Green Dot (GDOT) AI Stock Analysis

• Market Cap: $621.80M
• Dividend Yield: N/A
• Average Volume (3M): 586.01K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.76
• Revenue Growth: 23.12%
• EPS Growth: 19.37%
• Country: US
• Employees: 1,150
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): -0.08
• Shares Outstanding: 55,567,590
• 10 Day Avg. Volume: 538,717
• 30 Day Avg. Volume: 586,007
• PEG Ratio: -0.03
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 0.34
• P/FCF Ratio: 5.09
• Enterprise Value/Market Cap: -1.18
• Enterprise Value/Revenue: -0.35
• Enterprise Value/Gross Profit: -1.44
• Enterprise Value/Ebitda: -5.22
• 1Y Price Target: $10.65
• Price Target Upside: 0.00%
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 1.49
• Revenue Forecast (FY): $2.30B

• Rating: 49 Neutral
• Price Target: $10.50 ▼(-1.41% Downside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is held down primarily by weakened financial performance (recent losses and margin compression) and bearish technicals (price below key moving averages with negative MACD). More positive earnings-call signals (raised adjusted EBITDA guidance and B2B/BaaS momentum) and a low-leverage balance sheet provide partial offset, but valuation remains pressured due to losses and no stated dividend support.

Positive Factors

Conservative balance sheet

Very low debt-to-equity (~0.07) and substantial equity (~$890M in 2025) give Green Dot durable financial flexibility. This supports continued BaaS investment, partnership rollouts and absorbing cyclical shocks without forcing dilutive financing, which strengthens long-term strategic optionality.

B2B / BaaS revenue momentum

The ARC-powered B2B/BaaS channel is driving adjusted revenue growth and is reinforced by partnerships (Stripe, Workday, crypto.com). Embedded finance is a structural market tailwind; durable B2B contracts and partner-led distribution should produce steadier, higher-margin recurring revenue over the medium term.

Improved operating cash generation

Operating and free cash flow rebounded materially in 2025 (~$139M), showing the business can generate cash despite earnings volatility. Sustained FCF supports reinvestment in product, partner onboarding and working capital, reducing dependence on external financing for growth initiatives over the next 2–6 months.

Negative Factors

Deteriorating profitability

Profitability has deteriorated sharply, with margins compressing and net losses in 2024–2025. Persistent negative returns erode shareholder value and mean Green Dot must either restore higher-margin revenue mix or sustain structural cost reductions to translate top-line growth into durable earnings.

Weakness in consumer and staffing channels

Declines in retail/direct consumer accounts and ongoing headwinds in Rapid Employer Services reduce a historically important fee and transaction revenue pool. Structural pressure in these channels makes overall recovery more dependent on B2B success and slows rebalancing to higher-margin revenue streams.

Volatile cash flow and earnings quality

While 2025 showed FCF improvement, multi-year volatility in cash generation and recurring net losses undermine predictability. This variability complicates capital planning and makes it harder to rely on internal cash for sustained investment or to smooth returns without clearer, consistent profitability improvement.

Green Dot Business Overview & Revenue Model

Company Description

Green Dot Corporation, a financial technology and bank holding company, provides various financial products to consumers and businesses in the United States. It operates through three segments: Consumer Services, Business to Business Services, and Money Movement Services. The company offers deposit account programs, including consumer and small business checking account products, network-branded reloadable prepaid debit cards and gift cards, and secured credit programs. It also provides money processing services, such as cash transfer services that enable consumers to deposit or pick up cash and pay bills with cash at the point-of-sale at any participating retailer; and simply paid disbursement services, which enable wages and authorized funds disbursement to its deposit account programs and accounts issued by any third-party bank or program manager. In addition, the company offers tax processing services comprising tax refund transfers, which provide the processing technology to facilitate receipt of a taxpayers' refund proceeds; small business lending to independent tax preparation providers that seek small advances; and fast cash advance, a loan that enables tax refund recipients. Green Dot Corporation was incorporated in 1999 and is headquartered in Austin, Texas.

How the Company Makes Money

Green Dot generates revenue through multiple streams, primarily from fees associated with its prepaid debit card services. These fees include activation fees, monthly service fees, transaction fees, and ATM withdrawal fees. Additionally, the company earns money from interest on cash balances held on its cards, as well as from interchange fees charged to merchants when customers use their Green Dot cards for purchases. Significant partnerships with major retailers and financial institutions also contribute to its earnings, as they allow Green Dot to expand its distribution channels and enhance its service offerings. Furthermore, Green Dot has diversified its revenue by providing banking as a service (BaaS) solutions to other companies, enabling them to offer their own financial products backed by Green Dot's infrastructure.

