Sezzle (NASDAQ:SEZL) Lowered to "Hold" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Sezzle to “Hold” from “Buy,” although broader analyst sentiment remains “Moderate Buy” with a consensus price target of $146.50.
• Sezzle reported quarterly EPS of $1.13, exceeding the $1.03 consensus estimate, while revenue of $149.68 million also surpassed expectations of $135.09 million.
• SEZL opened at $118.87, well below its 52-week high of $195.71; insiders have sold 58,350 shares worth approximately $9.74 million over the past 90 days.

Sezzle (NASDAQ:SEZL - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Saturday, Wall Street Zen reports.

Several other research firms have also commented on SEZL. Zacks Research upgraded Sezzle from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, May 27th. Northland Securities set a $170.00 price objective on Sezzle in a research report on Thursday, June 25th. Needham & Company LLC reaffirmed a "buy" rating and issued a $172.00 price objective on shares of Sezzle in a research note on Thursday, August 20th. TD Cowen upgraded Sezzle from a "hold" rating to a "buy" rating and set a $165.00 target price for the company in a report on Monday, August 10th. Finally, B. Riley Financial reissued a "buy" rating on shares of Sezzle in a research report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Sezzle has an average rating of "Moderate Buy" and a consensus target price of $146.50.

Sezzle Price Performance

Shares of NASDAQ:SEZL opened at $118.87 on Friday. The company has a market capitalization of $4.00 billion, a P/E ratio of 25.84 and a beta of 6.66. The company has a debt-to-equity ratio of 0.52, a current ratio of 4.02 and a quick ratio of 4.02. The firm's 50 day simple moving average is $144.54 and its two-hundred day simple moving average is $114.10. Sezzle has a 1-year low of $49.50 and a 1-year high of $195.71.

Sezzle (NASDAQ:SEZL - Get Free Report) last announced its quarterly earnings results on Thursday, August 6th. The company reported $1.13 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.03 by $0.10. The company had revenue of $149.68 million for the quarter, compared to the consensus estimate of $135.09 million. Sezzle had a net margin of 30.35% and a return on equity of 83.48%. Sezzle has set its FY 2026 guidance at 5.250-5.250 EPS. Research analysts expect that Sezzle will post 5.24 EPS for the current fiscal year.

Insider Activity

In related news, Director Paul Paradis sold 26,400 shares of the company's stock in a transaction dated Thursday, June 18th. The shares were sold at an average price of $161.35, for a total transaction of $4,259,640.00. Following the transaction, the director directly owned 416,195 shares in the company, valued at approximately $67,153,063.25. This represents a 5.96% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Kyle Brehm sold 1,000 shares of the stock in a transaction dated Thursday, August 27th. The stock was sold at an average price of $125.92, for a total transaction of $125,920.00. Following the completion of the sale, the director directly owned 23,853 shares in the company, valued at $3,003,569.76. This trade represents a 4.02% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 58,350 shares of company stock valued at $9,739,087. 49.49% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Sezzle

A number of institutional investors and hedge funds have recently modified their holdings of the business. Royal Bank of Canada boosted its holdings in Sezzle by 429.0% during the 1st quarter. Royal Bank of Canada now owns 132,361 shares of the company's stock valued at $4,618,000 after acquiring an additional 107,340 shares during the period. AQR Capital Management LLC increased its stake in Sezzle by 3,973.6% in the first quarter. AQR Capital Management LLC now owns 34,626 shares of the company's stock worth $1,208,000 after purchasing an additional 33,776 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of Sezzle by 2,241.4% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 30,906 shares of the company's stock worth $1,078,000 after purchasing an additional 29,586 shares during the last quarter. Millennium Management LLC boosted its stake in shares of Sezzle by 321.7% during the first quarter. Millennium Management LLC now owns 115,525 shares of the company's stock valued at $4,031,000 after purchasing an additional 88,127 shares during the period. Finally, Goldman Sachs Group Inc. boosted its stake in shares of Sezzle by 1,068.2% during the first quarter. Goldman Sachs Group Inc. now owns 169,487 shares of the company's stock valued at $5,913,000 after purchasing an additional 154,978 shares during the period. 2.02% of the stock is owned by institutional investors.

About Sezzle

Sezzle Inc is a financial technology company that operates a buy now, pay later platform. Its services allow consumers to split eligible purchases into scheduled installments, typically through participating online and in-store merchants. Sezzle's platform is designed to provide flexible payment options while helping merchants attract customers and support e-commerce sales.

The company offers products and services that include installment payment solutions, a virtual card, and subscription-based access to additional purchasing features.

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