Sezzle (NASDAQ:SEZL) Stock Price Up 13.3% After Better-Than-Expected Earnings

by · The Cerbat Gem

Sezzle Inc. (NASDAQ:SEZL – Get Free Report)’s share price rose 13.3% during mid-day trading on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $136.30 and last traded at $138.6850. Approximately 406,882 shares changed hands during trading, a decline of 40% from the average session volume of 681,018 shares. The stock had previously closed at $122.43.

The company reported $1.37 EPS for the quarter, topping analysts’ consensus estimates of $1.28 by $0.09. The business had revenue of $166.50 million for the quarter, compared to the consensus estimate of $155.01 million. Sezzle had a net margin of 31.39% and a return on equity of 89.97%. The company’s revenue for the quarter was up 42.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.71 EPS.

Trending Headlines about Sezzle

Here are the key news stories impacting Sezzle this week:

  • Positive Sentiment: Q3 results beat expectations: Sezzle reported EPS of $1.37 versus $1.28 expected and revenue of $166.5 million versus $155.0 million expected. Revenue rose 42.6% year over year, while EPS increased from $0.71 a year earlier. Sezzle Q3 Earnings and Revenues Surpass Estimates
  • Positive Sentiment: Higher outlook and growth initiatives: Sezzle raised its 2026 earnings outlook and outlined 2027 targets. Subscriber growth, stronger transaction activity, and new products were cited as drivers of expansion. Sezzle Q3 Earnings Call Highlights Higher Outlook and New Products
  • Positive Sentiment: Analysts raised estimates and price targets: Northland increased its FY2026 EPS forecast to $5.46 from $5.25, and lifted estimates for upcoming quarters. Needham raised its target to $220 and TD Cowen to $200; both maintain Buy ratings. Needham analyst ratings TD Cowen analyst ratings
  • Neutral Sentiment: Despite these supportive developments, SEZL has pulled back following its post-earnings surge. The provided reports do not identify a fresh negative catalyst, so the move may reflect short-term consolidation and volatility.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on SEZL shares. B. Riley Financial reiterated a “buy” rating on shares of Sezzle in a research note on Friday, August 7th. Keefe, Bruyette & Woods reduced their price objective on shares of Sezzle from $190.00 to $155.00 and set a “market perform” rating for the company in a research note on Friday, August 7th. Weiss Ratings restated a “hold (c+)” rating on shares of Sezzle in a report on Monday. Wall Street Zen lowered Sezzle from a “buy” rating to a “hold” rating in a report on Sunday, November 1st. Finally, Needham & Company LLC increased their target price on Sezzle from $172.00 to $220.00 and gave the company a “buy” rating in a research report on Thursday. One investment 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 company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $160.33.

Check Out Our Latest Analysis on Sezzle

Insider Activity

In other news, Director Kyle M. Brehm sold 1,000 shares of Sezzle stock in a transaction that occurred 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 $3,003,569.76. The trade was a 4.02% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Bryan Hunt acquired 250 shares of Sezzle stock in a transaction that occurred on Friday, September 18th. The shares were purchased at an average price of $115.86 per share, with a total value of $28,965.00. Following the purchase, the director owned 3,985 shares in the company, valued at $461,702.10. This represents a 6.69% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 43.90% of the company’s stock.

Hedge Funds Weigh In On Sezzle

Several institutional investors and hedge funds have recently bought and sold shares of SEZL. BlackRock Inc. purchased a new stake in Sezzle during the 2nd quarter worth approximately $436,497,000. Bank of America Corp DE purchased a new position in shares of Sezzle in the second quarter worth $46,543,000. Dimensional Fund Advisors LP raised its holdings in shares of Sezzle by 41.6% in the first quarter. Dimensional Fund Advisors LP now owns 458,222 shares of the company’s stock worth $28,996,000 after buying an additional 134,714 shares during the last quarter. Jupiter Topco LLC acquired a new stake in shares of Sezzle during the second quarter worth $19,433,000. Finally, Bank of New York Mellon Corp acquired a new stake in shares of Sezzle during the second quarter worth $16,909,000. 2.02% of the stock is owned by hedge funds and other institutional investors.

Sezzle Stock Down 3.6%

The firm has a market capitalization of $5.05 billion, a price-to-earnings ratio of 28.57 and a beta of 6.59. The company has a quick ratio of 4.02, a current ratio of 4.02 and a debt-to-equity ratio of 0.52. The company’s 50 day moving average price is $121.91 and its 200 day moving average price is $109.79.

About Sezzle

(Get Free Report)

Sezzle Inc (NASDAQ: SEZL) is a financial technology company that provides buy now, pay later solutions. Its platform enables consumers to split eligible purchases into installments, generally at the time of checkout, while giving merchants payment and customer-engagement tools designed to support e-commerce sales.

The company offers installment payment services through its consumer app and merchant integrations, as well as products such as Sezzle Virtual Card and Sezzle Up. Sezzle Up is designed to provide eligible users with credit-building opportunities, while the company’s merchant platform supports checkout integration, transaction management and consumer financing.

Sezzle was founded in 2016 and is headquartered in Minneapolis, Minnesota.

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