CLEAR Secure (NYSE:YOU) Issues Quarterly Earnings Results

CLEAR Secure (NYSE:YOU) announced its quarterly earnings data on Wednesday. The company reported $0.52 earnings per share for the quarter, beating analysts’ consensus estimates of $0.48 by $0.04, FiscalAI reports. The business had revenue of $292.85 million for the quarter, compared to analyst estimates of $286.65 million. CLEAR Secure had a net margin of 14.78% and a return on equity of 71.51%. The company’s revenue was up 27.8% on a year-over-year basis. During the same period last year, the business 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 Up 22.8%

Shares of YOU traded up $10.88 during trading hours on Wednesday, reaching $58.64. 5,505,327 shares of the company traded hands, compared to its average volume of 1,657,615. The stock has a market capitalization of $7.93 billion, a PE ratio of 40.01 and a beta of 0.99. CLEAR Secure has a fifty-two week low of $30.76 and a fifty-two week high of $69.07. The stock has a fifty day simple moving average of $43.10 and a 200 day simple moving average of $47.62.

Key Headlines 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, topping estimates, while diluted earnings of $0.52 per share also beat the $0.48 consensus. Bookings increased 24.4% to $323.5 million. CLEAR Announces Third Quarter 2026 Financial Results
• Positive Sentiment: Profitability improved: net income was $75.3 million, and adjusted EBITDA was $103.9 million. Net and adjusted EBITDA margins expanded by 600 and 490 basis points, respectively, year over year. CLEAR Announces Third Quarter 2026 Financial Results
• Positive Sentiment: Fourth-quarter guidance calls for revenue of $299 million to $302 million, implying 24.8% growth at the midpoint. CLEAR also raised its minimum full-year free-cash-flow outlook to $490 million from $480 million. Q4 Revenue Guidance
• Positive Sentiment: The company reported growth in its customer base, with total CLEAR members up 30.7% and active CLEAR+ members up 14.5% year over year. Its board also authorized an additional $175 million for share repurchases and declared a $0.15 quarterly dividend. CLEAR Announces Third Quarter 2026 Financial Results
• Negative Sentiment: Third-quarter operating cash flow and free cash flow were negative, reflecting an approximately $315 million settlement of accrued partnership liabilities. The company attributed the outflow to that settlement and raised its full-year free-cash-flow guidance. CLEAR Announces Third Quarter 2026 Financial Results

Insider Buying and Selling

In related news, President Michael Barkin sold 11,444 shares of the business’s stock in a transaction that occurred on 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 in the company, valued at approximately $519,750. The trade was a 49.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed 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 company’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 sale, the executive vice president owned 29,519 shares of the company’s stock, valued at approximately $1,312,709.93. The trade was a 13.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. Over the last three months, insiders have sold 18,047 shares of company stock valued at $808,615. Insiders own 29.70% of the company’s stock.

Analyst Ratings Changes

YOU has been the topic of several research analyst reports. Weiss Ratings raised CLEAR Secure from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, October 8th. JPMorgan Chase & Co. assumed coverage on shares of CLEAR Secure in a report on Monday, August 24th. They issued an “overweight” rating and a $55.00 target price for the company. The Goldman Sachs Group set a $70.00 price target on shares of CLEAR Secure in a research note on Monday, July 20th. Wall Street Zen downgraded CLEAR Secure from a “strong-buy” rating to a “buy” rating in a research note on Saturday, September 5th. Finally, Needham & Company LLC restated a “buy” rating and issued a $70.00 price target on shares of CLEAR Secure in a research report on Wednesday, October 7th. Five analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $58.29.

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.