Sezzle (NASDAQ:SEZL) Shares Gap Down - What's Next?

Key Points

• Sezzle Inc. shares gapped down from $89.10 to $86.68 prior to Thursday's trading, with a last trade at $86.81 and a volume of 196,264 shares.
• Analysts have mixed views on Sezzle, with Oppenheimer increasing its price target to $202.00 and TD Cowen issuing a "hold" rating with an $82.00 target, while the stock maintains a Moderate Buy rating from analysts.
• Sezzle reported earnings per share of $0.69, exceeding estimates, but fell short on revenue with $60.31 million compared to expected $93.33 million.

Sezzle Inc. (NASDAQ:SEZL - Get Free Report) shares gapped down before the market opened on Thursday . The stock had previously closed at $89.10, but opened at $86.68. Sezzle shares last traded at $86.81, with a volume of 196,264 shares changing hands.

Analyst Ratings Changes

SEZL has been the topic of a number of research analyst reports. Wall Street Zen cut shares of Sezzle from a "buy" rating to a "hold" rating in a research report on Saturday, August 16th. TD Cowen started coverage on shares of Sezzle in a research report on Thursday, September 11th. They set a "hold" rating and a $82.00 price objective on the stock. B. Riley lifted their price target on Sezzle from $101.00 to $111.00 and gave the company a "buy" rating in a research note on Monday, August 11th. Cowen started coverage on Sezzle in a research note on Thursday, September 11th. They set a "hold" rating for the company. Finally, Oppenheimer boosted their target price on Sezzle from $168.00 to $202.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 2nd. Three investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, Sezzle currently has an average rating of "Moderate Buy" and a consensus target price of $113.75.

Sezzle Price Performance

The company has a market cap of $3.02 billion, a P/E ratio of 30.44 and a beta of 9.02. The company has a current ratio of 3.51, a quick ratio of 3.51 and a debt-to-equity ratio of 1.00. The business's fifty day moving average is $115.71 and its 200 day moving average is $93.25.

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

Insider Transactions at Sezzle

In other news, COO Amin Sabzivand sold 18,000 shares of the company's stock in a transaction 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 transaction, the chief operating officer owned 243,303 shares of the company's stock, valued at approximately $38,273,994.93. This represents a 6.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Paul Paradis sold 3,000 shares of the company's stock in a transaction on Tuesday, July 1st. The stock was sold at an average price of $176.08, for a total transaction of $528,240.00. Following the completion of the transaction, the director directly owned 263,000 shares in the company, valued at approximately $46,309,040. The trade was a 1.13% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 62,484 shares of company stock valued at $9,612,690. 49.49% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. BNP PARIBAS ASSET MANAGEMENT Holding S.A. purchased a new position in Sezzle in the second quarter worth $29,000. Spire Wealth Management purchased a new position in Sezzle in the second quarter worth $32,000. Farther Finance Advisors LLC purchased a new position in Sezzle in the second quarter worth $33,000. Sound Income Strategies LLC purchased a new position in Sezzle in the second quarter worth $40,000. Finally, Nisa Investment Advisors LLC grew its position in Sezzle by 351.5% in the second quarter. Nisa Investment Advisors LLC now owns 298 shares of the company's stock worth $53,000 after acquiring an additional 232 shares in the last quarter. Institutional investors own 2.02% of the company's stock.

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.