Want to see NRDS full AI Analyst Report?
Top Page
NerdWallet, Inc. Class A
(NASDAQ:NRDS)
Select Model
Select Model
Rating:74Outperform
Price Target:
$10.00
▲(12.61% Upside)
Action:Reiterated
Date:08/07/26
NRDS scores well primarily due to strong financial performance: profitable growth, robust cash generation, and a near-debt-free balance sheet. Valuation is supportive with a low P/E. Offsetting these positives are a mixed technical setup (still below longer-term averages) and earnings-call risks around near-term margin pressure and guidance uncertainty driven by auto-insurance monetization issues, SMB weakness, and increased investment spend.
Positive Factors
Robust cash generation
Sustained operating cash flow near $140M TTM and free-cash-flow conversion close to net income indicate high earnings quality and strong internal funding. This durable cash generation supports buybacks, reinvestment in verticals, and cushions cyclical traffic or partner shocks over multiple quarters.
Negative Factors
Insurance partner concentration
High reliance on a few insurance carriers creates structural revenue volatility: when a major partner reduces spend or changes terms, revenues and NGOI can swing materially. Diversification and integration will take quarters to meaningfully reduce this concentration risk.
Read all positive and negative factors
Positive Factors
Negative Factors
Robust cash generation
Sustained operating cash flow near $140M TTM and free-cash-flow conversion close to net income indicate high earnings quality and strong internal funding. This durable cash generation supports buybacks, reinvestment in verticals, and cushions cyclical traffic or partner shocks over multiple quarters.
Read all positive factors
NerdWallet, Inc. Class A Key Performance Indicators (KPIs)
Any
Revenue by Category
Breaks down revenue streams across different business segments, highlighting areas of strength and potential growth opportunities within the company's diverse offerings.
Breaks down revenue streams across different business segments, highlighting areas of strength and potential growth opportunities within the company's diverse offerings.
Data provided by:
The Fly
The FlyNerdWallet, Inc. Class A (NRDS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$592.19M
Dividend YieldN/A
Average Volume (3M)640.08K
Price to Earnings (P/E)9.5
Beta (1Y)1.03
Revenue Growth15.61%
EPS Growth133.31%
CountryUS
Employees650
SectorCommunication Services
Sector Strength97
IndustryInternet Content & Information
Share Statistics
EPS (TTM)0.95
Shares Outstanding34,113,132
10 Day Avg. Volume537,967
30 Day Avg. Volume640,075
Financial Highlights & Ratios
PEG Ratio0.32
Price to Book (P/B)2.69
Price to Sales (P/S)1.20
P/FCF Ratio7.73
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$12.67Price Target Upside42.64% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)0.91
Revenue Forecast (FY)$883.81M
NerdWallet, Inc. Class A Business Overview & Revenue Model
Company Description
NerdWallet, Inc. operates an online platform dedicated to providing tailored financial advice for both individual consumers and small to medium-sized businesses. The company facilitates connections between these users and various financial product...
How the Company Makes Money
NerdWallet primarily makes money by monetizing user traffic and intent on its personal finance platform through performance-based marketing and lead-generation relationships with financial services providers. When users compare products and then t...
NerdWallet, Inc. Class A Earnings Call Summary
Earnings Call Date:May 06, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Nov 04, 2026
Earnings Call Sentiment Positive
The call presents a largely positive underlying business momentum: revenue grew 6% year over year with strong consumer performance, substantial improvements in profitability (NGOI, GAAP operating income, and adjusted EBITDA all posted Q1 records), and marked free cash flow expansion (TTM FCF up ~125%). However, near-term headwinds — notably lower monetization from a large auto insurance partner, a 15% decline in SMB revenue, consumer credit card weakness, and a notable cash decline due to buybacks and an acquisition — introduce uncertainty and have prompted a more conservative low-end guidance. Management is balancing these near-term challenges by accelerating multi-quarter investments in vertical integration and diversification, which weigh on the short-term NGOI floor but are positioned to bolster long-term resiliency and growth.Positive Updates
Total Revenue Growth
Reported total revenue of $222 million, up 6% year over year, driven by strength in the consumer vertical.
Negative Updates
Auto Insurance Monetization Shortfall
Monetization from one large auto insurance partner ran below expectations beginning in March, negatively impacting Q1 results and expected to have a greater impact in Q2; this contributed to lowering the low end of full-year NGOI guidance.
Read all updates
Q1-2026 Updates
Positive
Negative
Total Revenue Growth
Reported total revenue of $222 million, up 6% year over year, driven by strength in the consumer vertical.
