ZipRecruiter (NYSE:ZIP) Stock Price Down 5% - Here's Why

Key Points

• ZipRecruiter shares fell 5% on Wednesday, closing near $6.26; trading volume was about 10% above its daily average.
• The company beat quarterly earnings expectations, and its fourth-quarter revenue guidance of $118 million–$122 million exceeded analysts’ consensus estimate of roughly $115.8 million.
• Analysts remain broadly neutral: UBS and Goldman Sachs set $5 price targets, below the recent share price, while company insiders have reported stock sales.

ZipRecruiter, Inc. (NYSE:ZIP - Get Free Report)'s share price traded down 5% during trading on Wednesday. The stock traded as low as $6.20 and last traded at $6.2620. 1,094,127 shares were traded during trading, an increase of 10% from the average daily volume of 994,146 shares. The stock had previously closed at $6.59.

Key ZipRecruiter News

Investors following ZIP have been watching these news items:

• Positive Sentiment: Fourth-quarter revenue guidance of $118 million to $122 million came in above the roughly $115.8 million consensus estimate, indicating management expects growth to continue. ZipRecruiter Q3 2026 earnings call transcript
• Neutral Sentiment: Shares crossed above their 50-day moving average, a potentially constructive technical signal, though the report also noted insider selling. ZipRecruiter stock price crosses above 50-day moving average following insider selling
• Negative Sentiment: UBS raised its price target from $4.50 to $5.00 but maintained a neutral rating; the target is below the recent trading price and could temper optimism after the earnings-driven rally. UBS Group stock recommendations

Analysts Set New Price Targets

Several analysts recently issued reports on ZIP shares. The Goldman Sachs Group upped their price target on shares of ZipRecruiter from $3.50 to $5.00 and gave the company a "neutral" rating in a report on Thursday, August 6th. UBS Group raised their target price on ZipRecruiter from $4.50 to $5.00 and gave the company a "neutral" rating in a research report on Tuesday. Wall Street Zen lowered ZipRecruiter from a "strong-buy" rating to a "buy" rating in a research note on Saturday. Finally, Weiss Ratings upgraded shares of ZipRecruiter from a "hold (c-)" rating to a "hold (c)" rating in a report on Tuesday, October 27th. Four analysts have rated the stock with a Hold rating. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $4.33.

ZipRecruiter Trading Down 8.7%

The stock has a market capitalization of $494.53 million, a price-to-earnings ratio of 11.49 and a beta of 1.54. The company has a fifty day moving average of $4.09 and a two-hundred day moving average of $3.41.

ZipRecruiter (NYSE:ZIP - Get Free Report) last announced its earnings results on Monday, November 9th. The company reported $0.06 earnings per share for the quarter, beating the consensus estimate of ($0.11) by $0.17. The business had revenue of $124.44 million for the quarter. As a group, sell-side analysts predict that ZipRecruiter, Inc. will post -0.26 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, President David Travers sold 24,705 shares of the business's stock in a transaction on Friday, September 18th. The shares were sold at an average price of $3.66, for a total value of $90,420.30. Following the sale, the president owned 1,252,219 shares in the company, valued at approximately $4,583,121.54. The trade was a 1.93% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Ian Siegel sold 34,978 shares of ZipRecruiter stock in a transaction that occurred on Friday, September 18th. The shares were sold at an average price of $3.67, for a total transaction of $128,369.26. Following the completion of the transaction, the chief executive officer owned 218,895 shares of the company's stock, valued at $803,344.65. This trade represents a 13.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 151,318 shares of company stock valued at $608,431 in the last ninety days. Insiders own 19.85% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. Militia Capital Management LLC acquired a new stake in shares of ZipRecruiter during the first quarter worth $399,000. Readystate Asset Management LP acquired a new stake in shares of ZipRecruiter during the first quarter worth $347,000. Renaissance Technologies LLC lifted its holdings in shares of ZipRecruiter by 3.4% in the first quarter. Renaissance Technologies LLC now owns 1,920,900 shares of the company's stock valued at $3,534,000 after purchasing an additional 62,900 shares in the last quarter. Sei Investments Co. bought a new position in shares of ZipRecruiter during the 1st quarter worth approximately $140,000. Finally, Varde Management L.P. lifted its position in ZipRecruiter by 6.9% during the 2nd quarter. Varde Management L.P. now owns 371,456 shares of the company's stock worth $1,393,000 after buying an additional 23,929 shares in the last quarter. 70.55% of the stock is currently owned by institutional investors and hedge funds.

About ZipRecruiter

ZipRecruiter, Inc. operates an online employment marketplace that connects businesses with job seekers. Its platform enables employers to create and distribute job postings across a broad network of online channels, while helping candidates search for available positions and apply for roles. The company uses technology and matching tools to recommend relevant candidates to employers and suitable job opportunities to job seekers. Its services are designed for businesses of various sizes, including small and midsize employers, as well as staffing firms and larger organizations.

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