DAVE
New bull on the block
JPMorgan’s Connor Allen came out swinging on Dave, calling the fintech’s growth and profitability profile “impressive” and slapping it with an Overweight rating plus a $480 price target. That’s a pretty loud vote of confidence for a company that’s trying to turn the old paycheck-to-bills gap into a business model.
Why the Street is paying attention
Allen’s case is basically: Dave is growing fast, making money, and doing it with a lean operating model that would make a startup founder smile.
- Revenue growth is expected to come in at 33% in 2026 and 27% in 2027.
- Adjusted EBITDA margins are projected at 44.1% next year and 45.9% the year after.
- Revenue per employee has more than doubled since 2023 to nearly $2 million.
- Gross profit per employee is around $1.4 million, which Allen says tops Visa and Chime on a relative headcount basis.
That’s the kind of math analysts love because it says the company isn’t just growing — it’s scaling without turning into a headcount-fueled bonfire.
The thesis in plain English
Dave’s core product, ExtraCash, reportedly drives 85% of direct revenue, and the analyst thinks demand for short-duration liquidity products is still strong. Add in higher subscription pricing for new members, plus more flexibility now that legacy fee caps are off the table, and you get a setup where average transaction sizes and approval limits could keep climbing.
Big picture: when a company can grow fast, keep margins fat, and still look cheap on forward multiples, Wall Street tends to get a little extra smug. Today, Dave got that treatment.