Green Dot (NYSE:GDOT) Trading Down 6.4% - Here's What Happened

Key Points

• Green Dot Corporation's stock price fell by 6.4% during mid-day trading, reaching a low of $13.29, with a significant decrease in trading volume.
• Analysts have mixed ratings for Green Dot, with recent upgrades leading to an average rating of "Moderate Buy" and a consensus target price of $13.00.
• The company reported a 23.9% year-over-year increase in revenue in its latest quarterly earnings, surpassing analyst expectations with earnings per share of $0.40 compared to the consensus estimate of $0.17.

Green Dot Corporation (NYSE:GDOT - Get Free Report)'s share price fell 6.4% during mid-day trading on Tuesday . The stock traded as low as $13.29 and last traded at $13.30. 581,099 shares traded hands during mid-day trading, a decline of 31% from the average session volume of 844,869 shares. The stock had previously closed at $14.21.

Analyst Ratings Changes

Several research firms have recently issued reports on GDOT. Keefe, Bruyette & Woods raised their target price on shares of Green Dot from $11.00 to $12.00 and gave the stock a "market perform" rating in a report on Friday, July 11th. Zacks Research upgraded shares of Green Dot from a "hold" rating to a "strong-buy" rating in a report on Friday, August 22nd. Wall Street Zen upgraded shares of Green Dot from a "hold" rating to a "buy" rating in a report on Friday, June 6th. Finally, Northland Securities set a $16.00 target price on shares of Green Dot in a report on Tuesday, August 12th. Two equities research analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $13.00.

Green Dot Stock Down 5.6%

The company has a current ratio of 0.69, a quick ratio of 0.69 and a debt-to-equity ratio of 0.07. The firm has a market cap of $743.37 million, a PE ratio of -30.50 and a beta of 0.77. The business's 50-day simple moving average is $12.78 and its 200 day simple moving average is $10.41.

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

Insider Activity at Green Dot

In related news, insider Christian Devin Ruppel sold 27,931 shares of the business's 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 transaction, the insider owned 226,656 shares in the company, valued at $2,808,267.84. The trade was a 10.97% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 1.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Virtus Advisers LLC bought a new position in shares of Green Dot during the 2nd quarter worth approximately $33,000. Brooklyn Investment Group raised its stake in shares of Green Dot by 350,400.0% during the 1st quarter. Brooklyn Investment Group now owns 3,505 shares of the financial services provider's stock worth $30,000 after acquiring an additional 3,504 shares in the last quarter. Ameritas Investment Partners Inc. grew its position in Green Dot by 18.6% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 5,478 shares of the financial services provider's stock worth $59,000 after purchasing an additional 861 shares during the last quarter. GAMMA Investing LLC grew its position in Green Dot by 152.0% during the 1st quarter. GAMMA Investing LLC now owns 5,663 shares of the financial services provider's stock worth $48,000 after purchasing an additional 3,416 shares during the last quarter. Finally, Tower Research Capital LLC TRC grew its position in Green Dot by 23.1% during the 2nd quarter. Tower Research Capital LLC TRC now owns 6,504 shares of the financial services provider's stock worth $70,000 after purchasing an additional 1,221 shares during the last quarter. Institutional investors 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.

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