NerdWallet, Inc. Class A (NRDS) AI Stock Analysis

• Market Cap: $915.04M
• Dividend Yield: N/A
• Average Volume (3M): 492.98K
• Price to Earnings (P/E): 19.3
• Beta (1Y): 1.07
• Revenue Growth: 28.75%
• EPS Growth: N/A
• Country: US
• Employees: 650
• Sector: Communication Services
• Sector Strength: 97
• Industry: Financial - Credit Services
• EPS (TTM): 0.34
• Shares Outstanding: 44,314,453
• 10 Day Avg. Volume: 530,769
• 30 Day Avg. Volume: 492,977
• PEG Ratio: -0.09
• Price to Book (P/B): 2.79
• Price to Sales (P/S): 1.48
• P/FCF Ratio: 14.29
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $16.67
• Price Target Upside: 22.21% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 80 Outperform
• Price Target: $15.50 ▲(13.64% Upside)

NerdWallet, Inc. receives a strong overall score driven by robust earnings performance and positive technical indicators. The company's solid financial health and strategic focus on growth areas further enhance its prospects. However, valuation concerns and challenges in certain business segments slightly temper the outlook.

Positive Factors

Revenue Growth

The consistent revenue growth indicates strong market demand and effective business strategies, enhancing long-term financial stability.

Operational Efficiency

Enhanced operational efficiency supports sustainable profitability and competitive positioning, allowing for better resource allocation and growth.

Cash Generation

Strong cash generation enhances financial flexibility, enabling strategic investments and shareholder returns, supporting long-term growth.

Negative Factors

Vertical Challenges

Declines in key verticals could hinder revenue diversification and growth, posing risks if not addressed through strategic adjustments.

Marketing Spend Reduction

Reduced marketing spend may impact brand visibility and customer acquisition, potentially affecting future revenue growth if prolonged.

Low EBIT and EBITDA Margins

Low margins indicate potential inefficiencies, which could limit profitability and competitiveness if not improved over time.

NerdWallet, Inc. Class A Business Overview & Revenue Model

Company Description

NerdWallet, Inc. Class A (NRDS) is a personal finance technology company that provides consumers with tools and resources to make informed financial decisions. Founded in 2010, the company operates primarily in the financial services sector, offering a range of products and services that include credit card comparisons, loan calculators, and financial advice. NerdWallet aims to simplify the complex world of finance by empowering individuals with the information they need to manage their money effectively and achieve their financial goals.

How the Company Makes Money

NerdWallet generates revenue primarily through affiliate marketing, where it earns commissions by referring users to financial products such as credit cards, mortgages, and insurance policies. When users apply for and are approved for these products through NerdWallet's platform, the company receives a fee from the financial institutions. Additionally, NerdWallet offers premium services and tools for consumers and financial advisors, further enhancing its revenue. The company also partners with various banks and lenders to provide tailored financial solutions and has developed a strong brand presence in the personal finance domain, contributing to its ability to attract users and drive revenue.

NerdWallet, Inc. Class A Financial Statement Overview

Summary

NerdWallet, Inc. presents a solid financial profile with strong revenue growth, high profitability margins, and a stable balance sheet. The company has effectively managed its leverage and demonstrated significant improvements in cash flow generation. While operational efficiency could be enhanced, the overall financial health is commendable, positioning the company well for future growth.

Income Statement

NerdWallet, Inc. has demonstrated strong revenue growth with a TTM revenue increase of 4.94%. The company maintains a high gross profit margin of over 91%, indicating efficient cost management. Net profit margin has improved significantly to 6.11% in the TTM, reflecting enhanced profitability. However, EBIT and EBITDA margins remain relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.05, indicating conservative leverage. Return on equity has improved to 13.01%, showcasing effective use of equity to generate profits. The equity ratio stands at a healthy level, reflecting a strong capital structure. Overall, the company exhibits financial stability with minimal leverage risks.

