Wall Street Zen Downgrades Dave (NASDAQ:DAVE) to Hold

Dave (NASDAQ:DAVE) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued on Saturday.

Several other research analysts have also weighed in on the stock. Canaccord Genuity Group increased their target price on shares of Dave from $229.00 to $274.00 and gave the stock a “buy” rating in a research note on Wednesday, November 5th. Citigroup reaffirmed an “outperform” rating on shares of Dave in a research report on Wednesday, November 5th. Zacks Research raised Dave from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, November 18th. JMP Securities set a $310.00 price target on Dave in a research note on Wednesday, November 5th. Finally, JPMorgan Chase & Co. set a $300.00 price objective on Dave in a research note on Friday, September 26th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, Dave currently has a consensus rating of “Buy” and a consensus price target of $304.25.

Dave Trading Up 1.0%

Shares of Dave stock opened at $194.01 on Friday. The stock has a 50 day moving average of $212.09 and a 200 day moving average of $215.55. The company has a debt-to-equity ratio of 0.26, a quick ratio of 8.69 and a current ratio of 8.69. The firm has a market capitalization of $2.62 billion, a price-to-earnings ratio of 19.23 and a beta of 3.90. Dave has a fifty-two week low of $65.46 and a fifty-two week high of $286.45.

Dave (NASDAQ:DAVE) last posted its earnings results on Tuesday, November 4th. The fintech company reported $4.24 EPS for the quarter, beating analysts’ consensus estimates of $2.29 by $1.95. The company had revenue of $150.73 million for the quarter, compared to the consensus estimate of $153.09 million. Dave had a return on equity of 65.86% and a net margin of 29.85%. As a group, research analysts predict that Dave will post 1.07 earnings per share for the current year.

Insiders Place Their Bets

In other Dave news, CEO Jason Wilk sold 7,393 shares of the company’s stock in a transaction dated Tuesday, December 2nd. The stock was sold at an average price of $203.77, for a total transaction of $1,506,471.61. Following the sale, the chief executive officer owned 210,461 shares in the company, valued at $42,885,637.97. This represents a 3.39% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Imran Khan sold 1,146 shares of the stock in a transaction dated Thursday, December 18th. The shares were sold at an average price of $204.00, for a total value of $233,784.00. The SEC filing for this sale provides additional information. Insiders have sold 105,164 shares of company stock worth $20,700,863 in the last ninety days. Corporate insiders own 28.48% of the company’s stock.

Hedge Funds Weigh In On Dave

Institutional investors and hedge funds have recently made changes to their positions in the stock. Divisadero Street Capital Management LP raised its holdings in Dave by 73.1% in the third quarter. Divisadero Street Capital Management LP now owns 925,266 shares of the fintech company’s stock valued at $184,452,000 after acquiring an additional 390,676 shares in the last quarter. Ameriprise Financial Inc. increased its position in shares of Dave by 819.3% in the 3rd quarter. Ameriprise Financial Inc. now owns 209,008 shares of the fintech company’s stock valued at $41,666,000 after purchasing an additional 186,273 shares during the last quarter. Voya Investment Management LLC raised its holdings in shares of Dave by 5,603.0% in the 3rd quarter. Voya Investment Management LLC now owns 144,285 shares of the fintech company’s stock valued at $28,763,000 after purchasing an additional 141,755 shares in the last quarter. Neuberger Berman Group LLC purchased a new stake in shares of Dave during the 3rd quarter worth $26,726,000. Finally, Wellington Management Group LLP lifted its position in shares of Dave by 200.7% during the 3rd quarter. Wellington Management Group LLP now owns 177,103 shares of the fintech company’s stock worth $35,305,000 after purchasing an additional 118,203 shares during the last quarter. 18.01% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Dave

Here are the key news stories impacting Dave this week:

• Positive Sentiment: Brokerage consensus rating of “Buy” — Multiple brokerages give DAVE a consensus Buy, which can support investor demand and help justify the stock’s strength. Read More.
• Positive Sentiment: Recent quarterly results remain supportive — Dave reported a sizable EPS beat (reported $4.24 vs. $2.29 est.), strong margins and ROE, which underpin current valuation and investor confidence despite revenue roughly in line with estimates. Read More.
• Neutral Sentiment: Technical/volume-driven move flagged by Zacks — Zacks notes DAVE saw a jump on above-average volume recently, but their review of earnings-estimate revisions doesn’t suggest clear additional upside from analysts, implying the move may be momentum-driven rather than fundamentals-driven. Read More.
• Neutral Sentiment: Obituaries about “Dave’s Markets”/Burt Saltzman — Multiple outlets report the death of the patriarch of Dave’s Markets/Lucky’s Market. This concerns a regional grocery operator and not Dave Inc. (the fintech). Expect possible name-related headline noise but no operational impact on DAVE. Read More. | Read More.
• Neutral Sentiment: Other “Dave”-related consumer/personal-finance stories — Items about Dave Ramsey and unrelated cultural stories (e.g., Dave Mustaine) appear in the feed but have no bearing on Dave Inc.’s business or outlook. Read More.

Dave Company Profile

Dave, Inc is a Los Angeles–based financial technology company founded in 2016 by Jason Wilk and John Wolanin. The company offers a subscription-based mobile app designed to help consumers avoid overdraft fees, manage their budgets and track expenses. Through its platform, members receive low-balance alerts, expense categorization and cash-advance capabilities tied to upcoming deposits.

At the core of Dave’s offering is fee-free overdraft protection: eligible users can request small, interest-free advances up to a preset limit, typically repaid on their next paycheck or deposit.