Chime Financial (CHYM) and Its Competitors Critical Review

Chime Financial (NASDAQ:CHYM) is one of 342 public companies in the “Financial Services” industry, but how does it weigh in compared to its rivals? We will compare Chime Financial to related companies based on the strength of its earnings, dividends, institutional ownership, valuation, profitability, risk and analyst recommendations.

Earnings & Valuation

This table compares Chime Financial and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Chime Financial	$2.19 billion	-$1.01 billion	-411.79
Chime Financial Competitors	$24.87 billion	$1.08 billion	8.43

Chime Financial’s rivals have higher revenue and earnings than Chime Financial. Chime Financial is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Chime Financial has a beta of 0.83, suggesting that its stock price is 17% less volatile than the S&P 500. Comparatively, Chime Financial’s rivals have a beta of 2.49, suggesting that their average stock price is 149% more volatile than the S&P 500.

Insider & Institutional Ownership

43.2% of shares of all “Financial Services” companies are held by institutional investors. 12.3% of Chime Financial shares are held by insiders. Comparatively, 22.1% of shares of all “Financial Services” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Chime Financial and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chime Financial	-0.74%	-1.28%	-0.92%
Chime Financial Competitors	-409.63%	-16.14%	-6.10%

Analyst Recommendations

This is a summary of recent ratings for Chime Financial and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chime Financial	1	3	17	3	2.92
Chime Financial Competitors	1993	6920	11712	445	2.50

Chime Financial presently has a consensus price target of $36.38, indicating a potential upside of 26.21%. As a group, “Financial Services” companies have a potential downside of 1.52%. Given Chime Financial’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Chime Financial is more favorable than its rivals.

Summary

Chime Financial beats its rivals on 7 of the 13 factors compared.

Chime Financial Company Profile

Chime is a financial technology company that partners with federally regulated, FDIC-insured banks—The Bancorp Bank, N.A. and Stride Bank, N.A., Members FDIC—to provide consumer banking products and services. The company’s model is designed to eliminate common fees and simplify access to basic financial services.

Chime does not charge overdraft fees, monthly service fees, or require minimum balances. All account balances are held at partner banks and protected by applicable regulatory safeguards to ensure funds remain secure and accessible.