 2025. This dynamic means that fundamental investors are defintely struggling to assign value to the underlying businesses, like People Inc., when the stock trades like a proxy for a gaming company. The key management team, including Barry Diller, is actively working to separate the stock's performance from MGM's by emphasizing the growth of People Inc. For a deeper dive into the company's structure, check out IAC Inc. (IAC): History, Ownership, Mission, How It Works & Makes Money.

Recent Moves: Buybacks and Big Bets in 2025

Management's clearest action to influence the stock price and unlock shareholder value in 2025 has been the aggressive share repurchase program (buybacks). This is a direct signal to the market that the company believes its stock is undervalued.

• IAC Inc. repurchased a total of $300 million in shares year-to-date through Q3 2025.
• In Q1 2025 alone, the company bought back 4.5 million common shares for an aggregate of $200 million.
• In Q3 2025, IAC Inc. repurchased another 2.8 million shares for $100 million.

This capital allocation strategy is a concrete action to reduce the share count and boost earnings per share (EPS), especially when the company is reporting mixed results. For example, Q3 2025 EPS was -$0.27 on revenue of $589.79 million, missing analyst forecasts. The buybacks are a way to shore up investor confidence despite the revenue misses. Plus, you see major funds like AQR Capital Management LLC boosting their stake by a massive 422.9% in Q1 2025, which shows a belief in the long-term value creation strategy, even if the near-term revenue outlook is challenging.

Next Step: You need to monitor the Q4 2025 earnings release, which has a consensus revenue forecast of $641.006 million, to see if the core businesses are finally delivering on the growth story the buybacks are supporting.

Market Impact and Investor Sentiment

You need to know if the big money is buying in, and honestly, the investor sentiment around IAC Inc. (IAC) is a classic mixed bag right now-a Moderate Buy consensus from analysts, but a stock price that is defintely telling a different story.

Institutional ownership is incredibly high, sitting at approximately 88.90% to 90.03% of the stock, which is typical for a company with a complex portfolio of assets like Dotdash Meredith and a significant stake in MGM Resorts International. This level of institutional control means the stock's direction is heavily influenced by the conviction of these major players, not retail investors.

The sentiment is cautiously optimistic on the long-term asset value, but near-term performance has been disappointing, driving the stock to trade close to its 52-week low of $29.88 in early November 2025. The market is still waiting for a clear turnaround signal from the core digital businesses, which is why the stock's total shareholder return over the last year is a negative -12.5%.

• Institutional buying remains high, but selective.
• Market is discounting the value of its strategic holdings.
• Near-term operational risks are outweighing long-term asset value.

Recent Market Reactions to Ownership Moves

The market's reaction to recent corporate and ownership news has been swift and unforgiving. Following the Q3 2025 earnings announcement on November 3, 2025, which missed analyst expectations, the stock price dropped by 3.69% in pre-market trading, reflecting investor disappointment. The company reported Q3 2025 revenue of $589.79 million, falling short of the consensus estimate of $601.86 million.

Still, not all news is bad; IAC Inc. has been actively using its balance sheet to support the stock. The company repurchased approximately 2.8 million shares for $100 million during Q3 2025, a classic capital allocation move designed to increase earnings per share (EPS) and signal management's belief that the stock is undervalued. This buyback activity, while positive for per-share metrics, did not fully counteract the negative reaction to the earnings miss, which saw EPS at -$0.27 versus the forecasted -$0.24.

Here's the quick math: the Q3 2025 revenue miss of over $12 million overshadowed the capital return signal. You can dig deeper into the company's core business performance in Breaking Down IAC Inc. (IAC) Financial Health: Key Insights for Investors.

The Impact of Key Institutional Investors

The composition of IAC Inc.'s major shareholders highlights a belief in the long-term value creation strategy, which often involves spinning off successful businesses. Firms like BlackRock, Inc., Vanguard Group Inc., and JPMorgan Chase & Co. are the largest institutional holders, collectively controlling a massive portion of the float.

Their sheer size means their quarterly trading activity-buying or selling-can move the stock. For instance, in Q2 2025, BlackRock, Inc. removed over 1 million shares from its portfolio, while JPMorgan Chase & Co. added over 1.1 million shares, demonstrating a clear divergence in short-term conviction among the biggest players.

As of mid-2025, the top institutional holders represent significant capital pools betting on the IAC Inc. story:

Analyst Perspectives on the Investment Thesis

Wall Street analysts are looking past the immediate earnings turbulence, maintaining a consensus 'Moderate Buy' rating for IAC Inc. The average 12-month price target is approximately $46.73, suggesting a significant upside from the stock's price of $31.99 as of November 19, 2025. This optimism is grounded in two main factors: the value of the non-core assets and the anticipated turnaround in the core digital businesses.

The full-year 2025 Adjusted EBITDA guidance is set between $247 million and $285 million, which, while lower than previous estimates, still provides a floor for valuation. What this estimate hides, however, is the ongoing risk from declining Google search traffic, which has been a persistent headwind for the Search segment.

Analysts from firms like KeyCorp and UBS Group have recently cut their price targets, acknowledging the near-term operational challenges. For instance, KeyCorp dropped its target from $45.00 to $41.00 in early November 2025. The bull case hinges on the successful execution of the digital transformation at People Inc. (formerly Dotdash Meredith) and the eventual unlocking of value from the strategic equity position in MGM Resorts International.