Read all positive updates
Company Guidance
Management guided Q2 revenue to $186 million to an upper bound that was inaudible on the call (midpoint implies roughly 4% year‑over‑year growth) and Q2 non‑GAAP operating income (NGOI) of $6 million to $14 million, noting Q2 is seasonally soft; for full‑year 2026 they reiterated NGOI of $85 million to $110 million (reaffirming the high end while lowering the low end to reflect planned vertical‑integration investments and uncertainty from auto‑insurance monetization), expect revenue to grow in the mid‑ to high‑single digits year over year with quarter‑over‑quarter revenue growth in each remaining quarter, and said NGOI will be supported by ongoing corporate G&A discipline and performance‑marketing‑led growth in banking and personal loans—contextually coming after Q1 results of $222M total revenue (up 6% YoY), consumer revenue of $198M (up 10%), SMB revenue of $25M (down 15%), NGOI of $34M (15% margin), and adjusted EBITDA of $45M.NerdWallet, Inc. Class A Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
88
Very Positive
Cash Flow
85
Very Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 849.60M | 836.60M | 687.60M | 599.40M | 538.90M | 379.60M |
| Gross Profit | 790.50M | 772.90M | 624.10M | 545.40M | 499.10M | 351.10M |
| EBITDA | 139.40M | 116.00M | 54.10M | 55.30M | 19.50M | -1.40M |
| Net Income | 68.90M | 48.70M | 30.40M | -11.80M | -10.20M | -42.50M |
Balance Sheet | ||||||
| Total Assets | 432.00M | 461.10M | 437.60M | 418.60M | 425.70M | 364.10M |
| Cash, Cash Equivalents and Short-Term Investments | 56.30M | 98.30M | 68.50M | 102.50M | 85.90M | 169.80M |
| Total Debt | 0.00 | 0.00 | 8.90M | 9.60M | 12.70M | 15.10M |
| Total Liabilities | 95.80M | 86.60M | 73.40M | 51.70M | 84.00M | 106.50M |
| Stockholders Equity | 336.20M | 374.50M | 364.20M | 366.90M | 341.70M | 257.60M |
Cash Flow | ||||||
| Free Cash Flow | 130.90M | 130.30M | 71.20M | 42.60M | -7.20M | -15.80M |
| Operating Cash Flow | 140.60M | 131.60M | 71.80M | 72.10M | 25.00M | 7.20M |
| Investing Cash Flow | -48.40M | -33.30M | -29.70M | -29.50M | -100.30M | -23.00M |
| Financing Cash Flow | -127.80M | -66.10M | -76.50M | -26.20M | -8.40M | 100.20M |
NerdWallet, Inc. Class A Risk Analysis
NerdWallet, Inc. Class A disclosed 57 risk factors in its most recent earnings report. NerdWallet, Inc. Class A reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
NerdWallet, Inc. Class A Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $592.19M | 9.47 | 18.34% | ― | 15.61% | 133.31% | |
61 Neutral | $20.92B | 31.98 | 6.18% | ― | 34.08% | -0.29% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
59 Neutral | $743.08M | -10.16 | -7.74% | ― | 18.96% | -1025.15% | |
57 Neutral | $1.98B | 5.13 | 47.95% | 11.44% | -1.65% | -53.21% | |
52 Neutral | $2.33B | -3.42 | -1.66% | ― | ― | ― |
* Communication Services Sector Average
NRDS
NerdWallet, Inc. Class A
8.84
-2.24
-20.22%
GDOT
Green Dot
13.39
3.69
38.04%
WU
Western Union
7.16
>-0.01
-0.06%
LU
Lufax Holding
1.49
-1.33
-47.16%
SOFI
SoFi
18.10
-3.98
-18.03%
NerdWallet, Inc. Class A Corporate Events
Business Operations and StrategyFinancial Disclosures
NerdWallet Reports Q2 Revenue Growth Amid Margin Pressure
Negative
Aug 6, 2026
On August 6, 2026, NerdWallet reported second-quarter 2026 results showing revenue of $197.3 million, a 6% year-on-year increase, with GAAP income from operations of $7.0 million and GAAP net income of $4.3 million, or $0.07 per diluted share. Con...
Executive/Board ChangesShareholder Meetings
NerdWallet Appoints Teresa Chia to Board, Audit Committee
Positive
May 22, 2026
On May 21, 2026, NerdWallet’s board appointed Teresa Chia as an independent director effective May 22, 2026, filling the vacancy left by director Jennifer Ceran’s decision not to stand for re-election. Chia was also named to the audit ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.