NerdWallet, Inc. Class A (NRDS) AI Stock Analysis

• Market Cap: $1.01B
• Dividend Yield: N/A
• Average Volume (3M): 770.70K
• Price to Earnings (P/E): 13.7
• Beta (1Y): 0.97
• Revenue Growth: 24.71%
• EPS Growth: N/A
• Country: US
• Employees: 650
• Sector: Communication Services
• Sector Strength: 97
• Industry: Financial - Credit Services
• EPS (TTM): 0.34
• Shares Outstanding: 41,027,576
• 10 Day Avg. Volume: 689,101
• 30 Day Avg. Volume: 770,697
• PEG Ratio: -0.09
• Price to Book (P/B): 2.79
• Price to Sales (P/S): 1.48
• P/FCF Ratio: 14.29
• Enterprise Value/Market Cap: 0.71
• Enterprise Value/Revenue: 0.91
• Enterprise Value/Gross Profit: 0.99
• Enterprise Value/Ebitda: 7.36
• 1Y Price Target: $17.00
• Price Target Upside: 29.38% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.9
• Revenue Forecast (FY): $888.20M

• Rating: 76 Outperform
• Price Target: $17.00 ▲(29.38% Upside)

NerdWallet, Inc. receives a strong overall score of 76, driven primarily by its solid financial performance and positive earnings call results. The company's robust revenue growth and profitability, coupled with strategic share repurchases, bolster its position. Technical indicators and valuation suggest a stable market position, while challenges in certain verticals and user engagement are areas to watch.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Cash Generation

Strong cash generation supports operational flexibility and potential reinvestment in growth initiatives, bolstering future prospects.

Share Repurchase Program

Expanded share repurchase program reflects management's confidence in the company's long-term value, enhancing shareholder returns.

Negative Factors

Operational Efficiency

Low operational efficiency margins suggest potential challenges in cost management, which could impact profitability if not addressed.

SMB and Credit Cards Vertical Challenges

Challenges in key verticals could limit growth in these areas, necessitating strategic adjustments to regain momentum.

Brand Marketing Strategy

Reduced brand marketing spend may impact brand visibility and customer acquisition, potentially affecting long-term growth.

NerdWallet, Inc. Class A Business Overview & Revenue Model

Company Description

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. The company's platform offers guidance to consumers through educational content, tools and calculators, and product marketplaces, as well as NerdWallet app for various financial products, including credit cards, mortgages, insurance, SMB products, personal loans, banking, investing, and student loans. It serves customers in the United States, the United Kingdom, and Canada. The company was founded in 2009 and is based in San Francisco, California.

How the Company Makes Money

NerdWallet generates revenue primarily through affiliate marketing, where it earns commissions by referring users to financial products such as credit cards, mortgages, and insurance policies. When users apply for and are approved for these products through NerdWallet's platform, the company receives a fee from the financial institutions. Additionally, NerdWallet offers premium services and tools for consumers and financial advisors, further enhancing its revenue. The company also partners with various banks and lenders to provide tailored financial solutions and has developed a strong brand presence in the personal finance domain, contributing to its ability to attract users and drive revenue.

NerdWallet, Inc. Class A Financial Statement Overview

Summary

NerdWallet, Inc. presents a solid financial profile with strong revenue growth, high profitability margins, and a stable balance sheet. The company has effectively managed its leverage and demonstrated significant improvements in cash flow generation. While operational efficiency could be enhanced, the overall financial health is commendable, positioning the company well for future growth.

Income Statement

NerdWallet, Inc. has demonstrated strong revenue growth with a TTM revenue increase of 4.94%. The company maintains a high gross profit margin of over 91%, indicating efficient cost management. Net profit margin has improved significantly to 6.11% in the TTM, reflecting enhanced profitability. However, EBIT and EBITDA margins remain relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.05, indicating conservative leverage. Return on equity has improved to 13.01%, showcasing effective use of equity to generate profits. The equity ratio stands at a healthy level, reflecting a strong capital structure. Overall, the company exhibits financial stability with minimal leverage risks.

