NerdWallet (NASDAQ:NRDS) Stock Price Up 5.4% – Should You Buy?

NerdWallet, Inc. (NASDAQ:NRDS)’s stock price was up 5.4% during mid-day trading on Wednesday . The company traded as high as $14.95 and last traded at $14.7370. Approximately 323,325 shares changed hands during mid-day trading, a decline of 43% from the average daily volume of 566,159 shares. The stock had previously closed at $13.98.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the company. Zacks Research raised NerdWallet from a “hold” rating to a “strong-buy” rating in a research note on Monday, November 10th. Truist Financial boosted their target price on shares of NerdWallet from $17.00 to $19.00 and gave the company a “buy” rating in a research report on Monday, November 10th. Weiss Ratings restated a “hold (c)” rating on shares of NerdWallet in a report on Wednesday, October 8th. KeyCorp lifted their price target on shares of NerdWallet from $15.00 to $16.00 and gave the company an “overweight” rating in a research note on Friday, November 7th. Finally, Barclays upped their price objective on shares of NerdWallet from $14.00 to $17.00 and gave the company an “overweight” rating in a report on Friday, November 7th. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $15.40.

NerdWallet Stock Performance

The stock’s 50 day simple moving average is $13.30 and its 200 day simple moving average is $11.61. The firm has a market cap of $1.04 billion, a P/E ratio of 14.97 and a beta of 1.42.

NerdWallet (NASDAQ:NRDS) last issued its quarterly earnings data on Thursday, November 6th. The company reported $0.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.20 by $0.14. The firm had revenue of $215.10 million during the quarter, compared to analysts’ expectations of $193.31 million. NerdWallet had a net margin of 9.22% and a return on equity of 9.27%. NerdWallet’s quarterly revenue was up 12.4% compared to the same quarter last year. As a group, analysts forecast that NerdWallet, Inc. will post 0.36 EPS for the current fiscal year.

NerdWallet declared that its board has initiated a share repurchase plan on Tuesday, December 16th that authorizes the company to buyback $50.00 million in shares. This buyback authorization authorizes the company to buy up to 5% of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s board believes its shares are undervalued.

Insider Activity at NerdWallet

In related news, CAO Nicholas Tatum sold 4,272 shares of the stock in a transaction on Thursday, October 2nd. The stock was sold at an average price of $10.76, for a total value of $45,966.72. Following the completion of the sale, the chief accounting officer directly owned 68,020 shares of the company’s stock, valued at approximately $731,895.20. This represents a 5.91% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Samuel Yount sold 15,945 shares of NerdWallet stock in a transaction on Tuesday, December 2nd. The stock was sold at an average price of $16.04, for a total transaction of $255,757.80. Following the transaction, the insider directly owned 358,116 shares in the company, valued at $5,744,180.64. This represents a 4.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 48,503 shares of company stock valued at $715,244. Company insiders own 46.54% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the company. Deutsche Bank AG grew its stake in NerdWallet by 58.2% in the 1st quarter. Deutsche Bank AG now owns 210,385 shares of the company’s stock valued at $1,904,000 after purchasing an additional 77,432 shares during the period. Prudential Financial Inc. bought a new stake in shares of NerdWallet during the 2nd quarter worth $1,046,000. American Century Companies Inc. boosted its holdings in shares of NerdWallet by 128.8% in the 1st quarter. American Century Companies Inc. now owns 48,599 shares of the company’s stock worth $440,000 after buying an additional 27,362 shares during the last quarter. Walleye Capital LLC purchased a new position in shares of NerdWallet in the 2nd quarter worth about $948,000. Finally, Los Angeles Capital Management LLC grew its position in NerdWallet by 64.8% during the second quarter. Los Angeles Capital Management LLC now owns 235,270 shares of the company’s stock valued at $2,581,000 after buying an additional 92,487 shares during the period. 38.81% of the stock is owned by institutional investors.

About NerdWallet

NerdWallet (NASDAQ: NRDS) is a personal finance company that offers independent guidance and comparison tools to help consumers make informed financial decisions. Through its website and mobile application, NerdWallet provides a wide range of content, including articles, calculators and reviews covering credit cards, mortgages, personal loans, banking products, investing, insurance and taxes. The platform aggregates partner offers to enable side-by-side comparisons, while editorially maintaining objectivity to support users in identifying the products that best suit their individual needs.

Founded in 2009 by Tim Chen and Jacob Gibson, NerdWallet is headquartered in San Francisco and serves consumers primarily in the United States, with additional localized offerings in Canada and the United Kingdom.