Sezzle (NASDAQ:SEZL) Shares Gap Down – Here’s Why

Shares of Sezzle Inc. (NASDAQ:SEZL) gapped down prior to trading on Tuesday . The stock had previously closed at $120.55, but opened at $115.00. Sezzle shares last traded at $114.6780, with a volume of 144,491 shares traded.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on the company. Zacks Research raised Sezzle from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, May 27th. B. Riley Financial restated a “buy” rating on shares of Sezzle in a report on Friday, August 7th. Freedom Capital raised shares of Sezzle to a “hold” rating in a research report on Wednesday, June 24th. TD Cowen raised shares of Sezzle from a “hold” rating to a “buy” rating and set a $165.00 target price for the company in a research report on Monday, August 10th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Sezzle in a research note on Tuesday, August 4th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $146.50.

Sezzle Stock Performance

The company has a 50-day moving average price of $152.17 and a two-hundred day moving average price of $111.71. The company has a market capitalization of $4.09 billion, a PE ratio of 26.41 and a beta of 6.66. The company has a quick ratio of 4.02, a current ratio of 4.02 and a debt-to-equity ratio of 0.52.

Sezzle (NASDAQ:SEZL) last announced its quarterly earnings results on Thursday, August 6th. The company reported $1.13 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.03 by $0.10. The firm had revenue of $149.68 million for the quarter, compared to the consensus estimate of $135.09 million. Sezzle had a net margin of 30.35% and a return on equity of 83.48%. Sezzle has set its FY 2026 guidance at 5.250-5.250 EPS. Analysts predict that Sezzle Inc. will post 5.24 EPS for the current fiscal year.

Insider Activity

In other news, Director Kyle M. Brehm sold 1,000 shares of the company’s stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $125.92, for a total value of $125,920.00. Following the transaction, the director owned 23,853 shares of the company’s stock, valued at approximately $3,003,569.76. This represents a 4.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, COO Amin Sabzivand sold 6,930 shares of the stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $179.91, for a total value of $1,246,776.30. Following the completion of the sale, the chief operating officer owned 259,780 shares in the company, valued at $46,737,019.80. This trade represents a 2.60% 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. Insiders have sold 84,750 shares of company stock valued at $13,262,695 over the last 90 days. Company insiders own 49.49% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. California State Teachers Retirement System raised its stake in Sezzle by 11,703.7% in the second quarter. California State Teachers Retirement System now owns 3,335,972 shares of the company’s stock valued at $572,553,000 after purchasing an additional 3,307,710 shares in the last quarter. BlackRock Inc. bought a new position in shares of Sezzle in the 2nd quarter worth $436,497,000. Accredited Investors Inc. purchased a new stake in shares of Sezzle during the 4th quarter valued at $57,955,000. Man Group plc bought a new stake in shares of Sezzle during the 3rd quarter worth $25,005,000. Finally, Bank of America Corp DE bought a new stake in shares of Sezzle during the 2nd quarter worth $46,543,000. Hedge funds and other institutional investors own 2.02% of the company’s stock.

Sezzle Company Profile

Sezzle Inc is a financial technology company specializing in buy now, pay later (BNPL) services that enable consumers to split purchases into interest-free installment payments. By integrating its platform with e-commerce merchants, Sezzle provides shoppers with flexible payment options at checkout while merchants benefit from increased conversion rates and average order values. The company’s technology is designed to offer a seamless user experience, with instant approval decisions and no hidden fees, positions it as a consumer-friendly alternative to traditional credit products.

Founded in 2016 and headquartered in Minneapolis, Minnesota, Sezzle completed its initial public offering on the Nasdaq under the ticker SEZL.