Cash Flow

NerdWallet, Inc. has shown impressive free cash flow growth of 30.20% in the TTM, indicating strong cash generation capabilities. The operating cash flow to net income ratio is favorable at 1.20, suggesting efficient cash conversion. However, the free cash flow to net income ratio of 0.87 indicates potential for further improvement in cash flow relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	795.00M	687.60M	599.40M	538.90M	379.60M	245.30M
Gross Profit	728.20M	624.10M	545.40M	499.10M	351.10M	224.00M
EBITDA	85.10M	54.10M	55.30M	19.50M	-1.40M	23.90M
Net Income	73.30M	30.40M	-11.80M	-10.20M	-42.50M	5.30M
Balance Sheet
Total Assets	492.80M	437.60M	418.60M	425.70M	364.10M	255.20M
Cash, Cash Equivalents and Short-Term Investments	120.60M	68.50M	102.50M	85.90M	169.80M	85.40M
Total Debt	0.00	8.90M	9.60M	12.70M	15.10M	45.10M
Total Liabilities	90.40M	73.40M	51.70M	84.00M	106.50M	172.50M
Stockholders Equity	402.40M	364.20M	366.90M	341.70M	257.60M	82.70M
Cash Flow
Free Cash Flow	96.60M	71.20M	42.60M	-7.20M	-15.80M	-3.30M
Operating Cash Flow	102.60M	71.80M	72.10M	25.00M	7.20M	15.40M
Investing Cash Flow	-25.70M	-29.70M	-29.50M	-100.30M	-23.00M	-55.40M
Financing Cash Flow	-27.90M	-76.50M	-26.20M	-8.40M	100.20M	55.70M

NerdWallet, Inc. Class A Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NRDS, the sentiment is Positive. The current price of 13.64 is above the 20-day moving average (MA) of 11.58, above the 50-day MA of 11.10, and above the 200-day MA of 10.71, indicating a bullish trend. The MACD of 0.44 indicates Negative momentum. The RSI at 78.35 is Negative, neither overbought nor oversold. The STOCH value of 77.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NRDS.

NerdWallet, Inc. Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NRDS	80 Outperform	$915.04M	19.28	12.24%	―	28.75%	―
LC	69 Neutral	$2.08B	20.43	7.40%	―	9.68%	94.85%
SOFI	68 Neutral	$35.64B	49.09	8.59%	―	22.40%	215.81%
WU	65 Neutral	$2.82B	3.85	97.70%	10.33%	-2.51%	17.47%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GDOT	59 Neutral	$669.70M	―	-2.68%	―	22.15%	57.64%
LU	52 Neutral	$2.43B	―	―	―	―	―

NerdWallet, Inc. Class A Corporate Events

NerdWallet Reports Strong Q3 2025 Earnings Growth

NerdWallet, Inc., a personal finance company, offers consumers and small businesses financial guidance through its website and app, focusing on helping users make informed financial decisions. In its third quarter of 2025, NerdWallet reported a revenue of $215.1 million, marking a 12% increase compared to the previous year. The company achieved a GAAP net income of $26.3 million, or $0.34 per diluted share, and an adjusted EBITDA of $53.6 million.

NerdWallet Reports Strong Q3 2025 Financial Results

On November 6, 2025, NerdWallet, Inc. announced its financial results for the third quarter ending September 30, 2025, reporting a 12% year-over-year increase in revenue to $215.1 million. Despite challenges in organic search traffic affecting credit card and SMB products revenue, the company saw significant growth in loans and emerging verticals, with loans revenue up 66% and emerging verticals up 83%. The company also reported a GAAP net income of $26.3 million, reflecting strong operational efficiency and strategic marketing efforts, positioning NerdWallet for long-term growth.

The most recent analyst rating on (NRDS) stock is a Buy with a $14.00 price target. To see the full list of analyst forecasts on NerdWallet, Inc. Class A stock, see the NRDS Stock Forecast page.

NerdWallet Expands Share Repurchase Authorization to $75M

On September 13, 2025, NerdWallet, Inc. announced an amendment to its share repurchase authorization, increasing the total amount from $25 million to $75 million. This move allows the company flexibility in repurchasing shares, potentially enhancing shareholder value, and reflects its confidence in its financial position amidst varying market conditions.

The most recent analyst rating on (NRDS) stock is a Buy with a $12.00 price target. To see the full list of analyst forecasts on NerdWallet, Inc. Class A stock, see the NRDS Stock Forecast page.

NerdWallet’s Earnings Call Highlights Growth Amid Challenges

The recent earnings call for NerdWallet, Inc. Class A highlighted a strong focus on operational efficiency and strategic growth through acquisitions. The company reported notable revenue growth and profitability improvements, although revenue fell short of guidance due to temporary disruptions. Challenges from organic search headwinds also posed significant hurdles.

NerdWallet Reports Strong Q2 2025 Revenue Growth

NerdWallet, Inc. Class A is a financial technology company that provides personalized financial advice and tools to help consumers make informed financial decisions, primarily operating in the personal finance sector. The company is known for its extensive range of financial products and services, including credit cards, insurance, and banking solutions.