Chime Financial (NASDAQ:CHYM) General Counsel Adam Frankel Sells 102,002 Shares of Stock

Chime Financial, Inc. (NASDAQ:CHYM) General Counsel Adam Frankel sold 102,002 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The shares were 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 owned 364,828 shares in the company, valued at $12,152,420.68. The trade was a 21.85% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Chime Financial Stock Down 7.0%

NASDAQ:CHYM opened at $31.25 on Thursday. Chime Financial, Inc. has a twelve month low of $15.88 and a twelve month high of $35.55. The business has a 50 day moving average price of $28.44 and a two-hundred day moving average price of $22.76. The company has a market cap of $11.83 billion, a P/E ratio of -446.36 and a beta of 0.60.

Chime Financial (NASDAQ:CHYM) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $0.07 earnings per share for the quarter, topping the consensus estimate of ($0.01) by $0.08. Chime Financial had a negative net margin of 0.74% and a negative return on equity of 1.28%. The company had revenue of $669.77 million during the quarter. During the same period in the prior year, the business earned ($7.29) earnings per share. Chime Financial’s revenue was up 26.8% compared to the same quarter last year. As a group, analysts anticipate that Chime Financial, Inc. will post 0.44 earnings per share for the current fiscal year.

Institutional Trading of Chime Financial

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Arrowstreet Capital Limited Partnership raised its stake in Chime Financial by 2,720.3% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,756,555 shares of the company’s stock valued at $51,630,000 after buying an additional 2,658,816 shares during the period. Ieq Capital LLC bought a new position in shares of Chime Financial during the 4th quarter worth approximately $58,214,000. Spyglass Capital Management LLC boosted its stake in shares of Chime Financial by 162.6% during the 2nd quarter. Spyglass Capital Management LLC now owns 3,406,249 shares of the company’s stock worth $69,760,000 after acquiring an additional 2,109,057 shares during the period. Owls Nest Partners IA LLC acquired a new position in shares of Chime Financial during the 4th quarter worth approximately $47,065,000. Finally, Atreides Management LP acquired a new position in shares of Chime Financial during the 4th quarter worth approximately $37,850,000.

Key Stories Impacting 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.

Analyst Upgrades and Downgrades

CHYM has been the topic of several recent research reports. Keefe, Bruyette & Woods lifted their price target on shares of Chime Financial from $30.00 to $35.00 and gave the company an “outperform” rating in a research note on Thursday, August 6th. UBS Group increased their price objective on shares of Chime Financial from $28.00 to $31.00 and gave the stock a “neutral” rating in a research note on Wednesday, September 9th. Scotiabank raised their price objective on Chime Financial from $40.00 to $42.00 and gave the company a “sector outperform” rating in a report on Wednesday, September 9th. Zacks Research raised Chime Financial from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 18th. Finally, Wells Fargo & Company upped their target price on Chime Financial from $33.00 to $39.00 and gave the stock an “overweight” rating in a report on Tuesday, August 25th. Four equities research analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Chime Financial currently has a consensus rating of “Buy” and an average target price of $36.40.

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.