Chime Financial (NASDAQ:CHYM) Stock Price Down 9.3% – Here’s Why

Chime Financial, Inc. (NASDAQ:CHYM) dropped 9.3% during trading on Tuesday . The stock traded as low as $17.90 and last traded at $17.94. Approximately 926,774 shares traded hands during trading, a decline of 77% from the average daily volume of 3,948,006 shares. The stock had previously closed at $19.78.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on CHYM shares. Rothschild & Co Redburn raised shares of Chime Financial to a “hold” rating in a report on Monday, January 26th. Wall Street Zen upgraded shares of Chime Financial from a “hold” rating to a “buy” rating in a research report on Saturday, March 7th. Keefe, Bruyette & Woods upgraded shares of Chime Financial from a “moderate buy” rating to a “strong-buy” rating in a research note on Thursday, February 26th. KeyCorp assumed coverage on shares of Chime Financial in a research report on Wednesday, March 4th. They set an “overweight” rating and a $30.00 price objective for the company. Finally, UBS Group raised their target price on Chime Financial from $24.00 to $27.00 and gave the stock a “neutral” rating in a report on Thursday, February 26th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $32.28.

Chime Financial Trading Down 4.5%

The stock has a 50 day moving average of $22.27 and a 200-day moving average of $22.25. The company has a market capitalization of $6.80 billion and a P/E ratio of -2.34.

Chime Financial (NASDAQ:CHYM) last released its earnings results on Wednesday, February 25th. The company reported ($0.12) EPS for the quarter, topping analysts’ consensus estimates of ($0.20) by $0.08. The company had revenue of $596.36 million for the quarter. Chime Financial had a negative net margin of 46.18% and a negative return on equity of 70.90%. Chime Financial’s revenue was up 25.5% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.30) EPS.

Insider Activity at Chime Financial

In related news, CFO Matthew S. Newcomb sold 10,000 shares of the company’s stock in a transaction on Friday, January 9th. The shares were sold at an average price of $28.01, for a total value of $280,100.00. Following the completion of the transaction, the chief financial officer owned 2,240,798 shares of the company’s stock, valued at approximately $62,764,751.98. This represents a 0.44% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Christopher R. Britt sold 50,000 shares of the stock in a transaction on Friday, January 9th. The stock was sold at an average price of $28.06, for a total value of $1,403,000.00. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 64,882 shares of company stock worth $1,816,685.

Institutional Trading of Chime Financial

Several institutional investors and hedge funds have recently added to or reduced their stakes in CHYM. Geode Capital Management LLC purchased a new position in Chime Financial during the second quarter valued at $9,519,000. Norges Bank purchased a new stake in Chime Financial in the 2nd quarter worth $24,157,000. Federated Hermes Inc. lifted its stake in Chime Financial by 11.1% in the 3rd quarter. Federated Hermes Inc. now owns 863,700 shares of the company’s stock worth $17,421,000 after purchasing an additional 86,593 shares in the last quarter. U.S. Capital Wealth Advisors LLC boosted its holdings in shares of Chime Financial by 1,203.2% during the 3rd quarter. U.S. Capital Wealth Advisors LLC now owns 81,450 shares of the company’s stock valued at $1,643,000 after purchasing an additional 75,200 shares during the last quarter. Finally, Greenhouse Funds LLLP bought a new position in shares of Chime Financial during the 2nd quarter valued at about $26,153,000.

Chime Financial Company Profile

Chime Financial is a U.S.-based financial technology company offering mobile-first banking services designed to reduce fees and simplify everyday transactions. Founded in 2013 and headquartered in San Francisco, Chime operates a digital bank platform that provides customers with a checking account, a savings account, and a debit card without monthly maintenance fees, overdraft charges, or foreign transaction fees. The company’s platform is accessible via its mobile app, enabling users to manage their finances, track spending, and access customer support from their smartphones.

At the core of Chime’s service offering is its fee-free spending account, which includes early access to direct deposit funds—up to two days before scheduled payday—and instant transaction alerts.