CLEAR Secure (NYSE:YOU) Posts Quarterly Earnings Results

CLEAR Secure (NYSE:YOU) announced its quarterly earnings data on Wednesday. The company reported $0.52 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.48 by $0.04, FiscalAI reports. The company had revenue of $292.85 million during the quarter, compared to analysts’ expectations of $286.65 million. CLEAR Secure had a net margin of 14.78% and a return on equity of 71.51%. The firm’s revenue was up 27.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.29 EPS.

Here are the key takeaways from CLEAR Secure’s conference call:

• Q3 revenue rose 27.8% year over year to $292.9 million, while bookings increased 24.4% to $323.5 million. Adjusted EBITDA was $103.9 million, a 35.5% margin and nearly five percentage points of year-over-year expansion.
• CLEAR Travel continued to grow, with active CLEAR+ members up 14.5% to 8.5 million; management attributed momentum to improved travel experiences and network expansion. The company is also testing more personalized packages and pricing, though it described these efforts as early.
• CLEAR1 bookings were nearly three times their year-ago level, with the company citing an expanded multi-year CMS partnership, a VA pilot, nine new health-system partners, and a record quarter for partner expansions. Management sees further cross-sell and new-customer potential, while noting that large contract timing can make results lumpy.
• Clear raised its 2026 free cash flow outlook to at least $490 million, representing at least 42.8% year-over-year growth. It said Q3 free cash flow was negative $103.8 million primarily because of a roughly $315 million partnership-liability settlement, with no further such payments expected in fiscal 2026.
• Q4 guidance implies bookings growth of 17.6% at the midpoint, below Q3’s 24.4% growth, and excludes potential large CLEAR1 contracts because their timing is difficult to predict. The company also expects quarterly payments on its partnership liability to begin in Q1 2027.

CLEAR Secure Stock Down 4.2%

Shares of NYSE YOU traded down $2.48 during trading on Thursday, reaching $56.60. The company had a trading volume of 1,164,625 shares, compared to its average volume of 1,661,802. The business’s 50-day moving average is $43.39 and its 200 day moving average is $47.74. CLEAR Secure has a 12-month low of $30.98 and a 12-month high of $69.07. The stock has a market cap of $7.66 billion, a PE ratio of 38.68 and a beta of 0.99.

CLEAR Secure Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 24th. Stockholders of record on Thursday, December 10th will be given a $0.15 dividend. This represents a $0.60 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Thursday, December 10th. CLEAR Secure’s dividend payout ratio (DPR) is currently 40.82%.

Key Stories Impacting CLEAR Secure

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

• Positive Sentiment: Third-quarter revenue rose 27.8% year over year to $292.9 million, beating estimates; diluted EPS of $0.52 also topped consensus. Bookings increased 24.4%, while operating and adjusted EBITDA margins expanded. CLEAR guided to fourth-quarter revenue of $299–302 million and raised its 2026 free-cash-flow outlook to at least $490 million. CLEAR Q3 results
• Positive Sentiment: Shareholder returns were bolstered by a $175 million increase to the share-repurchase authorization and a quarterly dividend of $0.15 per share. The company also reported 30.7% growth in total members and 14.5% growth in active CLEAR+ members. CLEAR Q3 results
• Positive Sentiment: Needham raised its price target to $90 from $70 and maintained a “buy” rating, signaling substantial upside in its view. Needham analyst ratings
• Neutral Sentiment: CLEAR partnered with goop kitchen on travel-day food offerings and member perks, including a free month of CLEAR+. The deal could support customer engagement, though its financial impact was not disclosed. CLEAR and goop kitchen partnership
• Negative Sentiment: Wells Fargo raised its target to $50 from $45 but kept an “underweight” rating, implying downside from the then-current share price. Its cautious stance contrasts sharply with Needham’s bullish view. Wells Fargo analyst ratings
• Negative Sentiment: Quarterly operating cash flow and free cash flow were negative, reflecting an approximately $315 million settlement of accrued partnership liabilities. Management nevertheless raised its full-year free-cash-flow guidance.

Wall Street Analysts Forecast Growth

YOU has been the subject of several research reports. JPMorgan Chase & Co. initiated coverage on shares of CLEAR Secure in a research report on Monday, August 24th. They issued an “overweight” rating and a $55.00 price objective for the company. Wells Fargo & Company raised their target price on shares of CLEAR Secure from $45.00 to $50.00 and gave the stock an “underweight” rating in a research report on Thursday. Needham & Company LLC lifted their price target on shares of CLEAR Secure from $70.00 to $90.00 and gave the company a “buy” rating in a research note on Wednesday. Wall Street Zen lowered CLEAR Secure from a “strong-buy” rating to a “buy” rating in a report on Saturday, September 5th. Finally, Weiss Ratings raised CLEAR Secure from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. Five investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $64.00.

Insider Activity at CLEAR Secure

In related news, President Michael Z. Barkin sold 11,444 shares of the company’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $45.00, for a total value of $514,980.00. Following the completion of the sale, the president directly owned 11,550 shares of the company’s stock, valued at $519,750. This represents a 49.77% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Kyle McLaughlin sold 4,499 shares of the business’s stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $44.47, for a total value of $200,070.53. Following the transaction, the executive vice president owned 29,519 shares in the company, valued at approximately $1,312,709.93. This trade represents a 13.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 18,047 shares of company stock worth $808,615. 29.70% of the stock is owned by corporate insiders.

About CLEAR Secure

CLEAR Secure, Inc provides identity verification and secure access services through its CLEAR platform. The company uses biometric authentication and other identity technologies to help verify individuals and streamline access to participating locations and services.

Its consumer offerings include CLEAR Plus, a membership service that allows enrolled members to verify their identities at participating airports, and CLEAR Reserve, which enables travelers to reserve a time to proceed through select airport security checkpoints.