Dave increases share repurchase authorization to $125 million

LOS ANGELES - Dave Inc. (NASDAQ:DAVE), the fintech company whose stock has surged over 400% in the past year, announced Wednesday that its Board of Directors has approved an increase in the company’s share repurchase authorization to $125 million, replacing the previous $50 million authorization announced on March 10, 2025. The company, currently valued at $2.49 billion, has demonstrated strong financial performance with nearly 48% revenue growth in the last twelve months.

The neobank has already deployed approximately $25 million to repurchase common stock since reporting second-quarter earnings on August 6. Year-to-date, Dave has invested more than $45 million through share repurchases and RSU net settlements to reduce its share count.

"Our recent share purchases and increased repurchase authorization reflect the confidence we have in our positive outlook and the proven durability of our business model," said Kyle Beilman, COO and CFO of Dave. The company’s robust financial position is evidenced by its healthy current ratio of 9.51 and strong balance sheet, with liquid assets significantly exceeding short-term obligations. According to InvestingPro analysis, Dave maintains a "GREAT" overall financial health score.

The company may repurchase shares through various methods, including open market transactions and privately negotiated transactions, in compliance with Rule 10b-18 of the Securities Exchange Act of 1934 and other applicable laws.

The timing, manner, and total amount of repurchases will be determined by management based on market conditions, stock price, and other factors. The program does not obligate Dave to acquire any specific number of shares and may be suspended or terminated at the company’s discretion.

Dave, which describes itself as a neobank and fintech company, serves millions of Americans with banking services. For investors seeking deeper insights into Dave’s financial outlook, InvestingPro offers exclusive access to 12 additional ProTips and comprehensive analysis through their detailed Pro Research Report, part of their coverage of over 1,400 US stocks.

This information is based on a press release statement issued by the company.

In other recent news, Dave Inc reported impressive second-quarter earnings that surpassed analyst expectations. The company achieved revenue of $132 million, marking a 64% increase compared to the previous year and a 22% rise from the prior quarter. This revenue figure exceeded JMP Securities’ model by 16%, leading the firm to raise its price target for Dave Inc from $260 to $280 while maintaining a Market Outperform rating. Additionally, Dave Inc reported adjusted earnings of $3.14 per share, significantly beating the analyst estimate of $1.49 per share. Revenue for the quarter was reported at $131.7 million, surpassing the consensus estimate of $112.83 million. The company also updated its full-year 2025 revenue guidance to a range of $505-515 million, exceeding the previous forecast of $460-475 million and analyst expectations of $469.5 million. Despite these strong financial results, investor concerns about rising delinquency rates and operating leverage have emerged.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.