CLEAR Secure (NYSE:YOU) Lowered to "Buy" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded CLEAR Secure from “Strong Buy” to “Buy,” while broader analyst sentiment remains mixed with a consensus “Hold” rating and a $59.71 price target.
• CLEAR Secure reported better-than-expected quarterly results, with EPS of $0.49 versus $0.40 expected and revenue of $277.76 million, up 26.6% year over year.
• The stock opened at $44.12, below its 50-day and 200-day moving averages, while insiders sold approximately $808,615 worth of shares over the past 90 days under pre-arranged trading plans.

CLEAR Secure (NYSE:YOU - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

Other equities analysts have also recently issued research reports about the company. JPMorgan Chase & Co. initiated coverage on CLEAR Secure in a report on Monday, August 24th. They set an "overweight" rating and a $55.00 price target for the company. The Goldman Sachs Group set a $70.00 price objective on CLEAR Secure in a research note on Monday, July 20th. Zacks Research cut CLEAR Secure from a "strong-buy" rating to a "hold" rating in a research report on Monday, July 6th. Weiss Ratings downgraded CLEAR Secure from a "buy (b)" rating to a "buy (b-)" rating in a research note on Friday, August 21st. Finally, DA Davidson reduced their price target on shares of CLEAR Secure from $60.00 to $55.00 and set a "neutral" rating on the stock in a research note on Tuesday, July 28th. Five equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, CLEAR Secure has a consensus rating of "Hold" and a consensus price target of $59.71.

CLEAR Secure Trading Down 1.1%

Shares of NYSE YOU opened at $44.12 on Friday. The firm has a market cap of $5.97 billion, a P/E ratio of 30.01 and a beta of 1.04. The business's 50 day moving average is $50.83 and its 200-day moving average is $51.12. CLEAR Secure has a 1-year low of $29.43 and a 1-year high of $69.07.

CLEAR Secure (NYSE:YOU - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The company reported $0.49 EPS for the quarter, topping analysts' consensus estimates of $0.40 by $0.09. CLEAR Secure had a net margin of 14.78% and a return on equity of 71.51%. The business had revenue of $277.76 million for the quarter, compared to analyst estimates of $269.71 million. During the same period last year, the firm earned $0.26 earnings per share. CLEAR Secure's revenue for the quarter was up 26.6% compared to the same quarter last year. Analysts forecast that CLEAR Secure will post 1.88 EPS for the current year.

Insider Activity

In other news, CAO Dennis Liu sold 2,104 shares of CLEAR Secure stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $44.47, for a total transaction of $93,564.88. Following the transaction, the chief accounting officer owned 15,870 shares in the company, valued at approximately $705,738.90. The trade was a 11.71% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, President Michael Barkin sold 11,444 shares of the business's stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $45.00, for a total transaction of $514,980.00. Following the completion of the sale, the president directly owned 11,550 shares in the company, valued at approximately $519,750. This represents a 49.77% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 18,047 shares of company stock valued at $808,615. Insiders own 29.70% of the company's stock.

Institutional Investors Weigh In On CLEAR Secure

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Geneos Wealth Management Inc. lifted its stake in shares of CLEAR Secure by 329.5% in the first quarter. Geneos Wealth Management Inc. now owns 975 shares of the company's stock worth $25,000 after acquiring an additional 748 shares during the period. Advisors Asset Management Inc. acquired a new stake in CLEAR Secure during the 1st quarter valued at approximately $28,000. Caitong International Asset Management Co. Ltd raised its holdings in CLEAR Secure by 249.6% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 867 shares of the company's stock worth $30,000 after purchasing an additional 619 shares during the last quarter. Parallel Advisors LLC raised its holdings in CLEAR Secure by 2,283.3% during the 1st quarter. Parallel Advisors LLC now owns 715 shares of the company's stock worth $35,000 after purchasing an additional 685 shares during the last quarter. Finally, Allworth Financial LP lifted its position in shares of CLEAR Secure by 118.8% in the 4th quarter. Allworth Financial LP now owns 1,022 shares of the company's stock worth $36,000 after purchasing an additional 555 shares during the period. Institutional investors and hedge funds own 73.80% of the company's stock.

CLEAR Secure News Summary

Here are the key news stories impacting CLEAR Secure this week:

• Positive Sentiment: CLEAR Secure recently announced a quarterly dividend of $0.15 per share, equivalent to $0.60 annually and a yield of approximately 1.3%. The dividend may provide some support for income-focused investors. CLEAR Secure dividend and insider trading report
• Positive Sentiment: Institutional ownership remains high at 73.8%, while several funds increased their positions during the second quarter. California State Teachers’ Retirement System reported a particularly significant increase, adding more than 5.3 million shares.
• Positive Sentiment: The company’s latest quarterly results were stronger than expected: earnings per share reached $0.49 versus a $0.40 consensus estimate, while revenue rose 26.6% year over year to $277.76 million, above expectations.
• Neutral Sentiment: Analyst sentiment is mixed but currently averages a “Hold” rating. Five analysts rate the stock Buy, three rate it Hold and one rates it Sell. The consensus price target is $59.71, above recent trading levels, although DA Davidson recently lowered its target to $55 and retained a Neutral rating. CLEAR Secure analyst consensus report
• Negative Sentiment: Multiple executives sold shares totaling roughly $1.21 million. President Michael Barkin sold 11,444 shares, reducing his position by nearly 50%; EVP Kyle McLaughlin sold 4,499 shares; CAO Dennis Liu sold 2,104 shares; and another vice president sold 9,192 shares, or 31% of that executive’s prior stake. The Liu, McLaughlin and Barkin transactions were conducted under pre-arranged Rule 10b5-1 plans, with Liu’s sale specifically covering tax obligations, which makes the sales less concerning than discretionary selling but still creates short-term supply and sentiment pressure. CLEAR Secure executive share sales

CLEAR Secure Company Profile

CLEAR Secure, Inc operates a biometric identity platform designed to expedite identity verification for air travelers and venue guests. The company’s core offering is the CLEAR membership service, which uses fingerprint and iris scans to confirm a member’s identity and provide access to dedicated security lanes at participating airports. Members link government-issued IDs and personal biometric data via the CLEAR app, enabling faster processing through Transportation Security Administration (TSA) checkpoints and select event entrances.

Founded in 2010 by Caryn Seidman‐Becker and Ken Cornick, CLEAR is headquartered in New York City.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.