Northland Securities Decreases Earnings Estimates for Sezzle

Key Points

• Northland Securities lowered its Q2 2026 EPS estimate for Sezzle to $0.93 from $1.02, trimming its near-term earnings outlook for the buy now, pay later company.
• Despite that cut, Sezzle just beat Q1 expectations with EPS of $1.43 versus $1.24 expected and revenue of $135.5 million versus $127.7 million expected, with revenue up 29.2% year over year.
• Analyst sentiment remains mixed but generally constructive, with four Buy ratings and three Hold ratings and an average target price of $118, even as some firms recently adjusted price targets and ratings.

Sezzle Inc. (NASDAQ:SEZL - Free Report) - Equities researchers at Northland Securities lowered their Q2 2026 earnings per share (EPS) estimates for Sezzle in a research report issued on Wednesday, May 6th. Northland Securities analyst M. Grondahl now anticipates that the company will post earnings per share of $0.93 for the quarter, down from their prior forecast of $1.02. The consensus estimate for Sezzle's current full-year earnings is $5.09 per share.

Sezzle (NASDAQ:SEZL - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The company reported $1.43 earnings per share for the quarter, beating analysts' consensus estimates of $1.24 by $0.19. The business had revenue of $135.54 million during the quarter, compared to analysts' expectations of $127.74 million. Sezzle had a return on equity of 87.46% and a net margin of 30.83%.The business's revenue for the quarter was up 29.2% on a year-over-year basis. During the same quarter last year, the business posted $0.98 earnings per share. Sezzle has set its FY 2026 guidance at 5.100-5.100 EPS.

Other analysts have also issued research reports about the company. Zacks Research lowered Sezzle from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, April 28th. UBS Group set a $76.00 price objective on Sezzle in a research note on Tuesday, February 17th. TD Cowen reaffirmed a "hold" rating on shares of Sezzle in a research note on Thursday. Needham & Company LLC increased their price objective on Sezzle from $94.00 to $122.00 and gave the company a "buy" rating in a research note on Thursday. Finally, Keefe, Bruyette & Woods increased their price objective on Sezzle from $85.00 to $115.00 and gave the company an "outperform" rating in a research note on Thursday. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $118.00.

Sezzle Price Performance

SEZL opened at $96.34 on Monday. The company has a quick ratio of 3.65, a current ratio of 3.65 and a debt-to-equity ratio of 0.73. The firm has a market cap of $3.24 billion, a P/E ratio of 22.88 and a beta of 6.91. Sezzle has a 52 week low of $49.50 and a 52 week high of $186.74. The business's fifty day simple moving average is $72.33 and its 200 day simple moving average is $68.20.

Insider Transactions at Sezzle

In other Sezzle news, Director Paul Paradis sold 5,257 shares of the firm's stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $71.38, for a total value of $375,244.66. Following the sale, the director directly owned 482,505 shares of the company's stock, valued at approximately $34,441,206.90. This trade represents a 1.08% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Charles Youakim sold 7,185 shares of the firm's stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $71.38, for a total value of $512,865.30. Following the completion of the sale, the chief executive officer directly owned 12,332,279 shares in the company, valued at approximately $880,278,075.02. The trade was a 0.06% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 46,837 shares of company stock worth $3,615,409 in the last quarter. 49.49% of the stock is currently owned by corporate insiders.

Institutional Trading of Sezzle

A number of hedge funds have recently added to or reduced their stakes in the business. Madison Asset Management LLC boosted its stake in Sezzle by 101.6% in the 1st quarter. Madison Asset Management LLC now owns 62,838 shares of the company's stock worth $3,977,000 after buying an additional 31,673 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in Sezzle by 41.6% in the 1st quarter. Dimensional Fund Advisors LP now owns 458,222 shares of the company's stock worth $28,996,000 after buying an additional 134,714 shares during the last quarter. Independent Financial Group LLC acquired a new stake in Sezzle in the 1st quarter worth about $203,000. Illinois Municipal Retirement Fund acquired a new stake in Sezzle in the 1st quarter worth about $579,000. Finally, Principal Financial Group Inc. boosted its stake in Sezzle by 41.6% in the 1st quarter. Principal Financial Group Inc. now owns 247,407 shares of the company's stock worth $15,658,000 after buying an additional 72,626 shares during the last quarter. 2.02% of the stock is owned by institutional investors and hedge funds.

Sezzle News Roundup

Here are the key news stories impacting Sezzle this week:

• Positive Sentiment: Sezzle posted Q1 earnings of $1.43 per share versus $1.24 expected and revenue of $135.5 million versus $127.7 million expected, with revenue up 29.2% year over year. Article: Sezzle Inc. (SEZL) Tops Q1 Earnings and Revenue Estimates
• Positive Sentiment: Northland Securities raised its estimates for Sezzle, lifting FY2026 EPS to $5.10 from $4.70 and increasing Q3 and Q4 forecasts as well, signaling improving earnings momentum. Article: Northland Securities estimate updates for Sezzle
• Positive Sentiment: Other analysts also turned more constructive, with Needham raising its target to $122 and Keefe, Bruyette & Woods lifting its target to $115, both pointing to meaningful upside from current levels. Article: Sezzle price target raises
• Positive Sentiment: Recent coverage called Sezzle an “incredible growth stock” and a “great momentum stock,” which may help keep investor sentiment positive around the name. Article: Sezzle Inc. (SEZL) is an Incredible Growth Stock: 3 Reasons Why
• Neutral Sentiment: The company’s Q1 earnings call transcript and presentation are being reviewed by investors for additional clues on guidance, margins, and subscriber trends. Article: Sezzle Inc. (SEZL) Q1 2026 Earnings Call Transcript
• Negative Sentiment: Two law firms announced investigations into possible federal securities law violations, creating a headline risk that could weigh on the stock despite the strong operating results. Article: Sezzle Inc. NASDAQ: SEZL Investigated for Potential Federal Securities Laws Violations

About Sezzle

Sezzle Inc is a financial technology company specializing in buy now, pay later (BNPL) services that enable consumers to split purchases into interest-free installment payments. By integrating its platform with e-commerce merchants, Sezzle provides shoppers with flexible payment options at checkout while merchants benefit from increased conversion rates and average order values. The company's technology is designed to offer a seamless user experience, with instant approval decisions and no hidden fees, positions it as a consumer-friendly alternative to traditional credit products.

Founded in 2016 and headquartered in Minneapolis, Minnesota, Sezzle completed its initial public offering on the Nasdaq under the ticker SEZL.

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