How did MAX's Q1 2024 EPS surprise impact investor confidence?

**MediaAlpha's (MAX) Q1 2024 EPS surprise had a significant impact on investor confidence**, as evidenced by the following:

1. **Positive EPS Surprise and Stock Reaction**: MAX reported an EPS surprise of $50.57 for Q1 2024, which was a positive development considering the company's performance in the previous quarter. This surprise contributed to a 9% increase in the stock price, bringing the year-to-date gains to 94.3%.
2. **Upward Inflection in Transaction Value Expectations**: The EPS surprise was driven by expectations of an upward inflection in transaction value starting in 2024, with analysts forecasting a significant increase in P&C-related transaction value. This forecast likely bolstered investor confidence in MAX's growth potential.
3. **Institutional Investor Interest**: Institutional investors have shown interest in MAX, with Hsbc Holdings PLC purchasing a new position in the company. Additionally, several other hedge funds and institutional investors have increased their holdings in MAX, indicating confidence in the company's prospects.
4. **Analyst Ratings and Price Target Increases**: Analysts have upgraded MAX ratings to "Outperform" from "Market Perform," with price targets increased to $28, reflecting optimism about the company's future performance. This positive analyst sentiment likely contributed to increased investor confidence.
5. **Revenue Beat and Stock Price Increase**: MAX reported revenue that beat estimates, leading to a significant stock price increase of 18.44% to $18.72 after the earnings report. This further solidified investor confidence in the company's financial performance.

In conclusion, MAX's Q1 2024 EPS surprise had a profound impact on investor confidence, as evidenced by the stock price reaction, analyst ratings, institutional investor actions, and the company's financial performance. The positive surprise and the resulting optimism about MAX's future growth prospects contributed to a significant increase in investor confidence.