Dave (NASDAQ:DAVE) Releases Quarterly Earnings Results, Beats Estimates By $0.30 EPS

Key Points

• Dave reported EPS of $4.39, beating MarketBeat’s consensus estimate of $4.09 by $0.30; quarterly revenue of $197.7 million also exceeded expectations of $191.89 million.
• The company raised full-year guidance to $746–$750 million in revenue, $327–$330 million in adjusted EBITDA, and $17.45–$17.65 in adjusted diluted EPS. Management expects Q4 revenue growth of about 35% at the guidance midpoint.
• Dave added a record 1.1 million new members, up 35% year over year, while credit indicators improved after its CashAI rollout; however, Q3 credit-loss provisions were higher than expected.

Dave (NASDAQ:DAVE - Get Free Report) announced its quarterly earnings data on Wednesday. The fintech company reported $4.39 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.09 by $0.30, FiscalAI reports. The business had revenue of $197.70 million for the quarter, compared to the consensus estimate of $191.89 million. Dave had a net margin of 34.58% and a return on equity of 77.46%.

Here are the key takeaways from Dave's conference call:

• Positive sentiment: Dave raised its full-year guidance for revenue to $746–$750 million, adjusted EBITDA to $327–$330 million, and adjusted diluted EPS to $17.45–$17.65. At the midpoint, management expects Q4 revenue growth to accelerate to about 35% and a 46% adjusted EBITDA margin.
• Neutral sentiment: Credit indicators improved after the full rollout of CashAI v6.0, with September’s 28-day past-due rate below 2% and average ExtraCash size reaching $225. However, Q3 credit-loss provision was $37 million and higher than forecast because earlier collections did not translate into as much reduction in ultimate losses as expected; management recalibrated its assumptions.
• Positive sentiment: Member acquisition reached a record 1.1 million new members, up 35% year over year, while marketing spend rose more than 50% and CAC increased 14%. Management said payback remained under four months, and annualized gross profit per monthly transacting member rose about $19 to $175.
• Positive sentiment: Dave Flex showed early traction, with better-than-expected acquisition costs and encouraging cross-adoption with ExtraCash; management said the products appear complementary rather than cannibalistic. Dave does not expect meaningful Flex revenue in 2026, but sees a more significant contribution in the second half of 2027.
• Positive sentiment: Dave expanded its Coastal Community Bank funding capacity from $225 million to $325 million and repaid the $75 million outstanding on its Victory Park facility. Management said the funding arrangement increases flexibility for growth and capital returns; $88 million remained under the share repurchase authorization.

Dave Trading Up 6.8%

Shares of DAVE stock traded up $21.50 on Wednesday, reaching $336.22. 510,671 shares of the stock were exchanged, compared to its average volume of 291,579. The stock has a market cap of $4.29 billion, a P/E ratio of 22.23 and a beta of 4.07. The company has a quick ratio of 4.22, a current ratio of 4.22 and a debt-to-equity ratio of 0.93. The firm has a 50 day moving average of $351.80 and a two-hundred day moving average of $288.29. Dave has a 1-year low of $152.21 and a 1-year high of $458.25.

Key Headlines Impacting Dave

Here are the key news stories impacting Dave this week:

• Positive Sentiment: Third-quarter revenue rose 31% year over year to about $198 million, exceeding expectations. Adjusted EBITDA increased 39% to $82 million, and Dave raised its 2026 revenue and adjusted EBITDA guidance. Dave Reports Third Quarter 2026 Financial Results
• Positive Sentiment: Credit and monetization indicators improved: the 28-day delinquency rate fell to 2.09%, and the net monetization rate reached 5.2%, its highest level in five years. The company also cited record new-member acquisition and growth in average revenue per user. Dave Reports Third Quarter 2026 Financial Results
• Neutral Sentiment: EPS was $4.39. That beat MarketBeat’s consensus estimate of $4.09, but missed Zacks’ estimate of $4.45—an estimate gap behind conflicting descriptions of the earnings result. Dave Inc. Q3 Earnings Miss Estimates
• Negative Sentiment: Some coverage characterized the earnings as a profit miss despite higher revenue and raised guidance. That headline could weigh on sentiment, especially if investors focus on earnings relative to the higher estimate rather than the company’s stronger revenue and outlook. Dave stock slumps as Q3 profit trails estimates

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on DAVE. Citizens Jmp lifted their price objective on Dave from $450.00 to $475.00 and gave the company a "market outperform" rating in a research report on Thursday, August 6th. Lake Street Capital reiterated a "buy" rating and set a $450.00 target price on shares of Dave in a research report on Thursday, August 6th. Loop Capital initiated coverage on Dave in a research report on Wednesday, September 9th. They set a "buy" rating and a $500.00 target price on the stock. JPMorgan Chase & Co. started coverage on Dave in a research note on Tuesday, September 15th. They issued an "overweight" rating and a $480.00 price target on the stock. Finally, Freedom Capital raised Dave to a "hold" rating in a research note on Thursday, July 30th. Fourteen investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, Dave currently has a consensus rating of "Moderate Buy" and an average target price of $433.25.

Dave Company Profile

Dave Inc is a financial technology company that operates a digital banking platform in the United States. The company's mobile app is designed to help members manage everyday finances, access funds between paychecks and build financial flexibility.

Its primary offerings include ExtraCash, an advance product intended to provide eligible members with access to a portion of their expected income, and Dave Spending, a debit account and associated payment card. Dave also provides budgeting tools, automated savings features through Dave Goals, and Side Hustle resources that help members identify potential ways to earn additional income.

Dave was founded in 2016 by Jason Wilk, who serves as chief executive officer.

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