Green Dot (NYSE:GDOT) Rating Increased to Buy at Zacks Investment Research
Green Dot (NYSE:GDOT) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Tuesday, Zacks.com reports. The firm currently has a $52.00 target price on the financial services provider’s stock. Zacks Investment Research‘s target price suggests a potential upside of 6.91% from the stock’s current price.
According to Zacks, “Green Dot’s long-term strategic plan to be a ‘New Kind of Bank’ is leading to impressive results. Strength across established product lines and BaaS platform programs act as key growth catalysts. The company’s Banking as a Service or BaaS platform programs are growing very quickly and contributing significantly to its GDV growth, active card growth and revenue growth. Its extended relationship with Walmart is another growth catalyst. Despite such positives, Green Dot faces tough competition from companies across financial services, financial technology services, retail banking, transaction processing and consumer technology industries. It experiences fluctuation in revenues due to seasonal factors. The company does not have any plans to pay cash dividends on common stock. Green Dot’s stock has declined in the past year.”
A number of other brokerages have also weighed in on GDOT. Northland Securities restated a “buy” rating and issued a $55.00 target price on shares of Heron Therapeutics in a research note on Thursday, May 9th. Keefe, Bruyette & Woods upgraded Green Dot from a “market perform” rating to an “outperform” rating in a research note on Monday, April 1st. Craig Hallum decreased their target price on Green Dot from $115.00 to $100.00 and set a “buy” rating on the stock in a research note on Thursday, May 9th. Loop Capital restated a “buy” rating and issued a $75.00 target price on shares of Green Dot in a research note on Thursday, May 9th. Finally, Needham & Company LLC restated a “buy” rating and issued a $26.00 target price (down from $27.00) on shares of Nlight in a research note on Thursday, May 9th. One analyst has rated the stock with a sell rating, five have assigned a hold rating and eight have given a buy rating to the company’s stock. The company has a consensus rating of “Buy” and a consensus target price of $81.21.
Green Dot (NYSE:GDOT) last released its quarterly earnings data on Wednesday, May 8th. The financial services provider reported $1.32 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.22 by $0.10. The company had revenue of $340.51 million for the quarter, compared to analyst estimates of $330.17 million. Green Dot had a return on equity of 15.74% and a net margin of 10.56%. The firm’s revenue for the quarter was up 6.3% compared to the same quarter last year. During the same period in the previous year, the company posted $1.40 EPS. As a group, equities analysts anticipate that Green Dot will post 2.11 earnings per share for the current year.
In other news, insider Konrad Alt sold 919 shares of the company’s stock in a transaction dated Wednesday, May 1st. The stock was sold at an average price of $64.15, for a total value of $58,953.85. Following the completion of the transaction, the insider now directly owns 77,643 shares in the company, valued at approximately $4,980,798.45. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Mark L. Shifke sold 1,250 shares of the company’s stock in a transaction dated Monday, May 6th. The stock was sold at an average price of $65.11, for a total value of $81,387.50. Following the completion of the transaction, the chief financial officer now owns 591,740 shares of the company’s stock, valued at $38,528,191.40. The disclosure for this sale can be found here. Insiders sold a total of 21,657 shares of company stock valued at $1,177,363 over the last quarter. Company insiders own 7.80% of the company’s stock.
A number of hedge funds have recently modified their holdings of the stock. Tortoise Index Solutions LLC bought a new position in Green Dot during the 1st quarter valued at approximately $43,000. Manchester Capital Management LLC bought a new position in Green Dot during the 1st quarter valued at approximately $53,000. FNY Investment Advisers LLC raised its position in Green Dot by 708.8% during the 1st quarter. FNY Investment Advisers LLC now owns 1,100 shares of the financial services provider’s stock valued at $66,000 after purchasing an additional 964 shares during the last quarter. Stephens Inc. AR bought a new position in Green Dot during the 1st quarter valued at approximately $105,000. Finally, Quantamental Technologies LLC bought a new position in Green Dot during the 1st quarter valued at approximately $174,000. Institutional investors own 86.34% of the company’s stock.
Green Dot Company Profile
Green Dot Corporation operates as a financial technology and bank holding company in the United States. It operates in two segments, Account Services, and Processing and Settlement Services. The company offers deposit account programs, such network-branded reloadable prepaid debit cards under the consumer brand names of GPR cards, consumer and small business checking accounts, network-branded gift cards, secured credit cards, and other financial services.
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