Green Dot Financial Statement Overview

Summary

Revenue has grown over time, and operating/free cash flow rebounded in 2025, but profitability has deteriorated sharply with losses in 2024–2025 and compressed margins. The balance sheet is a support (low leverage), yet negative returns highlight weak current earnings power.

Income Statement

Revenue has grown over time (2020: ~$1.25B to 2025: ~$2.08B, with ~3.4% growth in 2025), but profitability has deteriorated meaningfully. Net income swung from solid profits in 2021–2022 to a small profit in 2023 and then losses in 2024 and a much larger loss in 2025 (net margin ~-4.8% in 2025). EBITDA margin also compressed sharply versus earlier years, signaling weaker operating performance and/or higher costs.

Balance Sheet

Leverage appears conservative, with low debt relative to equity (debt-to-equity ~0.07 in 2025), providing balance-sheet flexibility. Equity remains substantial (~$890M in 2025) and assets have grown alongside the business. The key weakness is returns: return on equity turned negative in 2024 and worsened in 2025, reflecting that the balance sheet is healthy but currently not being translated into shareholder returns.

Cash Flow

Cash generation improved in the most recent year: operating cash flow rose to ~$139M in 2025 and free cash flow matched it, with strong reported free-cash-flow growth versus 2024. However, cash flow has been volatile across years (very strong in 2022, weak free cash flow in 2024), and the company is currently reporting net losses—so while cash flow is a relative bright spot, consistency and earnings quality remain watch items.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.08B	1.72B	1.50B	1.45B	1.43B
Gross Profit	510.15M	580.08M	620.54M	723.91M	779.08M
EBITDA	140.73M	77.53M	102.61M	174.73M	151.12M
Net Income	-98.87M	-26.70M	6.72M	64.21M	47.48M
Balance Sheet
Total Assets	5.99B	5.43B	4.82B	4.79B	4.73B
Cash, Cash Equivalents and Short-Term Investments	1.42B	1.62B	716.12M	813.95M	1.32B
Total Debt	65.47M	59.58M	67.06M	43.41M	15.13M
Total Liabilities	5.09B	4.56B	3.96B	4.01B	3.65B
Stockholders Equity	890.25M	873.59M	859.35M	781.48M	1.07B
Cash Flow
Free Cash Flow	66.02M	7.10M	21.58M	193.36M	109.60M
Operating Cash Flow	138.56M	81.38M	97.52M	277.69M	167.03M
Investing Cash Flow	-450.53M	81.40M	33.16M	-820.19M	-1.37B
Financing Cash Flow	141.28M	743.15M	-264.02M	36.71M	1.03B

Green Dot Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GDOT, the sentiment is Negative. The current price of 10.65 is below the 20-day moving average (MA) of 11.48, below the 50-day MA of 11.89, and below the 200-day MA of 12.05, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 42.99 is Neutral, neither overbought nor oversold. The STOCH value of 61.77 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GDOT.

Green Dot Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WU	68 Neutral	$2.88B	6.09	53.92%	10.18%	-2.51%	17.47%
OMF	68 Neutral	$5.97B	10.25	23.40%	6.07%	9.51%	29.38%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SOFI	63 Neutral	$21.78B	62.56	5.87%	―	22.40%	215.81%
ALLY	51 Neutral	$11.77B	16.52	5.74%	2.58%	-6.89%	-33.20%
GDOT	49 Neutral	$621.80M	-7.14	-10.77%	―	23.12%	19.37%
UPST	49 Neutral	$2.63B	78.35	7.29%	―	73.29%	―

Green Dot Corporate Events

Green Dot finalizes executive leadership with permanent appointments

On January 7, 2026, Green Dot Corporation reported that the interim leadership roles held since March 2025 by William I. Jacobs and Chris Ruppel were made permanent, marking a formal transition in its executive team. Effective January 6, 2026, the board appointed Jacobs as Chief Executive Officer of Green Dot Corporation and Ruppel as President of the company and as Chief Executive Officer and President of Green Dot Bank, signaling a move toward leadership stability that may shape the company’s strategic direction and operations across its banking and financial services businesses.

The most recent analyst rating on (GDOT) stock is a Hold with a $13.50 price target. To see the full list of analyst forecasts on Green Dot stock, see the GDOT Stock Forecast page.