Sezzle (NASDAQ:SEZL) Shares Down 5.2% - Should You Sell?

Sezzle Inc. (NASDAQ:SEZL - Get Free Report)'s stock price dropped 5.2% during trading on Tuesday . The company traded as low as $170.46 and last traded at $172.09. Approximately 335,172 shares were traded during trading, a decline of 60% from the average daily volume of 828,685 shares. The stock had previously closed at $181.50.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on the stock. Wall Street Zen cut shares of Sezzle from a "strong-buy" rating to a "buy" rating in a research report on Thursday, May 22nd. Oppenheimer upped their price objective on shares of Sezzle from $168.00 to $202.00 and gave the company an "outperform" rating in a research note on Wednesday, July 2nd. Four investment analysts have rated the stock with a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Buy" and an average price target of $108.28.

Sezzle Trading Down 7.6%

The company has a quick ratio of 2.62, a current ratio of 2.62 and a debt-to-equity ratio of 0.56. The firm's fifty day moving average is $117.46 and its two-hundred day moving average is $68.22. The firm has a market cap of $5.59 billion, a P/E ratio of 56.68 and a beta of 9.16.

Sezzle declared that its Board of Directors has initiated a stock repurchase plan on Monday, March 10th that authorizes the company to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 4.3% of its stock through open market purchases. Stock buyback plans are typically a sign that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling

In other Sezzle news, CFO Karen Hartje sold 311,196 shares of Sezzle stock in a transaction that occurred on Thursday, May 8th. The stock was sold at an average price of $71.83, for a total transaction of $22,353,208.68. Following the sale, the chief financial officer directly owned 154,266 shares of the company's stock, valued at approximately $11,080,926.78. The trade was a 66.86% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, COO Amin Sabzivand sold 18,000 shares of the company's stock in a transaction that occurred on Tuesday, June 24th. The stock was sold at an average price of $157.31, for a total value of $2,831,580.00. Following the transaction, the chief operating officer owned 243,303 shares in the company, valued at $38,273,994.93. This trade represents a 6.89% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 489,608 shares of company stock valued at $41,660,224 over the last three months. Corporate insiders own 49.49% of the company's stock.

Hedge Funds Weigh In On Sezzle

A number of institutional investors have recently added to or reduced their stakes in SEZL. Bank of New York Mellon Corp grew its stake in shares of Sezzle by 28.0% in the fourth quarter. Bank of New York Mellon Corp now owns 6,304 shares of the company's stock worth $1,613,000 after acquiring an additional 1,378 shares during the last quarter. Charles Schwab Investment Management Inc. raised its holdings in Sezzle by 1.6% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 20,697 shares of the company's stock worth $5,294,000 after purchasing an additional 334 shares during the period. Arizona State Retirement System purchased a new position in Sezzle during the fourth quarter valued at approximately $207,000. Independent Advisor Alliance bought a new position in shares of Sezzle in the fourth quarter worth approximately $1,872,000. Finally, Prosperity Wealth Management Inc. purchased a new stake in shares of Sezzle in the fourth quarter worth $290,000. Institutional investors own 2.02% of the company's stock.

Sezzle Company Profile

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.

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