Dave (NASDAQ:DAVE) Posts Earnings Results, Beats Expectations By $0.78 EPS

Key Points

• Q1 beat and raised guidance: Dave reported EPS of $3.64 vs. consensus $2.86 and revenue of $158.4M (vs. $153.7M), and raised FY‑2026 guidance to $16.25–$16.75 EPS with revenue guidance of $710–$720M.
• Strong profitability and buybacks: The quarter showed a 35.35% net margin and 67.04% ROE, and the board authorized a $300M repurchase program while the company has already deployed about $195M (~7% of shares outstanding).
• Market reaction and analyst outlook: Despite the beat, shares fell about $15 to $264 on heavy volume amid high volatility (beta ~3.9), but analysts remain largely positive with an average price target around $319.63 and mostly Buy/Moderate Buy ratings.

Dave (NASDAQ:DAVE - Get Free Report) released its quarterly earnings results on Tuesday. The fintech company reported $3.64 earnings per share for the quarter, beating analysts' consensus estimates of $2.86 by $0.78, FiscalAI reports. The company had revenue of $158.40 million during the quarter, compared to the consensus estimate of $153.67 million. Dave had a net margin of 35.35% and a return on equity of 67.04%. Dave updated its FY 2026 guidance to 16.250-16.750 EPS.

Dave Stock Performance

Shares of Dave stock traded down $15.15 during trading on Tuesday, reaching $264.02. 673,931 shares of the company's stock were exchanged, compared to its average volume of 572,679. Dave has a 1-year low of $102.11 and a 1-year high of $287.69. The company has a market cap of $3.58 billion, a P/E ratio of 19.56 and a beta of 3.93. The firm's 50-day moving average price is $211.02 and its 200 day moving average price is $208.40.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on DAVE shares. William Blair reaffirmed an "accumulate" rating on shares of Dave in a report on Friday, March 13th. Keefe, Bruyette & Woods increased their target price on Dave from $295.00 to $330.00 and gave the stock an "outperform" rating in a report on Monday. Lake Street Capital raised their price target on Dave from $308.00 to $326.00 and gave the stock a "buy" rating in a research report on Tuesday, March 3rd. Citizens Jmp upped their price objective on shares of Dave from $310.00 to $335.00 and gave the stock a "market outperform" rating in a research report on Friday, April 10th. Finally, Benchmark reiterated a "buy" rating on shares of Dave in a research note on Tuesday, March 3rd. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $319.63.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. JPMorgan Chase & Co. lifted its holdings in shares of Dave by 0.7% in the second quarter. JPMorgan Chase & Co. now owns 8,986 shares of the fintech company's stock worth $2,412,000 after acquiring an additional 65 shares during the last quarter. Prudential Financial Inc. bought a new stake in shares of Dave during the 2nd quarter valued at approximately $324,000. Invesco Ltd. grew its holdings in shares of Dave by 2,379.9% during the 2nd quarter. Invesco Ltd. now owns 97,485 shares of the fintech company's stock valued at $26,166,000 after purchasing an additional 93,554 shares during the last quarter. First Trust Advisors LP acquired a new position in Dave during the 2nd quarter worth approximately $18,710,000. Finally, Cresset Asset Management LLC acquired a new position in Dave during the 2nd quarter worth approximately $402,000. Institutional investors own 18.01% of the company's stock.

Dave declared that its Board of Directors has initiated a stock buyback plan on Monday, March 2nd that allows the company to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the fintech company to buy up to 11.2% of its stock through open market purchases. Stock repurchase plans are often an indication that the company's board believes its stock is undervalued.

Key Headlines Impacting Dave

Here are the key news stories impacting Dave this week:

• Positive Sentiment: Q1 beat: Dave reported EPS of $3.64 versus consensus $2.86 and revenue of $158.4M vs. $153.7M; net margin (35.4%) and ROE (67.0%) were notably strong. This confirms better-than-expected profitability. Q1 Press Release PDF
• Positive Sentiment: Raised FY‑2026 guidance: Dave set EPS guidance of $16.25–$16.75 (consensus ~$14.42) and revenue guidance of $710–$720M (consensus ~$698.3M), signaling stronger forward profitability and top‑line growth. Q1 2026 Financial Results
• Positive Sentiment: Capital return: Dave deployed ~ $195M in share repurchases (~7% of shares outstanding), a meaningful buyback that reduces float and supports EPS. Q1 2026 Financial Results
• Positive Sentiment: Analyst support: Keefe, Bruyette & Woods raised its price target to $330 and kept an outperform rating; Barrington reaffirmed an outperform with a $290 target—both signal continued analyst confidence. Keefe Target Raise Barrington Reaffirmation
• Neutral Sentiment: Pre-earnings coverage and sector context: Several articles reviewed DAVE ahead of and after earnings, and sector comparisons may influence relative flows rather than company fundamentals. Yahoo Preview Zacks Sector Note
• Negative Sentiment: Market reaction/volatility: Despite the beat and stronger guidance, DAVE is down today on heavier-than-average volume — likely profit‑taking after a strong run, plus elevated volatility (beta ~3.9) and valuation considerations (current P/E ~19.5) that can amplify moves. Investors should view the drop as short‑term market reaction rather than a change in the company’s improving fundamentals.

About Dave

Dave, Inc is a Los Angeles–based financial technology company founded in 2016 by Jason Wilk and John Wolanin. The company offers a subscription-based mobile app designed to help consumers avoid overdraft fees, manage their budgets and track expenses. Through its platform, members receive low-balance alerts, expense categorization and cash-advance capabilities tied to upcoming deposits.

At the core of Dave's offering is fee-free overdraft protection: eligible users can request small, interest-free advances up to a preset limit, typically repaid on their next paycheck or deposit.

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