Clear Secure assumed with a Hold at Loop Capital

Loop Capital assumed coverage of Clear Secure with a Hold rating and $21 price target. The company’s Q3 results were “solid” as enrollment adds were “strong” and bookings growth was “solid”, the analyst tells investors in a research note, noting that the driver for the stock is the clearly positive U.S. air passenger trends, new airports and lane openings, and the continued shift to digital identities as consumers look to streamline air travel by reducing security checkpoint friction at airports. The firm adds however that it prefers to do some more fundamental work to be more confident in its outlook to reach a reasoned conclusion on the direction of air travel.