Analyst Mark Palmer of Benchmark Co. reiterated a Buy rating on Dave (DAVE – Research Report), boosting the price target to $229.00.
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Mark Palmer has given his Buy rating due to a combination of factors that highlight Dave Inc.’s strong financial performance and strategic positioning. The company’s first-quarter results for 2025 surpassed market expectations, driven by improvements in operating metrics and the implementation of a new fee structure for its ExtraCash advances. This change incentivized larger loan sizes, resulting in increased average revenue per user (ARPU).
Additionally, the new fee model only partially impacted the first quarter, suggesting further benefits in the upcoming quarter. Despite a typically slow growth period, Dave Inc. experienced a 15% increase in total users, with existing users driving most of the ExtraCash advances. The company’s structural improvements in customer acquisition, credit quality, and product engagement support a path to scalable growth and sustained profitability, justifying the raised price target to $229.
In another report released on May 9, Barrington also maintained a Buy rating on the stock with a $185.00 price target.