Truist Financial Has Lowered Expectations for NerdWallet (NASDAQ:NRDS) Stock Price

Key Points

• Truist Financial cut its price target on NerdWallet from $18 to $15, while keeping a buy rating on the stock. The new target still implies significant upside from current levels.
• Other analysts have also turned more cautious, with several lowering their price targets and one major downgrade from Morgan Stanley. Overall, NerdWallet now carries a consensus rating of Hold and an average price target of $12.83.
• NerdWallet shares were down about 4.1% to $8.76 on Monday, even after the company recently beat earnings estimates with $0.29 EPS. Revenue came in below expectations, though it still rose 6.2% year over year.

NerdWallet (NASDAQ:NRDS - Get Free Report) had its target price cut by analysts at Truist Financial from $18.00 to $15.00 in a note issued to investors on Monday,Benzinga reports. The firm currently has a "buy" rating on the stock. Truist Financial's target price would indicate a potential upside of 71.21% from the stock's current price.

Other equities research analysts have also issued research reports about the stock. Citigroup dropped their price objective on shares of NerdWallet from $13.00 to $11.00 and set a "neutral" rating on the stock in a research note on Monday. KeyCorp dropped their price objective on shares of NerdWallet from $15.00 to $13.00 and set an "overweight" rating on the stock in a research note on Friday. Oppenheimer set a $12.00 price objective on shares of NerdWallet in a research note on Monday. Morgan Stanley lowered shares of NerdWallet from an "equal weight" rating to an "underweight" rating and dropped their price objective for the stock from $14.00 to $9.00 in a research note on Friday, March 13th. Finally, Zacks Research downgraded shares of NerdWallet from a "hold" rating to a "strong sell" rating in a research note on Monday, May 4th. Four investment analysts have rated the stock with a Buy rating, two have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $12.83.

NerdWallet Stock Down 4.1%

Shares of NRDS traded down $0.38 during trading hours on Monday, reaching $8.76. 436,731 shares of the company traded hands, compared to its average volume of 891,222. The company's fifty day moving average price is $10.61 and its two-hundred day moving average price is $12.09. The company has a market capitalization of $585.15 million, a price-to-earnings ratio of 9.42 and a beta of 1.34. NerdWallet has a 12 month low of $8.42 and a 12 month high of $16.24.

NerdWallet (NASDAQ:NRDS - Get Free Report) last announced its earnings results on Wednesday, May 6th. The company reported $0.29 earnings per share for the quarter, beating analysts' consensus estimates of $0.25 by $0.04. NerdWallet had a net margin of 8.11% and a return on equity of 18.33%. The firm had revenue of $222.20 million for the quarter, compared to analyst estimates of $227.63 million. The business's revenue was up 6.2% compared to the same quarter last year. On average, analysts expect that NerdWallet will post 0.85 EPS for the current year.

Insider Buying and Selling

In other NerdWallet news, CAO Nicholas Tatum sold 10,151 shares of the company's stock in a transaction that occurred on Thursday, March 5th. The shares were sold at an average price of $11.45, for a total transaction of $116,228.95. Following the completion of the sale, the chief accounting officer directly owned 47,202 shares of the company's stock, valued at approximately $540,462.90. This represents a 17.70% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Samuel Yount sold 71,988 shares of the company's stock in a transaction that occurred on Tuesday, March 17th. The shares were sold at an average price of $10.32, for a total transaction of $742,916.16. Following the sale, the insider directly owned 173,973 shares of the company's stock, valued at approximately $1,795,401.36. This represents a 29.27% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 86,043 shares of company stock valued at $901,317. 52.75% of the stock is owned by corporate insiders.

Institutional Trading of NerdWallet

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Tudor Investment Corp ET AL purchased a new stake in shares of NerdWallet in the third quarter worth $2,812,000. Y Intercept Hong Kong Ltd increased its stake in shares of NerdWallet by 44.0% in the third quarter. Y Intercept Hong Kong Ltd now owns 178,894 shares of the company's stock worth $1,925,000 after purchasing an additional 54,626 shares in the last quarter. JPMorgan Chase & Co. increased its stake in shares of NerdWallet by 400.7% in the third quarter. JPMorgan Chase & Co. now owns 98,023 shares of the company's stock worth $1,055,000 after purchasing an additional 78,447 shares in the last quarter. SG Americas Securities LLC increased its stake in shares of NerdWallet by 220.3% in the third quarter. SG Americas Securities LLC now owns 40,523 shares of the company's stock worth $436,000 after purchasing an additional 27,873 shares in the last quarter. Finally, Tower Research Capital LLC TRC increased its stake in shares of NerdWallet by 37.1% in the second quarter. Tower Research Capital LLC TRC now owns 3,893 shares of the company's stock worth $43,000 after purchasing an additional 1,054 shares in the last quarter. 38.81% of the stock is owned by hedge funds and other institutional investors.

About NerdWallet

NerdWallet NASDAQ: NRDS is a personal finance company that offers independent guidance and comparison tools to help consumers make informed financial decisions. Through its website and mobile application, NerdWallet provides a wide range of content, including articles, calculators and reviews covering credit cards, mortgages, personal loans, banking products, investing, insurance and taxes. The platform aggregates partner offers to enable side-by-side comparisons, while editorially maintaining objectivity to support users in identifying the products that best suit their individual needs.

Founded in 2009 by Tim Chen and Jacob Gibson, NerdWallet is headquartered in San Francisco and serves consumers primarily in the United States, with additional localized offerings in Canada and the United Kingdom.

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