Chime Financial (NASDAQ:CHYM) Upgraded at Rothschild & Co Redburn

Rothschild & Co Redburn upgraded shares of Chime Financial (NASDAQ:CHYM) from a hold rating to a buy rating in a research report report published on Monday, Marketbeat reports. Rothschild & Co Redburn currently has $46.00 price target on the stock.

A number of other brokerages have also commented on CHYM. Scotiabank boosted their price target 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. Loop Capital initiated coverage on shares of Chime Financial in a report on Wednesday, September 9th. They issued a “buy” rating and a $45.00 target price on the stock. Canaccord Genuity Group raised their price target on shares of Chime Financial from $45.00 to $50.00 and gave the company a “buy” rating in a research report on Wednesday, September 9th. Morgan Stanley boosted their price objective on Chime Financial from $39.00 to $40.00 and gave the stock an “overweight” rating in a report on Wednesday, September 9th. Finally, Freedom Capital raised Chime Financial to a “strong-buy” rating in a research note on Thursday, July 23rd. Four research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, Chime Financial has a consensus rating of “Buy” and a consensus target price of $36.40.

Chime Financial Price Performance

Shares of Chime Financial stock opened at $31.25 on Monday. The business has a 50-day simple moving average of $28.44 and a 200 day simple moving average of $22.76. Chime Financial has a one year low of $15.88 and a one year high of $35.55. The firm has a market capitalization of $11.83 billion, a price-to-earnings ratio of -446.36 and a beta of 0.60.

Chime Financial (NASDAQ:CHYM) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.07 earnings per share (EPS) for the quarter, topping 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 business had revenue of $669.77 million for the quarter. During the same quarter in the previous year, the company posted ($7.29) EPS. The firm’s revenue was up 26.8% on a year-over-year basis. On average, sell-side analysts expect that Chime Financial will post 0.44 EPS for the current year.

Insider Buying and Selling

In other Chime Financial news, General Counsel Adam B. Frankel sold 102,002 shares of the firm’s stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $33.31, for a total value of $3,397,686.62. Following the completion of the sale, the general counsel directly owned 364,828 shares of the company’s stock, valued at $12,152,420.68. This trade represents a 21.85% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Shawn T. Carolan sold 277,007 shares of the business’s stock in a transaction on Friday, September 11th. The shares were sold at an average price of $33.05, for a total value of $9,155,081.35. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 18,827,490 shares of company stock worth $617,797,141 in the last three months. Insiders own 12.30% of the company’s stock.

Institutional Investors Weigh In On Chime Financial

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Engineers Gate Manager LP purchased a new stake in Chime Financial during the second quarter valued at about $1,810,000. Arizona State Retirement System purchased a new position in shares of Chime Financial in the second quarter worth about $692,000. Light Street Capital Management LLC raised its position in shares of Chime Financial by 5.8% in the second quarter. Light Street Capital Management LLC now owns 2,199,089 shares of the company’s stock valued at $45,037,000 after purchasing an additional 121,474 shares during the period. Allianz Asset Management GmbH bought a new stake in shares of Chime Financial in the second quarter valued at approximately $7,828,000. Finally, Comprehensive Financial Management LLC lifted its stake in shares of Chime Financial by 2.4% during the 2nd quarter. Comprehensive Financial Management LLC now owns 565,976 shares of the company’s stock valued at $11,591,000 after buying an additional 13,225 shares in the last quarter.

Trending Headlines about Chime Financial

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

• Positive Sentiment: Analysts remain bullish: Goldman Sachs raised its price target to $37 and maintained a “Buy” rating. B. Riley lifted its target to $44, while Rothschild & Co Redburn upgraded CHYM to “Buy” with a $46 target. These calls indicate continued confidence in Chime’s growth outlook. B. Riley raises Chime price target Rothschild upgrades Chime
• Positive Sentiment: Bank acquisition offers strategic upside: Chime agreed to acquire Central Service Corporation, the parent of Stride Bank, for $590 million in cash. Pending regulatory approvals, the transaction would allow Stride to become Chime Bank, N.A., giving Chime greater control over its banking infrastructure and potentially improving long-term economics. Chime bank acquisition analysis
• Positive Sentiment: Operating momentum remains favorable: Chime’s latest results showed revenue growth of 26.8% year over year, 10.4 million active members and a second consecutive quarter of GAAP profitability. The company also raised its full-year outlook.
• Neutral Sentiment: New York expansion: Chime opened a new office in New York, supporting its corporate and hiring footprint, although the announcement is unlikely to materially change near-term earnings expectations. Chime opens New York office
• Negative Sentiment: Heavy insider selling is a sentiment headwind: General Counsel Adam Frankel sold 102,002 shares for about $3.4 million, and Director James Feuille sold 352,237 shares worth roughly $11.6 million across two transactions. A major shareholder also sold 207,513 shares for approximately $6.9 million. Recent disclosures show numerous insider sales and no reported open-market purchases over the past six months. Some transactions were conducted under pre-arranged Rule 10b5-1 plans, but the volume may still reinforce profit-taking concerns. SEC insider sale filing
• Negative Sentiment: Acquisition risks are being reassessed: Investors are weighing regulatory approval, integration costs and capital requirements associated with the Stride transaction. After the recent run-up, these uncertainties have contributed to increased volatility and pressure on CHYM.

About Chime Financial

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.