Wall Street Zen Downgrades Dave (NASDAQ:DAVE) to Hold

Dave (NASDAQ:DAVE) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Saturday.

Several other equities analysts also recently commented on the company. Keefe, Bruyette & Woods increased their price target on Dave from $250.00 to $295.00 and gave the company an “outperform” rating in a report on Tuesday. B. Riley Financial boosted their price objective on shares of Dave from $297.00 to $303.00 and gave the stock a “buy” rating in a research note on Tuesday. Lake Street Capital upped their price objective on shares of Dave from $308.00 to $326.00 and gave the stock a “buy” rating in a report on Tuesday. Canaccord Genuity Group raised their target price on shares of Dave from $274.00 to $328.00 and gave the company a “buy” rating in a research note on Tuesday. Finally, Barrington Research reiterated an “outperform” rating and issued a $290.00 target price on shares of Dave in a report on Monday, March 2nd. One equities research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $312.13.

Dave Trading Down 0.4%

Dave stock opened at $217.33 on Friday. The company has a market capitalization of $2.93 billion, a P/E ratio of 16.10 and a beta of 3.86. The firm’s fifty day simple moving average is $193.29 and its 200-day simple moving average is $206.82. Dave has a 1-year low of $65.46 and a 1-year high of $286.45.

Dave declared that its board has approved a stock buyback program on Monday, March 2nd that authorizes the company to buyback $300.00 million in shares. This buyback authorization authorizes the fintech company to reacquire up to 11.2% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity at Dave

In other news, Director Imran Khan sold 1,146 shares of the company’s stock in a transaction dated Thursday, December 18th. The shares were sold at an average price of $204.00, for a total value of $233,784.00. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. In the last 90 days, insiders have sold 97,771 shares of company stock valued at $19,194,391. 28.48% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Dave

Institutional investors and hedge funds have recently bought and sold shares of the business. Teacher Retirement System of Texas acquired a new stake in Dave in the 2nd quarter valued at about $377,000. Sigma Planning Corp bought a new stake in shares of Dave during the second quarter valued at approximately $425,000. Bank of New York Mellon Corp grew its stake in shares of Dave by 29.1% during the second quarter. Bank of New York Mellon Corp now owns 34,992 shares of the fintech company’s stock valued at $9,392,000 after purchasing an additional 7,893 shares during the last quarter. Savant Capital LLC acquired a new stake in shares of Dave in the second quarter valued at approximately $681,000. Finally, Penserra Capital Management LLC acquired a new stake in shares of Dave in the second quarter valued at approximately $3,221,000. Institutional investors and hedge funds own 18.01% of the company’s stock.

Dave News Roundup

Here are the key news stories impacting Dave this week:

• Positive Sentiment: Company priced a $175M 0% convertible senior notes offering and will use net proceeds to repurchase about 334,000 shares (~$70.5M) and to fund capped calls that limit dilution — this is supportive of near-term EPS/price support. Convertible Notes & Repurchase Release
• Positive Sentiment: Multiple brokerages raised price targets and issued upgrades in recent days (including Keefe, Lake Street, B. Riley, Canaccord), and third‑party coverage shows a consensus “Moderate Buy” — analysts expect upside versus current levels. Analyst Coverage Summary
• Positive Sentiment: Company reiterated/expanded share repurchase activity (public reports of a broader buyback program), signaling management intent to support the stock. Buyback Announcement
• Neutral Sentiment: Management entered capped call transactions that raise the effective conversion premium to 100% — these reduce dilution risk on conversion but include a high cap price (limits upside benefit to holders). Capped Call Details
• Negative Sentiment: The convertible notes increase the company’s debt obligations (0% coupons but senior unsecured debt) and create potential future dilution if conversion occurs; some investors view financing via convertibles and buybacks as a trade-off vs. investing in growth. Convertible Offering Analysis
• Negative Sentiment: Material insider selling has been reported (numerous open-market sales and no insider purchases in the period cited), which can worry investors about insiders’ sentiment on near-term upside. Insider Activity Details
• Neutral Sentiment: Short-interest reports in the feed show no meaningful, reliable short data (entries list zeros/NaN), so short-squeeze risk appears minimal based on available figures but treat these data as noisy.

About Dave

Dave, Inc is a Los Angeles–based financial technology company founded in 2016 by Jason Wilk and John Wolanin. The company offers a subscription-based mobile app designed to help consumers avoid overdraft fees, manage their budgets and track expenses. Through its platform, members receive low-balance alerts, expense categorization and cash-advance capabilities tied to upcoming deposits.

At the core of Dave’s offering is fee-free overdraft protection: eligible users can request small, interest-free advances up to a preset limit, typically repaid on their next paycheck or deposit.