Insider Selling: Chime Financial (NASDAQ:CHYM) Director Sells $10,039,582.26 in Stock

Chime Financial, Inc. (NASDAQ:CHYM) Director Shawn Carolan sold 302,306 shares of the stock in a transaction on Thursday, September 10th. The shares were sold at an average price of $33.21, for a total value of $10,039,582.26. Following the sale, the director owned 1,800 shares in the company, valued at approximately $59,778. This represents a 99.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink.

Chime Financial Stock Performance

Shares of CHYM stock traded up $0.97 during mid-day trading on Monday, hitting $33.97. The company’s stock had a trading volume of 9,854,087 shares, compared to its average volume of 6,981,155. Chime Financial, Inc. has a 52-week low of $15.88 and a 52-week high of $35.55. The business has a 50-day moving average price of $27.98 and a 200 day moving average price of $22.62. The stock has a market cap of $12.86 billion, a price-to-earnings ratio of -485.22 and a beta of 0.60.

Chime Financial (NASDAQ:CHYM) last released its quarterly earnings data on Wednesday, August 5th. The company reported $0.07 EPS for the quarter, beating the consensus estimate of ($0.01) by $0.08. Chime Financial had a negative return on equity of 1.28% and a negative net margin of 0.74%.The company had revenue of $669.77 million for the quarter. During the same period last year, the business earned ($7.29) earnings per share. The company’s quarterly revenue was up 26.8% on a year-over-year basis. Equities research analysts predict that Chime Financial, Inc. will post 0.44 EPS for the current fiscal year.

Wall Street Analyst Weigh In

CHYM has been the topic of a number of research analyst reports. Rothschild & Co Redburn upgraded shares of Chime Financial from a “neutral” rating to a “buy” rating and set a $46.00 price objective on the stock in a research report on Monday. Keefe, Bruyette & Woods lifted their target price on shares of Chime Financial from $30.00 to $35.00 and gave the stock an “outperform” rating in a research report on Thursday, August 6th. Scotiabank boosted their target price on shares of Chime Financial from $40.00 to $42.00 and gave the company a “sector outperform” rating in a research note on Wednesday, September 9th. Wall Street Zen raised Chime Financial from a “hold” rating to a “buy” rating in a report on Saturday, July 25th. Finally, Weiss Ratings upgraded Chime Financial from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Thursday, September 3rd. Four investment analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Buy” and an average price target of $36.20.

Key Headlines Impacting Chime Financial

Here are the key news stories impacting Chime Financial this week:

• Positive Sentiment: Analyst upgrades and higher price targets: Rothschild & Co Redburn upgraded Chime from “neutral” to “buy” and assigned a $46 price target. B. Riley Financial also maintained a “buy” rating while raising its target from $37 to $44. The targets imply roughly 29.5% to 35.4% potential upside from the referenced $33.97 share-price level, signaling stronger confidence in Chime’s growth prospects.
• Neutral Sentiment: Shares are trading near their 12-month high: Chime’s stock has risen substantially above its 50-day and 200-day moving averages and is near its 12-month high of $35.55. Elevated trading volume suggests strong investor interest, but the move could also increase volatility after the recent rally.
• Negative Sentiment: Directors reported substantial stock sales: Director James Feuille sold 258,398 shares for approximately $8.5 million, reducing one reported holding by 88.25%. He also sold an additional 93,492 shares for about $3.1 million, a 1.33% reduction in another position. Director Cynthia Marshall separately sold 20,000 shares worth approximately $661,800, reducing her position by 41.2%. The sales were disclosed in SEC insider-trading filing and SEC filing for Cynthia Marshall. While insider sales can reflect diversification or scheduled transactions, the size of the disposals represents a potential near-term sentiment headwind.

Institutional Trading of Chime Financial

Several large investors have recently added to or reduced their stakes in CHYM. Spyglass Capital Management LLC boosted its stake in shares of Chime Financial by 162.6% during the 2nd quarter. Spyglass Capital Management LLC now owns 3,406,249 shares of the company’s stock worth $69,760,000 after acquiring an additional 2,109,057 shares during the last quarter. California State Teachers Retirement System bought a new stake in shares of Chime Financial during the 2nd quarter valued at $59,367,000. Arrowstreet Capital Limited Partnership increased its stake in shares of Chime Financial by 2,720.3% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 2,756,555 shares of the company’s stock worth $51,630,000 after purchasing an additional 2,658,816 shares in the last quarter. Ieq Capital LLC purchased a new stake in shares of Chime Financial in the 4th quarter worth $58,214,000. Finally, Light Street Capital Management LLC raised its holdings in Chime Financial by 5.8% in the 2nd quarter. Light Street Capital Management LLC now owns 2,199,089 shares of the company’s stock worth $45,037,000 after purchasing an additional 121,474 shares during the period.

Chime Financial Company Profile

Chime Financial, Inc is a financial technology company that operates a digital banking platform in the United States. Chime provides consumer-focused banking services through its mobile application and website, offering checking and savings accounts, debit cards, direct-deposit services and tools designed to help customers manage their everyday finances. Chime is not a traditional bank; its banking services are provided through partner financial institutions.

The company’s products include a Visa debit card, fee-free overdraft protection through SpotMe for eligible members, early access to qualifying direct deposits, savings features and credit-building products.