Sezzle (NASDAQ:SEZL) Rating Lowered to "Hold" at Zacks Research

Key Points

• Zacks Research downgraded Sezzle (NASDAQ:SEZL) from a "strong‑buy" to a "hold," while analyst coverage remains mixed with a MarketBeat consensus of "Moderate Buy" and an average price target of $108.33.
• Sezzle beat estimates for the quarter—EPS $1.21 vs. $0.96 and revenue $129.9M (up 32.3% YoY)—and set FY2026 guidance of 4.350–4.700 EPS (analysts forecast ~4.7 EPS).
• Insider selling accelerated recently (about 46,837 shares worth ~$3.6M over three months, including sales by CEO Charles Youakim), though insiders still hold roughly 49.49% of the stock.

Sezzle (NASDAQ:SEZL - Get Free Report) was downgraded by research analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a report released on Tuesday,Zacks.com reports.

SEZL has been the subject of several other research reports. Keefe, Bruyette & Woods started coverage on Sezzle in a research note on Monday, April 6th. They issued an "outperform" rating and a $85.00 target price for the company. TD Cowen decreased their price objective on Sezzle from $83.00 to $82.00 and set a "hold" rating on the stock in a report on Thursday, January 8th. UBS Group set a $76.00 price target on Sezzle in a research note on Tuesday, February 17th. Weiss Ratings reissued a "hold (c+)" rating on shares of Sezzle in a research note on Monday, December 29th. Finally, Needham & Company LLC restated a "buy" rating and set a $94.00 price target (up from $85.00) on shares of Sezzle in a research report on Thursday, February 26th. Four analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $108.33.

Sezzle Trading Down 5.8%

Shares of Sezzle stock opened at $76.54 on Tuesday. Sezzle has a 1 year low of $47.00 and a 1 year high of $186.74. The firm has a market cap of $2.59 billion, a PE ratio of 20.47 and a beta of 8.14. The stock has a fifty day moving average price of $70.19 and a 200-day moving average price of $67.96. The company has a debt-to-equity ratio of 0.82, a current ratio of 3.92 and a quick ratio of 3.92.

Sezzle (NASDAQ:SEZL - Get Free Report) last announced its earnings results on Wednesday, February 25th. The company reported $1.21 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.96 by $0.25. Sezzle had a return on equity of 88.61% and a net margin of 29.57%.The firm had revenue of $129.87 million during the quarter, compared to analyst estimates of $128.29 million. The firm's quarterly revenue was up 32.3% on a year-over-year basis. Sezzle has set its FY 2026 guidance at 4.350-4.700 EPS. Equities research analysts anticipate that Sezzle will post 4.7 EPS for the current year.

Insider Activity

In related news, CEO Charles Youakim sold 7,185 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $71.38, for a total transaction of $512,865.30. Following the completion of the sale, the chief executive officer owned 12,332,279 shares in the company, valued at approximately $880,278,075.02. This trade represents a 0.06% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Justin Krause sold 1,404 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $71.38, for a total value of $100,217.52. Following the sale, the senior vice president owned 80,909 shares of the company's stock, valued at $5,775,284.42. This represents a 1.71% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 46,837 shares of company stock valued at $3,615,409 in the last three months. 49.49% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Sezzle

Several institutional investors have recently added to or reduced their stakes in SEZL. Blue Trust Inc. lifted its stake in shares of Sezzle by 24.1% in the 1st quarter. Blue Trust Inc. now owns 905 shares of the company's stock valued at $57,000 after purchasing an additional 176 shares during the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al boosted its holdings in shares of Sezzle by 8.3% in the 3rd quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 2,600 shares of the company's stock worth $207,000 after purchasing an additional 200 shares during the period. Larson Financial Group LLC boosted its holdings in shares of Sezzle by 35.4% in the 3rd quarter. Larson Financial Group LLC now owns 795 shares of the company's stock worth $63,000 after purchasing an additional 208 shares during the period. Allworth Financial LP boosted its holdings in shares of Sezzle by 38.5% in the 3rd quarter. Allworth Financial LP now owns 859 shares of the company's stock worth $68,000 after purchasing an additional 239 shares during the period. Finally, Covestor Ltd boosted its holdings in shares of Sezzle by 109.4% in the 4th quarter. Covestor Ltd now owns 490 shares of the company's stock worth $31,000 after purchasing an additional 256 shares during the period. Hedge funds and other institutional investors own 2.02% of the company's stock.

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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