Green Dot (NYSE:GDOT) Hits New 12-Month High - Should You Buy?

Key Points

• Green Dot Corporation's stock reached a new 52-week high of $14.40, closing at $14.39 with a trading volume of 150,569 shares.
• Analysts have generally shifted towards a positive outlook for Green Dot, with several firms upgrading their ratings and price targets, resulting in a consensus target price of $13.00.
• In its latest earnings report, Green Dot reported an EPS of $0.40, beating expectations, and achieved a year-over-year revenue increase of 23.9% to $501.16 million.

Green Dot Corporation (NYSE:GDOT - Get Free Report)'s stock price hit a new 52-week high during trading on Tuesday . The stock traded as high as $14.40 and last traded at $14.39, with a volume of 150569 shares trading hands. The stock had previously closed at $13.92.

Analysts Set New Price Targets

GDOT has been the topic of a number of recent analyst reports. Northland Securities set a $16.00 price target on Green Dot in a report on Tuesday, August 12th. Wall Street Zen raised Green Dot from a "hold" rating to a "buy" rating in a research note on Friday, June 6th. Barclays increased their price target on Green Dot from $7.00 to $10.00 and gave the stock an "underweight" rating in a research note on Monday, May 12th. Keefe, Bruyette & Woods lifted their price objective on shares of Green Dot from $11.00 to $12.00 and gave the company a "market perform" rating in a research note on Friday, July 11th. Finally, Zacks Research raised shares of Green Dot from a "hold" rating to a "strong-buy" rating in a report on Friday, August 22nd. Two analysts have rated the stock with a Strong Buy rating, two have given a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $13.00.

Green Dot Stock Up 0.1%

The company has a debt-to-equity ratio of 0.07, a quick ratio of 0.69 and a current ratio of 0.69. The company has a market cap of $759.67 million, a P/E ratio of -31.17 and a beta of 0.77. The stock has a 50 day moving average price of $11.68 and a 200 day moving average price of $9.65.

Green Dot (NYSE:GDOT - Get Free Report) last announced its earnings results on Monday, August 11th. The financial services provider reported $0.40 earnings per share for the quarter, beating the consensus estimate of $0.17 by $0.23. Green Dot had a positive return on equity of 9.93% and a negative net margin of 1.24%.The business had revenue of $501.16 million during the quarter, compared to analysts' expectations of $496.49 million. During the same quarter last year, the business posted $0.25 earnings per share. The company's quarterly revenue was up 23.9% on a year-over-year basis. Green Dot has set its FY 2025 guidance at 1.280-1.420 EPS. Research analysts expect that Green Dot Corporation will post 0.87 earnings per share for the current fiscal year.

Insider Activity at Green Dot

In related news, insider Christian Devin Ruppel sold 27,931 shares of the stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $12.39, for a total transaction of $346,065.09. Following the completion of the sale, the insider directly owned 226,656 shares of the company's stock, valued at $2,808,267.84. This represents a 10.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in GDOT. Arrowstreet Capital Limited Partnership grew its holdings in shares of Green Dot by 403.1% in the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 1,223,123 shares of the financial services provider's stock worth $13,185,000 after acquiring an additional 980,012 shares during the last quarter. Nuveen LLC purchased a new position in Green Dot in the 1st quarter worth about $5,901,000. Topline Capital Management LLC increased its stake in Green Dot by 7.2% in the 2nd quarter. Topline Capital Management LLC now owns 4,965,286 shares of the financial services provider's stock worth $53,526,000 after purchasing an additional 331,817 shares in the last quarter. Jane Street Group LLC increased its stake in Green Dot by 235.6% in the 1st quarter. Jane Street Group LLC now owns 447,546 shares of the financial services provider's stock worth $3,777,000 after purchasing an additional 314,208 shares in the last quarter. Finally, Nierenberg Investment Management Company Inc. increased its stake in Green Dot by 337.3% in the 2nd quarter. Nierenberg Investment Management Company Inc. now owns 339,110 shares of the financial services provider's stock worth $3,656,000 after purchasing an additional 261,555 shares in the last quarter. Institutional investors and hedge funds own 92.56% of the company's stock.

About Green Dot

Green Dot Corporation, a financial technology and registered bank holding company, provides various financial services to consumers and businesses in the United States. It operates through three segments: Consumer Services, Business to Business Services, and Money Movement Services. The company provides deposit account programs, including consumer and small business checking account products, network-branded reloadable prepaid debit cards and gift cards, and secured credit programs.