Dave (NASDAQ:DAVE) Stock Price Down 4.9% - What's Next?

Key Points

• Dave Inc. shares fell by 4.9% during midday trading, reflecting a significant drop in trading volume compared to average sessions, with shares last trading at $200.49.
• Analysts have mixed ratings for Dave, with Barrington Research and JPMorgan setting price targets as high as $300, but Wall Street Zen downgraded the stock to a "hold" rating.
• The company initiated a $125 million share buyback program, indicating confidence in the stock's undervaluation and a strategy to boost shareholder value.

Dave Inc. (NASDAQ:DAVE - Get Free Report)'s share price fell 4.9% during mid-day trading on Tuesday . The stock traded as low as $203.06 and last traded at $200.49. 35,710 shares changed hands during mid-day trading, a decline of 93% from the average session volume of 498,813 shares. The stock had previously closed at $210.87.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on DAVE. Barrington Research restated an "outperform" rating and issued a $290.00 price target on shares of Dave in a report on Monday, August 18th. JPMorgan Chase & Co. set a $300.00 price objective on Dave in a report on Friday. Citizens Jmp increased their price objective on Dave from $280.00 to $300.00 and gave the stock a "mkt outperform" rating in a report on Friday. Piper Sandler reiterated a "neutral" rating on shares of Dave in a report on Tuesday, June 10th. Finally, Wall Street Zen downgraded Dave from a "buy" rating to a "hold" rating in a report on Saturday, August 9th. Eight equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $274.13.

Dave Stock Performance

The company has a quick ratio of 9.51, a current ratio of 9.51 and a debt-to-equity ratio of 0.35. The stock has a 50 day simple moving average of $211.55 and a two-hundred day simple moving average of $177.01. The stock has a market capitalization of $2.70 billion, a P/E ratio of 52.82 and a beta of 3.94.

Dave declared that its board has authorized a share buyback plan on Wednesday, August 13th that authorizes the company to repurchase $125.00 million in shares. This repurchase authorization authorizes the fintech company to purchase up to 5.1% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

Insider Buying and Selling at Dave

In other Dave news, Director Imran Khan sold 39,534 shares of the firm's stock in a transaction that occurred on Monday, September 15th. The stock was sold at an average price of $223.13, for a total value of $8,821,221.42. Following the completion of the transaction, the director directly owned 79,110 shares in the company, valued at $17,651,814.30. This trade represents a 33.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Yadin Rozov sold 14,660 shares of the firm's stock in a transaction that occurred on Thursday, September 4th. The shares were sold at an average price of $199.54, for a total value of $2,925,256.40. Following the completion of the transaction, the director owned 79,923 shares of the company's stock, valued at approximately $15,947,835.42. This represents a 15.50% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 226,943 shares of company stock worth $50,301,987 over the last ninety days. 28.48% of the stock is currently owned by corporate insiders.

Institutional Trading of Dave

A number of hedge funds have recently made changes to their positions in the business. SBI Securities Co. Ltd. lifted its position in shares of Dave by 3.2% in the second quarter. SBI Securities Co. Ltd. now owns 1,953 shares of the fintech company's stock valued at $524,000 after buying an additional 60 shares during the last quarter. JPMorgan Chase & Co. lifted its position 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 valued at $2,412,000 after buying an additional 65 shares during the last quarter. State Board of Administration of Florida Retirement System lifted its position in shares of Dave by 3.2% in the second quarter. State Board of Administration of Florida Retirement System now owns 2,931 shares of the fintech company's stock valued at $787,000 after buying an additional 91 shares during the last quarter. WealthCollab LLC acquired a new stake in shares of Dave in the second quarter valued at approximately $30,000. Finally, Nisa Investment Advisors LLC lifted its position in shares of Dave by 4,933.3% in the second quarter. Nisa Investment Advisors LLC now owns 151 shares of the fintech company's stock valued at $41,000 after buying an additional 148 shares during the last quarter. 18.01% of the stock is owned by institutional investors and hedge funds.

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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