Wall Street Zen Upgrades CLEAR Secure (NYSE:YOU) to "Buy"

Key Points

• Wall Street Zen upgraded CLEAR Secure from “hold” to “buy,” adding to a generally positive analyst backdrop that now includes a consensus rating of Moderate Buy and an average price target of $60.
• The company beat quarterly expectations, reporting EPS of $0.38 versus $0.35 expected and revenue of $253.0 million versus $244.38 million expected, with revenue up 19.7% year over year.
• Despite the upbeat results, the stock was down 2.6% and several recent insider sales and mixed analyst views suggest some caution remains around valuation and upside from current levels.

CLEAR Secure (NYSE:YOU - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research note issued on Saturday.

A number of other research firms have also recently commented on YOU. Zacks Research raised CLEAR Secure from a "hold" rating to a "strong-buy" rating in a report on Monday, April 20th. Wells Fargo & Company boosted their price target on CLEAR Secure from $33.00 to $40.00 and gave the stock an "underweight" rating in a report on Thursday. JPMorgan Chase & Co. boosted their price target on CLEAR Secure from $42.00 to $47.00 and gave the stock an "overweight" rating in a report on Thursday, February 26th. Needham & Company LLC boosted their price target on CLEAR Secure from $60.00 to $70.00 and gave the stock a "buy" rating in a report on Wednesday. Finally, Telsey Advisory Group boosted their price target on CLEAR Secure from $62.00 to $68.00 and gave the stock an "outperform" rating in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $60.00.

CLEAR Secure Stock Down 2.6%

YOU stock opened at $56.65 on Friday. CLEAR Secure has a twelve month low of $23.88 and a twelve month high of $61.68. The stock has a market cap of $7.55 billion, a P/E ratio of 45.68 and a beta of 1.09. The business's 50-day moving average price is $50.71 and its 200-day moving average price is $40.19.

CLEAR Secure (NYSE:YOU - Get Free Report) last posted its quarterly earnings data on Wednesday, May 6th. The company reported $0.38 earnings per share for the quarter, beating analysts' consensus estimates of $0.35 by $0.03. CLEAR Secure had a return on equity of 68.98% and a net margin of 13.01%.The firm had revenue of $253.00 million for the quarter, compared to analysts' expectations of $244.38 million. During the same period in the previous year, the firm earned $0.26 EPS. The business's quarterly revenue was up 19.7% on a year-over-year basis. On average, equities research analysts expect that CLEAR Secure will post 1.62 earnings per share for the current fiscal year.

Insider Transactions at CLEAR Secure

In other news, Director Adam Wiener sold 15,000 shares of the company's stock in a transaction that occurred on Thursday, February 26th. The stock was sold at an average price of $50.00, for a total transaction of $750,000.00. Following the sale, the director directly owned 132,634 shares of the company's stock, valued at $6,631,700. This represents a 10.16% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Lynn Haaland sold 11,064 shares of the company's stock in a transaction that occurred on Tuesday, March 3rd. The stock was sold at an average price of $47.44, for a total value of $524,876.16. Following the sale, the insider directly owned 7,375 shares in the company, valued at $349,870. This trade represents a 60.00% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 97,488 shares of company stock valued at $4,579,078 over the last 90 days. Insiders own 39.73% of the company's stock.

Institutional Trading of CLEAR Secure

Several hedge funds and other institutional investors have recently bought and sold shares of YOU. Durable Capital Partners LP raised its holdings in CLEAR Secure by 153.1% during the 2nd quarter. Durable Capital Partners LP now owns 7,490,351 shares of the company's stock valued at $207,932,000 after buying an additional 4,531,161 shares during the period. Jacobs Levy Equity Management Inc. raised its holdings in CLEAR Secure by 6,038.7% during the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 1,463,717 shares of the company's stock valued at $48,859,000 after buying an additional 1,439,873 shares during the period. Squarepoint Ops LLC raised its holdings in CLEAR Secure by 4,573.0% during the 2nd quarter. Squarepoint Ops LLC now owns 929,033 shares of the company's stock valued at $25,790,000 after buying an additional 909,152 shares during the period. Norges Bank purchased a new stake in CLEAR Secure during the 4th quarter valued at $29,500,000. Finally, Jupiter Asset Management Ltd. raised its holdings in CLEAR Secure by 260.8% during the 4th quarter. Jupiter Asset Management Ltd. now owns 879,039 shares of the company's stock valued at $30,837,000 after buying an additional 635,400 shares during the period. Hedge funds and other institutional investors own 73.80% of the company's stock.

Key Headlines Impacting CLEAR Secure

Here are the key news stories impacting CLEAR Secure this week:

• Positive Sentiment: Telsey Advisory Group raised its price target on CLEAR Secure to $68 from $62 and kept an outperform rating, signaling confidence in further upside after the company’s recent results.
• Positive Sentiment: The company reported Q1 earnings above estimates, with EPS of $0.38 versus $0.35 expected and revenue of $253.0 million versus $244.38 million expected, showing continued growth of 19.7% year over year.
• Neutral Sentiment: CLEAR Secure announced a quarterly dividend of $0.15 per share, which may support investor interest but is not likely the main driver of the stock’s move.
• Negative Sentiment: DA Davidson downgraded CLEAR Secure from strong-buy to hold, even though it set a $60 price target, suggesting the stock may be nearing fair value after its recent rally.
• Negative Sentiment: Wells Fargo raised its price target to $40 but maintained an underweight rating, indicating continued concern about the stock’s valuation and downside risk relative to current levels.

CLEAR Secure Company Profile

CLEAR Secure, Inc operates a biometric identity platform designed to expedite identity verification for air travelers and venue guests. The company’s core offering is the CLEAR membership service, which uses fingerprint and iris scans to confirm a member’s identity and provide access to dedicated security lanes at participating airports. Members link government-issued IDs and personal biometric data via the CLEAR app, enabling faster processing through Transportation Security Administration (TSA) checkpoints and select event entrances.

Founded in 2010 by Caryn Seidman‐Becker and Ken Cornick, CLEAR is headquartered in New York City.

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