CLEAR Secure (NYSE:YOU) Trading Up 12.2% on Better-Than-Expected Earnings

Key Points

• CLEAR Secure's shares climbed 12.2% following a strong earnings report, with earnings per share at $0.26, exceeding expectations of $0.23.
• The company announced a quarterly dividend of $0.125 per share, translating to an annualized dividend of $0.50 and a yield of 1.5%.
• Currently, CLEAR Secure holds a market capitalization of $4.50 billion and has received a "Moderate Buy" rating from analysts, with a consensus target price of $32.40.

Shares of CLEAR Secure, Inc. (NYSE:YOU - Get Free Report) traded up 12.2% during mid-day trading on Tuesday following a stronger than expected earnings report. The stock traded as high as $34.12 and last traded at $33.64. 526,429 shares traded hands during mid-day trading, a decline of 73% from the average session volume of 1,939,822 shares. The stock had previously closed at $29.99.

The company reported $0.26 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.23 by $0.03. CLEAR Secure had a net margin of 21.96% and a return on equity of 115.09%. CLEAR Secure's quarterly revenue was up 17.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.34 earnings per share.

CLEAR Secure Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 17th. Stockholders of record on Wednesday, September 10th will be issued a dividend of $0.125 per share. This represents a $0.50 dividend on an annualized basis and a dividend yield of 1.5%. CLEAR Secure's dividend payout ratio is currently 31.25%.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on the stock. Telsey Advisory Group reiterated an "outperform" rating and set a $32.00 price objective on shares of CLEAR Secure in a report on Wednesday, July 30th. Wall Street Zen downgraded shares of CLEAR Secure from a "buy" rating to a "hold" rating in a research report on Sunday, July 13th. Finally, Stifel Nicolaus upped their price objective on shares of CLEAR Secure from $26.00 to $28.00 and gave the stock a "hold" rating in a research report on Tuesday, July 29th. Three analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to data from MarketBeat, CLEAR Secure currently has an average rating of "Moderate Buy" and a consensus target price of $32.40.

Insider Transactions at CLEAR Secure

In other CLEAR Secure news, Director Adam Wiener sold 5,000 shares of the business's stock in a transaction dated Thursday, July 17th. The shares were sold at an average price of $30.00, for a total value of $150,000.00. Following the transaction, the director directly owned 207,634 shares in the company, valued at $6,229,020. The trade was a 2.35% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Kenneth L. Cornick sold 315,591 shares of the business's stock in a transaction dated Wednesday, May 14th. The shares were sold at an average price of $25.02, for a total transaction of $7,896,086.82. Following the completion of the transaction, the director owned 64,935 shares in the company, valued at approximately $1,624,673.70. The trade was a 82.94% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 965,964 shares of company stock worth $24,388,299. Corporate insiders own 39.73% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in YOU. American Century Companies Inc. boosted its stake in CLEAR Secure by 18.1% in the fourth quarter. American Century Companies Inc. now owns 41,188 shares of the company's stock valued at $1,097,000 after acquiring an additional 6,316 shares during the last quarter. Franklin Resources Inc. lifted its stake in shares of CLEAR Secure by 3.7% during the 4th quarter. Franklin Resources Inc. now owns 47,872 shares of the company's stock valued at $1,275,000 after buying an additional 1,697 shares in the last quarter. Geode Capital Management LLC lifted its stake in shares of CLEAR Secure by 3.7% during the 4th quarter. Geode Capital Management LLC now owns 2,433,165 shares of the company's stock valued at $64,832,000 after buying an additional 86,311 shares in the last quarter. Massachusetts Financial Services Co. MA lifted its stake in shares of CLEAR Secure by 16.9% during the 4th quarter. Massachusetts Financial Services Co. MA now owns 148,207 shares of the company's stock valued at $3,948,000 after buying an additional 21,456 shares in the last quarter. Finally, Huntington National Bank purchased a new stake in shares of CLEAR Secure during the 4th quarter valued at approximately $35,000. 73.80% of the stock is currently owned by hedge funds and other institutional investors.

CLEAR Secure Stock Performance

The company has a market capitalization of $4.50 billion, a PE ratio of 21.13 and a beta of 1.25. The stock's 50 day moving average is $27.49 and its 200 day moving average is $25.79.

About CLEAR Secure

Clear Secure, Inc operates a secure identity platform under the CLEAR brand name primarily in the United States. Its secure identity platform is a multi-layered infrastructure consisting of front-end, including enrollment, verification, and linking, as well as back-end. The company also offers CLEAR Plus, a consumer aviation subscription service, which enables access to predictable entry lanes in airport security checkpoints, as well as access to broader network; and CLEAR mobile app, which is used to enroll new members and improve the experience for existing members.

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