Riskified (NYSE:RSKD) Posts Earnings Results, Beats Estimates By $0.04 EPS

Riskified (NYSE:RSKD) released its quarterly earnings results on Wednesday. The company reported $0.07 EPS for the quarter, topping analysts’ consensus estimates of $0.03 by $0.04, reports. The business had revenue of $115.18 million for the quarter, compared to analyst estimates of $103.41 million. Riskified had a negative return on equity of 1.87% and a negative net margin of 2.26%.

Here are the key takeaways from Riskified’s conference call:

• Revenue rose 41% year over year to a record $115.2 million, substantially ahead of the roughly 27% growth previously guided, while Adjusted EBITDA increased 47% to $8.1 million. Riskified raised its full-year revenue and Adjusted EBITDA outlook for the third time in 2026.
• Growth was broad-based, with Digital Finance billings up more than 300% year over year, the U.S. up about 69%, and new merchant activity a primary growth driver. The company also reported continued cross-selling, with its multi-product merchant base growing about 55%.
• Gross profit grew 20%, slower than revenue, and gross margin was 43%; management attributed the difference to the larger share of newly onboarded merchants, whose margins typically improve as they ramp. It expects this cohort dynamic to continue into 2027.
• Riskified generated record third-quarter free cash flow of $15.2 million and now expects about $45 million for full-year 2026. It ended the quarter with approximately $235 million in cash, deposits, and investments, no debt, and $78 million remaining under its share repurchase authorization.
• The company highlighted agentic commerce and its Zendesk integration as opportunities for its identity and risk products, including evaluating refund and return requests. Management said actual agent-driven checkout activity remains relatively limited, with current use cases more prevalent in customer-support and policy flows.

Riskified Price Performance

Shares of NYSE:RSKD traded down $0.27 during trading on Friday, reaching $9.15. 504,045 shares of the company were exchanged, compared to its average volume of 1,259,802. The firm has a market capitalization of $1.36 billion, a PE ratio of -129.97 and a beta of 1.34. The business’s fifty day simple moving average is $7.90 and its 200-day simple moving average is $5.60. Riskified has a 12-month low of $3.70 and a 12-month high of $11.13.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on RSKD shares. The Goldman Sachs Group boosted their target price on shares of Riskified from $5.50 to $7.50 and gave the company a “sell” rating in a research report on Tuesday, October 13th. Keefe, Bruyette & Woods restated a “market perform” rating on shares of Riskified in a research report on Thursday. Truist Financial lifted their price objective on Riskified from $7.50 to $9.00 and gave the stock a “buy” rating in a research report on Monday, September 28th. UBS Group raised their price objective on Riskified from $6.50 to $10.50 and gave the company a “neutral” rating in a research report on Thursday. Finally, DA Davidson lifted their price objective on Riskified from $9.00 to $12.00 and gave the stock a “buy” rating in a report on Thursday. Two analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $8.54.

Insider Activity

In related news, CEO Eido Gal sold 150,000 shares of the stock in a transaction on Friday, September 4th. The stock was sold at an average price of $6.48, for a total value of $972,000.00. Following the completion of the transaction, the chief executive officer directly owned 5,302,917 shares of the company’s stock, valued at approximately $34,362,902.16. This represents a 2.75% decrease in their position. 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, Director Erez Shachar sold 289,400 shares of the stock in a transaction that occurred on Thursday, August 27th. The shares were sold at an average price of $6.12, for a total transaction of $1,771,128.00. Following the completion of the sale, the director directly owned 1,466,883 shares of the company’s stock, valued at approximately $8,977,323.96. This trade represents a 16.48% decrease in their position. 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. In the last 90 days, insiders have sold 1,974,023 shares of company stock worth $12,327,375. Corporate insiders own 17.40% of the company’s stock.

Key Riskified News

These are some of the RSKD news items that stood out recently:

• Positive Sentiment: Q3 revenue climbed 41% to $115.2 million, exceeding the $103.4 million consensus, while EPS of $0.07 beat estimates of $0.03. The company also said net losses were nearly eliminated. Earnings results
• Positive Sentiment: Several analysts lifted their targets: Truist raised its target to $14 and maintained Buy, while DA Davidson raised its target to $12 and also maintained Buy. Truist price-target update
• Neutral Sentiment: UBS raised its target to $10.50 but kept a Neutral rating; Zacks Research upgraded the stock from Strong Sell to Hold. UBS rating update

About Riskified

Riskified Ltd. is a technology company that helps online merchants identify and manage fraud and other risks in e-commerce transactions. Its platform uses machine learning and data analysis to assess purchases and support decisions such as approving or declining orders. The company’s services include fraud screening backed by a chargeback guarantee, as well as tools designed to help merchants address payment disputes, account abuse and other forms of policy misuse. Riskified’s systems are intended to help businesses reduce losses while allowing legitimate customers to complete purchases.