CLEAR Secure (NYSE:YOU) Shares Up 7.2% - Here's Why

Key Points

• CLEAR Secure shares rose 7.2% to $57.73 in mid-day trading, although volume was 41% below the average session level.
• The company reported quarterly EPS of $0.38, beating estimates by $0.03, while revenue reached $253 million, up 19.7% year over year and above consensus.
• Analyst sentiment remains mixed: Needham and Telsey raised their price targets and maintained bullish ratings, but the consensus rating is still Hold with a $58.57 target.

CLEAR Secure, Inc. (NYSE:YOU - Get Free Report) shares rose 7.2% during mid-day trading on Wednesday . The stock traded as high as $57.73 and last traded at $57.73. 930,561 shares were traded during trading, a decline of 41% from the average session volume of 1,574,807 shares. The stock had previously closed at $53.84.

Analyst Ratings Changes

YOU has been the topic of several recent research reports. DA Davidson decreased their price objective on CLEAR Secure from $60.00 to $55.00 and set a "neutral" rating on the stock in a report on Tuesday. Needham & Company LLC raised their target price on CLEAR Secure from $60.00 to $70.00 and gave the stock a "buy" rating in a research report on Wednesday, May 6th. Weiss Ratings upgraded shares of CLEAR Secure from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, May 15th. Stifel Nicolaus set a $60.00 price target on shares of CLEAR Secure in a report on Thursday, May 7th. Finally, Telsey Advisory Group boosted their price target on shares of CLEAR Secure from $62.00 to $68.00 and gave the company an "outperform" rating in a report on Thursday, May 7th. Five investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus price target of $58.57.

CLEAR Secure Stock Performance

The firm has a 50 day moving average price of $54.85 and a two-hundred day moving average price of $48.49. The company has a market capitalization of $7.95 billion, a P/E ratio of 48.11 and a beta of 1.08.

CLEAR Secure (NYSE:YOU - Get Free Report) last posted its earnings results on Wednesday, May 6th. The company reported $0.38 EPS for the quarter, topping the consensus estimate of $0.35 by $0.03. CLEAR Secure had a return on equity of 68.98% and a net margin of 13.01%.The business had revenue of $253.00 million during the quarter, compared to the consensus estimate of $244.38 million. During the same quarter last year, the company earned $0.26 EPS. CLEAR Secure's revenue was up 19.7% on a year-over-year basis. On average, equities analysts expect that CLEAR Secure, Inc. will post 1.61 earnings per share for the current year.

CLEAR Secure Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, June 24th. Stockholders of record on Wednesday, June 10th were paid a $0.15 dividend. This represents a $0.60 annualized dividend and a dividend yield of 1.0%. The ex-dividend date was Wednesday, June 10th. CLEAR Secure's payout ratio is currently 48.39%.

Insider Transactions at CLEAR Secure

In related news, insider Jonathan Schlegel sold 4,412 shares of the stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $59.02, for a total transaction of $260,396.24. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, President Michael Z. Barkin sold 11,550 shares of CLEAR Secure stock in a transaction dated Thursday, May 28th. The shares were sold at an average price of $56.29, for a total transaction of $650,149.50. Following the transaction, the president directly owned 22,994 shares of the company's stock, valued at $1,294,332.26. This represents a 33.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 23,962 shares of company stock valued at $1,360,146. 29.70% of the stock is owned by insiders.

Institutional Trading of CLEAR Secure

Several large investors have recently made changes to their positions in the business. Durable Capital Partners LP lifted its position in CLEAR Secure by 153.1% during the 2nd quarter. Durable Capital Partners LP now owns 7,490,351 shares of the company's stock worth $207,932,000 after buying an additional 4,531,161 shares in the last quarter. Wedge Capital Management L L P NC acquired a new stake in CLEAR Secure in the 2nd quarter valued at about $82,542,000. Jacobs Levy Equity Management Inc. raised its stake in shares of CLEAR Secure by 6,038.7% in the third quarter. Jacobs Levy Equity Management Inc. now owns 1,463,717 shares of the company's stock worth $48,859,000 after acquiring an additional 1,439,873 shares during the last quarter. Squarepoint Ops LLC raised its stake in shares of CLEAR Secure by 4,573.0% in the second quarter. Squarepoint Ops LLC now owns 929,033 shares of the company's stock worth $25,790,000 after acquiring an additional 909,152 shares during the last quarter. Finally, Norges Bank acquired a new position in shares of CLEAR Secure during the fourth quarter worth approximately $29,500,000. Institutional investors own 73.80% of the company's stock.

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.

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