CLEAR Secure (NYSE:YOU) Stock Rating Lowered by Zacks Research

Key Points

• Zacks Research downgraded CLEAR Secure (NYSE:YOU) from “strong-buy” to “hold,” while the broader analyst view remains mixed with a consensus rating of “hold” and an average price target of $60.
• The stock was trading lower, opening at $55.92 and down 1.4% on the day, with a market cap of about $7.46 billion and a 12-month range of $28.06 to $62.73.
• Recent earnings were stronger than expected, as CLEAR Secure reported EPS of $0.38 versus estimates of $0.35 and revenue of $253 million versus $244.38 million expected, while quarterly revenue rose 19.7% year over year.

CLEAR Secure (NYSE:YOU - Get Free Report) was downgraded by Zacks Research from a "strong-buy" rating to a "hold" rating in a report released on Monday,Zacks.com reports.

Other analysts have also issued reports about the stock. Weiss Ratings raised shares of CLEAR Secure from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, May 15th. Wall Street Zen raised shares of CLEAR Secure from a "hold" rating to a "buy" rating in a research note on Saturday, May 9th. Wells Fargo & Company lifted their price objective on shares of CLEAR Secure from $33.00 to $40.00 and gave the company an "underweight" rating in a report on Thursday, May 7th. Stifel Nicolaus set a $60.00 price objective on shares of CLEAR Secure in a research report on Thursday, May 7th. Finally, Needham & Company LLC upped their target price on shares of CLEAR Secure from $60.00 to $70.00 and gave the stock a "buy" rating in a research note on Wednesday, May 6th. Five investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, CLEAR Secure has a consensus rating of "Hold" and a consensus price target of $60.00.

CLEAR Secure Trading Down 1.4%

YOU stock opened at $55.92 on Monday. The stock has a market cap of $7.46 billion, a PE ratio of 45.10 and a beta of 1.08. The company has a 50-day moving average price of $55.62 and a 200 day moving average price of $46.55. CLEAR Secure has a 12 month low of $28.06 and a 12 month high of $62.73.

CLEAR Secure (NYSE:YOU - Get Free Report) last issued its quarterly earnings results on Wednesday, May 6th. The company reported $0.38 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.35 by $0.03. The firm had revenue of $253.00 million during the quarter, compared to analyst estimates of $244.38 million. CLEAR Secure had a return on equity of 68.98% and a net margin of 13.01%.CLEAR Secure's quarterly revenue was up 19.7% compared to the same quarter last year. During the same period last year, the company earned $0.26 EPS. Sell-side analysts forecast that CLEAR Secure will post 1.79 EPS for the current year.

Insiders Place Their Bets

In other CLEAR Secure news, President Michael Z. Barkin sold 11,550 shares of CLEAR Secure stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $56.29, for a total value of $650,149.50. Following the transaction, the president owned 22,994 shares in the company, valued at $1,294,332.26. The trade was a 33.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jonathan Schlegel sold 4,412 shares of the business's stock in a transaction dated Friday, May 15th. The stock was sold at an average price of $59.02, for a total transaction of $260,396.24. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 23,962 shares of company stock worth $1,360,146 over the last 90 days. Company insiders own 39.73% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the company. Durable Capital Partners LP grew 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 purchasing an additional 4,531,161 shares during the last quarter. Jacobs Levy Equity Management Inc. raised its holdings 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 buying an additional 1,439,873 shares during the last quarter. Squarepoint Ops LLC lifted its stake in shares of CLEAR Secure by 4,573.0% during the second quarter. Squarepoint Ops LLC now owns 929,033 shares of the company's stock worth $25,790,000 after buying an additional 909,152 shares during the period. Norges Bank purchased a new stake in shares of CLEAR Secure during the fourth quarter valued at $29,500,000. Finally, Jupiter Asset Management Ltd. increased its position in shares of CLEAR Secure by 260.8% in the 4th quarter. Jupiter Asset Management Ltd. now owns 879,039 shares of the company's stock valued at $30,837,000 after acquiring an additional 635,400 shares during the period. Hedge funds and other institutional investors own 73.80% of the company's stock.

About CLEAR Secure

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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