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DAVE · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Dave Inc. Class A Common Stock (DAVE) stock moving?
Dave's Q3 2026 print was strong: revenue rose 31% year over year to $198M, adjusted EBITDA rose 39% to $82M with a 41% margin, net income was $64M, and the 28-day past due rate improved to 2.09%. Management raised FY2026 sales guidance to $746M-$750M and adjusted EPS guidance to $17.45-$17.65, both above consensus. Despite this, the stock fell from a $336.22 close on Nov 4 to $275.34 on Nov 5 (about -18%) on roughly 1.47M shares, about three times the typical 30-day volume. The sell-off coincided with reports of subpoenas and inquiries from regulators in Connecticut, Maryland and New York; that report comes from a shareholder-investigation press release, so its details are unverified. The selloff also followed the relaxed legacy fee caps, which investors may view as a regulatory risk. JP Morgan kept its Overweight rating but lowered its target to $435, roughly 59% above the Nov 10 close of $273.85. Since Oct 22 the stock is down about 28%, and it made a lower low on Nov 10 ($265.09) than on Nov 6 ($270.06). Volume has since normalized to about 318K shares, which suggests the forced selling is easing. The 10-Q was filed alongside the results, but its content is not in the supplied data.
News behind the analysis
- JP Morgan Maintains Overweight on Dave, Lowers Price Target to $435JP Morgan kept its Overweight rating on Dave but cut its price target to $435. The prior target is not stated in the supplied data.
- Dave Inc. Faces Regulatory Subpoenas and InquiriesDave has reportedly received subpoenas and inquiries from government departments in Connecticut, Maryland and New York about its financial products. The report comes from a shareholder-investigation press release, so details are not independently verified.
- Key Facts: Dave Revenue Up 31%, Members Up 18%, Receivables Capacity to $325MDave reported Q3 2026 revenue up 31% year over year and amended its credit agreement with Coastal Community Bank to increase receivables capacity.
- Dave Q3 2026 Earnings Call TranscriptDave reported third-quarter 2026 results on Nov 4 and published the earnings call transcript.
- Dave Raises FY2026 Adj EPS Guidance from $17.00-$17.50 to $17.45-$17.65 vs $14.54 Est; Raises FY2026 Sales Guidance from $725.000M-$735.000M to $746.000M-$750.000M vs $730.508M EstDave raised its FY2026 adjusted EPS guidance to $17.45-$17.65 and its sales guidance to $746M-$750M, both above consensus estimates.
- Dave Q3 Adj. EPS $4.39 Beats $4.33 Estimate, Sales $197.700M Beat $191.551M EstimateDave beat third-quarter consensus on adjusted EPS ($4.39 vs $4.33) and sales ($197.7M vs $191.6M).
About Dave Inc. Class A Common Stock
Dave Inc. is a Los Angeles-based neobank that offers a mobile banking app to everyday Americans, best known for ExtraCash, its small, short-term cash advance product, along with a debit card and checking account. It stands out for using its own underwriting model (CashAI) to make small advances to customers who often live paycheck to paycheck, and it has about 3 million monthly transacting members.
How it makes money
Most revenue comes from ExtraCash advances, mainly through fees on originations, which run about $2 billion+ per quarter. Smaller amounts come from debit card interchange fees (card spend is roughly $0.5 billion per quarter), subscription fees and other services. Full-year 2026 revenue guidance is approximately $746–750 million, up about 35% from the year before.
What usually moves DAVE
- Member growth and customer acquisition costs
- ExtraCash credit losses and delinquency rates
- Revenue per user and fee/pricing changes
- Regulation of cash advances and consumer fintech fees
- Share buybacks and quarterly guidance updates