On August 6, Chime Financial, Inc. rose 5.59% overnight, trading at $27.37/share. The movement was driven by the company's stronger-than-expected second-quarter earnings report released after hours on August 5.
Chime reported Q2 EPS of $0.07, significantly beating the consensus estimate of $0.00, while revenue came in at $669.77 million versus the $640.41 million estimate, representing 27% year-over-year growth. Active users grew 20% to 10.4 million, with average revenue per active user rising to $260. The company also raised its full-year revenue guidance to $2.725B-$2.745B, above the FactSet estimate of $2.68B, implying 25%-26% annual growth.
Additionally, Chime disclosed in SEC filings that Q3 stock-based compensation expenses are expected to decline by $9-12 million, following a recent workforce reduction of approximately 150 employees aimed at leveraging AI to improve operational efficiency. Multiple institutions maintain buy ratings with an average target price of approximately $30.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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