NerdWallet (NASDAQ:NRDS) Shares Gap Up on Strong Earnings

NerdWallet, Inc. (NASDAQ:NRDS)’s stock price gapped up prior to trading on Friday following a stronger than expected earnings report. The stock had previously closed at $11.98, but opened at $13.50. NerdWallet shares last traded at $12.9770, with a volume of 178,312 shares changing hands.

The company reported $0.34 EPS for the quarter, topping analysts’ consensus estimates of $0.20 by $0.14. The company had revenue of $215.10 million during the quarter, compared to the consensus estimate of $193.31 million. NerdWallet had a net margin of 6.11% and a return on equity of 2.54%. The business’s revenue for the quarter was up 12.4% compared to the same quarter last year. NerdWallet has set its Q4 2025 guidance at EPS.

Analysts Set New Price Targets

NRDS has been the subject of a number of analyst reports. Weiss Ratings restated a “hold (c)” rating on shares of NerdWallet in a research note on Wednesday, October 8th. Barclays lowered their price target on shares of NerdWallet from $17.00 to $14.00 and set an “overweight” rating on the stock in a report on Friday, August 8th. Finally, Truist Financial reduced their price objective on shares of NerdWallet from $19.00 to $17.00 and set a “buy” rating for the company in a research note on Monday, August 11th. Three investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, NerdWallet currently has a consensus rating of “Moderate Buy” and an average target price of $13.60.

Insider Transactions at NerdWallet

In other NerdWallet news, CAO Nicholas Tatum sold 4,272 shares of NerdWallet stock in a transaction dated Thursday, October 2nd. The stock was sold at an average price of $10.76, for a total transaction of $45,966.72. Following the completion of the sale, the chief accounting officer owned 68,020 shares of the company’s stock, valued at approximately $731,895.20. The trade was a 5.91% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 46.54% of the stock is owned by company insiders.

Institutional Investors Weigh In On NerdWallet

A number of institutional investors and hedge funds have recently modified their holdings of NRDS. Nuveen LLC acquired a new position in NerdWallet in the 1st quarter worth approximately $3,661,000. Millennium Management LLC increased its stake in shares of NerdWallet by 23.9% in the first quarter. Millennium Management LLC now owns 867,113 shares of the company’s stock worth $7,847,000 after acquiring an additional 166,984 shares during the period. Ieq Capital LLC purchased a new position in shares of NerdWallet during the first quarter worth $1,493,000. Kent Lake PR LLC lifted its position in NerdWallet by 115.6% during the second quarter. Kent Lake PR LLC now owns 275,000 shares of the company’s stock valued at $3,017,000 after purchasing an additional 147,466 shares during the period. Finally, Prudential Financial Inc. acquired a new stake in NerdWallet during the 2nd quarter worth about $1,046,000. Institutional investors and hedge funds own 38.81% of the company’s stock.

NerdWallet Stock Performance

The firm has a market cap of $1.00 billion, a PE ratio of 21.62 and a beta of 1.45. The stock has a 50 day simple moving average of $11.03 and a two-hundred day simple moving average of $10.69.

About NerdWallet

NerdWallet, Inc operates a digital platform that provides consumer-driven advice about personal finance by connecting individuals and small and mid-sized businesses with financial products providers in the United States, the United Kingdom, Australia, and Canada. Its platform offers guidance to consumers through educational content, tools and calculators, and product marketplaces, as well as through NerdWallet app for various financial products, including credit cards, mortgages, insurance, SMB products, personal loans, banking, investing, and student loans.