Dave (NASDAQ:DAVE) Sees Large Volume Increase - Here's What Happened

Key Points

• Dave Inc. (NASDAQ:DAVE) experienced a notable increase in trading volume, with shares trading at approximately 558,038, a rise of 13% from the previous session.
• Analysts have a generally positive outlook, with nine buy ratings and a consensus price target of $250.50 for the stock, despite it seeing a 21.1% decline in price recently.
• Insider trading activity has seen significant sales, with insiders selling 294,960 shares worth roughly $62.6 million in the last 90 days, raising concerns about insider confidence.

Dave Inc. (NASDAQ:DAVE - Get Free Report) shares saw unusually-strong trading volume on Wednesday . Approximately 558,038 shares traded hands during mid-day trading, an increase of 13% from the previous session's volume of 496,022 shares.The stock last traded at $191.38 and had previously closed at $238.83.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the company. Citigroup reaffirmed an "outperform" rating on shares of Dave in a research report on Monday, July 14th. Benchmark reissued a "buy" rating and issued a $320.00 target price on shares of Dave in a research report on Monday, July 14th. Barrington Research reiterated an "outperform" rating and set a $290.00 target price on shares of Dave in a research note on Monday. Lake Street Capital lifted their price target on shares of Dave from $118.00 to $177.00 and gave the company a "buy" rating in a report on Friday, May 9th. Finally, Piper Sandler reissued a "neutral" rating on shares of Dave in a research note on Tuesday, June 10th. One analyst has rated the stock with a hold rating and nine have given a buy rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $250.50.

Dave Stock Down 21.1%

The stock has a market capitalization of $2.51 billion, a P/E ratio of 52.45 and a beta of 3.95. The company has a quick ratio of 8.59, a current ratio of 8.59 and a debt-to-equity ratio of 0.38. The firm has a 50 day simple moving average of $225.33 and a two-hundred day simple moving average of $147.28.

Dave (NASDAQ:DAVE - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The fintech company reported $0.62 earnings per share for the quarter, missing the consensus estimate of $2.08 by ($1.46). Dave had a net margin of 13.75% and a return on equity of 34.85%. On average, equities research analysts expect that Dave Inc. will post 1.07 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Michael W. Pope sold 1,793 shares of the firm's stock in a transaction that occurred on Monday, June 23rd. The stock was sold at an average price of $209.82, for a total value of $376,207.26. Following the completion of the sale, the director directly owned 6,375 shares of the company's stock, valued at $1,337,602.50. This trade represents a 21.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, Director Imran Khan sold 80,965 shares of the business's stock in a transaction on Friday, June 13th. The stock was sold at an average price of $211.14, for a total transaction of $17,094,950.10. Following the sale, the director directly owned 98,886 shares in the company, valued at approximately $20,878,790.04. The trade was a 45.02% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 294,960 shares of company stock worth $62,575,325. 28.48% of the stock is owned by company insiders.

Hedge Funds Weigh In On Dave

Several hedge funds and other institutional investors have recently bought and sold shares of DAVE. Nisa Investment Advisors LLC lifted its stake in shares of Dave by 4,933.3% in the 2nd quarter. Nisa Investment Advisors LLC now owns 151 shares of the fintech company's stock valued at $41,000 after purchasing an additional 148 shares during the period. Catalyst Capital Advisors LLC purchased a new position in shares of Dave during the 2nd quarter worth $141,000. Kingswood Wealth Advisors LLC acquired a new position in Dave in the 2nd quarter valued at about $208,000. Pallas Capital Advisors LLC purchased a new stake in Dave in the 2nd quarter valued at about $227,000. Finally, Teacher Retirement System of Texas purchased a new position in shares of Dave during the 2nd quarter worth approximately $377,000. Institutional investors own 18.01% of the company's stock.

About Dave

Dave, Inc is a digital banking service. Its products include a budgeting tool to help members manage their upcoming bills to avoid overspending, cash advances through its flagship ExtraCash product to help members avoid punitive overdraft fees, a Side Hustle product, where Dave helps connect members with supplemental work opportunities, and Dave Banking, a modern checking account experience with valuable tools for building long-term financial health.

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