Sezzle Inc. (SEZL) AI Stock Analysis

• Market Cap: $1.74B
• Dividend Yield: N/A
• Average Volume (3M): 928.08K
• Price to Earnings (P/E): 16.0
• Beta (1Y): 3.77
• Revenue Growth: 88.74%
• EPS Growth: 106.14%
• Country: US
• Employees: 402
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 0.71
• Shares Outstanding: 34,153,103
• 10 Day Avg. Volume: 1,273,252
• 30 Day Avg. Volume: 928,075
• PEG Ratio: 0.02
• Price to Book (P/B): 17.42
• Price to Sales (P/S): 5.64
• P/FCF Ratio: 38.79
• Enterprise Value/Market Cap: 1.63
• Enterprise Value/Revenue: 6.78
• Enterprise Value/Gross Profit: 9.04
• Enterprise Value/Ebitda: 18.44
• 1Y Price Target: $108.50
• Price Target Upside: 108.09% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 3.38
• Revenue Forecast (FY): $440.65M

• Rating: 72 Outperform
• Price Target: $64.00 ▲(22.75% Upside)

Sezzle Inc.'s overall stock score is driven by strong financial performance and positive earnings call highlights, including significant revenue growth and raised guidance. However, bearish technical indicators and valuation concerns moderate the score.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for Sezzle's services and effective market penetration, supporting long-term business expansion.

Cash Flow Management

Improved cash flow management enhances financial flexibility, allowing Sezzle to invest in growth opportunities and withstand economic fluctuations.

Customer Engagement

Increased customer engagement suggests strong brand loyalty and user satisfaction, which can drive sustained revenue growth and market share.

Negative Factors

Financial Stability

A low equity ratio may pose risks to financial stability, potentially limiting Sezzle's ability to absorb losses and invest in future growth.

Leadership Changes

CFO resignation can lead to transitional challenges and uncertainty in financial strategy, impacting investor confidence and operational continuity.

Macroeconomic Concerns

A volatile macro environment could affect consumer credit quality, impacting Sezzle's risk exposure and profitability in the BNPL sector.

Sezzle Inc. Business Overview & Revenue Model

Company Description

Sezzle Inc. (SEZL) is a financial technology company that specializes in providing buy now, pay later (BNPL) solutions for consumers and merchants. Founded in 2016, Sezzle aims to empower shoppers by allowing them to make purchases and pay for them over time, interest-free. The company operates primarily in the e-commerce sector, partnering with various online retailers to offer flexible payment options. Its core products and services include consumer payment plans, merchant integrations, and mobile applications that enhance the shopping experience.

How the Company Makes Money

Sezzle generates revenue primarily through merchant fees, which are charged to retailers for utilizing its BNPL services. When a consumer makes a purchase using Sezzle, the company pays the merchant upfront, while the consumer repays Sezzle in installments. Merchants pay a percentage of the transaction value as a fee to Sezzle for the service, which typically ranges from 2% to 6%. Additionally, Sezzle earns revenue from late fees charged to consumers who miss their payment deadlines. The company has also established partnerships with various e-commerce platforms and retailers, enhancing its market reach and contributing to its earnings through increased transaction volumes.

Sezzle Inc. Financial Statement Overview

Summary

Sezzle Inc. demonstrates strong financial performance with robust revenue growth, profitability, and cash flow management. However, the balance sheet indicates potential risks due to a relatively low equity ratio.

Income Statement

Sezzle Inc. has demonstrated strong revenue growth with a 12.6% increase in the TTM period. The company maintains healthy margins, with a gross profit margin of 69.6% and a net profit margin of 28.1%. EBIT and EBITDA margins are also robust at 37.2% and 37.5%, respectively, indicating efficient operations and profitability.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 1.01, reflecting balanced leverage. Return on equity is impressive at 103.3%, suggesting effective use of equity to generate profits. However, the equity ratio is relatively low, indicating potential risks in financial stability.