Cash Flow

NerdWallet, Inc. has shown impressive free cash flow growth of 30.20% in the TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is favorable at 1.20, suggesting efficient cash conversion. However, the free cash flow to net income ratio of 0.87 indicates potential for further improvement in cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	795.00M	687.60M	599.40M	538.90M	379.60M	245.30M
Gross Profit	728.20M	624.10M	545.40M	499.10M	351.10M	224.00M
EBITDA	98.00M	54.10M	55.30M	19.50M	-1.40M	17.10M
Net Income	73.30M	30.40M	-11.80M	-10.20M	-42.50M	5.30M
Balance Sheet
Total Assets	492.80M	437.60M	418.60M	425.70M	364.10M	255.20M
Cash, Cash Equivalents and Short-Term Investments	120.60M	68.50M	102.50M	85.90M	169.80M	85.40M
Total Debt	0.00	8.90M	9.60M	12.70M	15.10M	45.10M
Total Liabilities	90.40M	73.40M	51.70M	84.00M	106.50M	172.50M
Stockholders Equity	402.40M	364.20M	366.90M	341.70M	257.60M	82.70M
Cash Flow
Free Cash Flow	92.30M	71.20M	42.60M	-7.20M	-15.80M	-3.30M
Operating Cash Flow	102.60M	71.80M	72.10M	25.00M	7.20M	15.40M
Investing Cash Flow	-25.70M	-29.70M	-29.50M	-100.30M	-23.00M	-55.40M
Financing Cash Flow	-27.90M	-76.50M	-26.20M	-8.40M	100.20M	55.70M

NerdWallet, Inc. Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.14
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NRDS, the sentiment is Negative. The current price of 13.14 is below the 20-day moving average (MA) of 13.90, below the 50-day MA of 13.99, and above the 200-day MA of 11.31, indicating a neutral trend. The MACD of -0.18 indicates Positive momentum. The RSI at 40.49 is Neutral, neither overbought nor oversold. The STOCH value of 64.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NRDS.

NerdWallet, Inc. Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRDS	76 Outperform	$1.01B	13.65	20.23%	―	24.71%	―
WU	67 Neutral	$3.08B	4.21	97.70%	10.18%	-2.51%	17.47%
SOFI	67 Neutral	$34.54B	48.23	8.59%	―	22.40%	215.81%
LC	66 Neutral	$2.30B	22.61	7.40%	―	9.68%	94.85%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GDOT	56 Neutral	$696.58M	-14.69	-5.09%	―	23.12%	19.37%
LU	52 Neutral	$2.34B	-3.53	―	―	―	―

NerdWallet, Inc. Class A Corporate Events

NerdWallet Expands Share Repurchase Authorization to $125M

On December 16, 2025, NerdWallet, Inc.’s Board of Directors approved an amendment to the company’s share repurchase authorization, increasing the total amount authorized for repurchases from $75 million to $125 million. This move allows for flexibility in the timing and methods of repurchases, providing the company with an opportunity to enhance shareholder value while being influenced by business and market conditions, though it imposes no fixed obligations or requirements for repurchase amounts.

The most recent analyst rating on (NRDS) stock is a Buy with a $17.50 price target. To see the full list of analyst forecasts on NerdWallet, Inc. Class A stock, see the NRDS Stock Forecast page.

NerdWallet Reports Strong Q3 2025 Financial Results

On November 6, 2025, NerdWallet, Inc. announced its financial results for the third quarter ending September 30, 2025, reporting a 12% year-over-year increase in revenue to $215.1 million. Despite challenges in organic search traffic affecting credit card and SMB products revenue, the company saw significant growth in loans and emerging verticals, with loans revenue up 66% and emerging verticals up 83%. The company also reported a GAAP net income of $26.3 million, reflecting strong operational efficiency and strategic marketing efforts, positioning NerdWallet for long-term growth.

The most recent analyst rating on (NRDS) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on NerdWallet, Inc. Class A stock, see the NRDS Stock Forecast page.