Sezzle (NASDAQ:SEZL) Issues FY 2025 Earnings Guidance

Key Points

• Sezzle provided FY 2025 earnings guidance of EPS between 3.250-3.250 and revenue of $433.8 million-$447.4 million, both slightly below consensus estimates.
• Several brokerages have updated their ratings on Sezzle, with B. Riley increasing the target price to $111.00 while Oppenheimer raised its target to $202.00.
• Institutional investors significantly increased their positions in Sezzle, with Goldman Sachs raising its stake by 1,068.2% in the first quarter.

Sezzle (NASDAQ:SEZL - Get Free Report) updated its FY 2025 earnings guidance on Friday. The company provided EPS guidance of 3.250-3.250 for the period, compared to the consensus EPS estimate of 3.260. The company issued revenue guidance of $433.8 million-$447.4 million, compared to the consensus revenue estimate of $441.8 million.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Oppenheimer raised their price objective on Sezzle from $168.00 to $202.00 and gave the company an "outperform" rating in a research report on Wednesday, July 2nd. B. Riley lifted their target price on Sezzle from $101.00 to $111.00 and gave the stock a "buy" rating in a research report on Monday, August 11th. Finally, Wall Street Zen lowered Sezzle from a "buy" rating to a "hold" rating in a research report on Saturday. Three analysts have rated the stock with a Buy rating, According to MarketBeat, the company presently has an average rating of "Buy" and a consensus target price of $124.33.

Sezzle Stock Down 2.2%

NASDAQ:SEZL traded down $1.93 during mid-day trading on Wednesday, reaching $86.92. The stock had a trading volume of 468,628 shares, compared to its average volume of 1,057,775. The company has a market capitalization of $2.96 billion, a price-to-earnings ratio of 29.78 and a beta of 9.09. Sezzle has a 1-year low of $19.89 and a 1-year high of $186.74. The stock's 50 day simple moving average is $140.87 and its two-hundred day simple moving average is $87.38. The company has a debt-to-equity ratio of 1.00, a current ratio of 3.51 and a quick ratio of 3.51.

Sezzle (NASDAQ:SEZL - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported $0.69 EPS for the quarter, topping analysts' consensus estimates of $0.58 by $0.11. The business had revenue of $60.31 million during the quarter, compared to the consensus estimate of $93.33 million. Sezzle had a return on equity of 102.90% and a net margin of 28.13%. Equities analysts anticipate that Sezzle will post 9.77 EPS for the current year.

Insider Buying and Selling

In other Sezzle news, Director Paul Paradis sold 3,000 shares of Sezzle stock in a transaction that occurred on Tuesday, June 24th. The stock was sold at an average price of $148.62, for a total value of $445,860.00. Following the completion of the transaction, the director directly owned 266,000 shares in the company, valued at $39,532,920. The trade was a 1.12% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, COO Amin Sabzivand sold 18,000 shares of Sezzle stock in a transaction that occurred on Tuesday, June 24th. The shares were sold at an average price of $157.31, for a total value of $2,831,580.00. Following the completion of the transaction, the chief operating officer owned 243,303 shares of the company's stock, valued at approximately $38,273,994.93. The trade was a 6.89% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 83,696 shares of company stock worth $12,092,325. Corporate insiders own 49.49% of the company's stock.

Hedge Funds Weigh In On Sezzle

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Corient Private Wealth LLC acquired a new position in Sezzle in the second quarter valued at approximately $391,000. Vident Advisory LLC boosted its stake in Sezzle by 2.7% in the second quarter. Vident Advisory LLC now owns 22,422 shares of the company's stock valued at $4,019,000 after acquiring an additional 594 shares during the period. Oxford Asset Management LLP acquired a new position in shares of Sezzle during the second quarter worth approximately $358,000. Orion Porfolio Solutions LLC acquired a new position in shares of Sezzle during the second quarter worth approximately $325,000. Finally, HRT Financial LP acquired a new position in shares of Sezzle during the second quarter worth approximately $10,285,000. 2.02% of the stock is currently owned by institutional investors and hedge funds.

About Sezzle

Sezzle Inc operates as a technology-enabled payments company primarily in the United States and Canada. The company provides payment solution in-store and at online retail stores; and through proprietary payments solution that connects consumers with merchants. It also offers Sezzle Platform that provides a payments solution for consumers that extends credit at the point-of-sale allowing consumers to purchase and receive the ordered merchandise at the time of sale while paying in installments over time; Pay-in-Four, which allows consumers to pay a fourth of the purchase price up front and then another fourth of the purchase price every two weeks thereafter over a total of six weeks; Pay-in-Full that allows consumers to pay for the full value of their order up-front through the Sezzle Platform without the extension of credit; and Pay-in-Two and other alternative installment options, which allow consumer to pay half of the value of their order up-front and the second half in two weeks.