Cash Flow

Sezzle Inc. has achieved significant free cash flow growth of 97.6% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is 0.33, and the free cash flow to net income ratio is 0.96, reflecting strong cash flow management relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	418.63M	271.13M	159.36M	125.57M	0.00	58.79M
Gross Profit	314.26M	168.00M	73.78M	33.58M	-5.27M	36.30M
EBITDA	154.04M	82.04M	24.53M	-28.58M	-69.09M	-28.06M
Net Income	115.81M	78.52M	7.10M	-38.09M	-75.17M	-32.39M
Balance Sheet
Total Assets	366.96M	298.37M	212.65M	172.58M	223.40M	174.11M
Cash, Cash Equivalents and Short-Term Investments	104.15M	73.19M	67.62M	68.28M	76.98M	84.29M
Total Debt	118.17M	104.91M	95.67M	64.11M	78.22M	1.61M
Total Liabilities	211.69M	210.54M	190.55M	163.73M	185.61M	114.15M
Stockholders Equity	155.27M	87.84M	22.09M	8.84M	37.79M	59.96M
Cash Flow
Free Cash Flow	55.07M	39.44M	-27.06M	7.50M	-72.82M	-25.22M
Operating Cash Flow	56.59M	40.90M	-25.69M	8.51M	-72.13M	-24.81M
Investing Cash Flow	-2.51M	-1.46M	-1.37M	-1.01M	-1.42M	-732.91K
Financing Cash Flow	-7.13M	-10.37M	28.22M	-15.69M	63.24M	77.57M

Sezzle Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 52.14
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SEZL, the sentiment is Negative. The current price of 52.14 is below the 20-day moving average (MA) of 62.16, below the 50-day MA of 74.56, and below the 200-day MA of 84.97, indicating a bearish trend. The MACD of -7.10 indicates Positive momentum. The RSI at 27.06 is Positive, neither overbought nor oversold. The STOCH value of 12.15 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SEZL.

Sezzle Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FINV	76 Outperform	$1.40B	4.04	18.75%	5.00%	8.41%	34.76%
ENVA	73 Outperform	$2.99B	10.98	23.81%	―	21.10%	76.12%
SEZL	72 Outperform	$1.74B	16.02	107.03%	―	88.74%	106.14%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SOFI	66 Neutral	$32.61B	47.58	8.59%	―	22.40%	215.81%
LC	63 Neutral	$1.84B	17.96	7.40%	―	9.68%	94.85%
UPST	54 Neutral	$3.63B	163.61	4.81%	―	73.29%	―

Sezzle Inc. Corporate Events

Sezzle Inc. Reports Strong Q3 Growth Amid Challenges

Sezzle Inc.’s recent earnings call painted a picture of robust growth and strategic innovation, despite some challenges. The company reported impressive revenue and profitability metrics, alongside strong consumer engagement and successful new product launches. However, it also faces hurdles with its on-demand product and increased transaction-related costs, as well as an ongoing antitrust suit and exploratory expenses. Overall, the positive achievements seem to outweigh the concerns.

Sezzle Inc. Reports Strong Q3 2025 Growth

Sezzle Inc. is a fintech company that offers digital payment solutions, focusing on point-of-sale financing options to empower consumers financially. The company operates primarily in the financial technology sector, providing innovative payment solutions to enhance consumer purchasing power.

Sezzle Inc. Expands Borrowing Capacity to $225 Million

On October 30, 2025, Sezzle Inc. increased its borrowing capacity from $150 million to $225 million to support its business needs. Additionally, the company announced the transition of CFO Karen Hartje, who will continue in her role under a consulting agreement until her departure. Sezzle reported significant financial growth in the third quarter of 2025, with a 58.7% increase in Gross Merchandise Volume and a 67% rise in total revenue. The company also raised its financial guidance for 2025 and introduced guidance for 2026, reflecting its strong market position and continued expansion.

The most recent analyst rating on (SEZL) stock is a Hold with a $70.00 price target. To see the full list of analyst forecasts on Sezzle Inc. stock, see the SEZL Stock Forecast page.