Digging Through Green Dot Corporation (GDOT) Fundamentals

On Friday, shares of Green Dot Corporation (NYSE:GDOT) marked $38.73 per share versus a previous $40.08 closing price. With having a -3.37% loss, an insight into the fundamental values of Green Dot Corporation, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. GDOT showed a rise of 66.22% within its YTD performance, with highs and lows between $14.20 – $51.86 during the period of 52 weeks, compared to the simple moving average of 36.56% in the period of the last 200 days.

Needham equity researchers changed the status of Green Dot Corporation (NYSE: GDOT) shares to a “Buy” rating in the report published on May 12th, 2020. Other analysts, including BTIG Research, also published their reports on GDOT shares. BTIG Research repeated the rating from the previous report, marking GDOT under “Buy” rating, in the report published on March 26th, 2020. Additionally, GDOT shares got another “Outperform” rating from Northland Capital, setting a target price of $35 on the company’s shares, according to the report published in March 19th, 2020. On the other hand, Citigroup Upgrade the “Neutral” rating for GDOT shares, as published in the report on February 4th, 2020. Citigroup seems to be going bullish on the price of GDOT shares, based on the price prediction for GDOT, indicating that the shares will jump from $27 to $21, giving the shares “Sell” rating based on their report from December 19th, 2019. Another “Neutral” rating came from Guggenheim.

Green Dot Corporation (GDOT) Analysis

The present dividend yield for GDOT owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with Green Dot Corporation, the company needs to provide a healthy cash flow, currently at the value of 20.40. In addition, the growth of sales from quarter to quarter is recording 6.40%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Green Dot Corporation (GDOT) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 8.80% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 1.00 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while GDOT is currently recording an average of 753.25K in volumes. The volatility of the stock on monthly basis is set at 5.28%, while the weekly volatility levels are marked at 5.40%with 5.30% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $39.67, indicating growth from the present price of $38.73, which can represent yet another valuable research and analysis points that can help you decide whether to invest in GDOT or pass.

What to Look for When Analyzing Green Dot Corporation Shares?

Green Dot Corporation (GDOT) is based in the USA and it represents one of the well-known company operating with Financial sector. If you wish to compare GDOT shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 24.89 for Green Dot Corporation, while the value 18.44 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 1.56 is supported by the yearly EPS growth of -13.90%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 3.20%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 97.20% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in GDOT Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in GDOT in the recent period. That is how BlackRock Fund Advisors now has an increase position in GDOT by 23.01% in the first quarter, owning 6.71 million shares of GDOT stocks, with the value of $256.12 million after the purchase of an additional 1,254,689 shares during the last quarter. In the meanwhile, Starboard Value LP also increased their stake in GDOT shares changed — in the first quarter, which means that the company now owns 4.96 million shares of company, all valued at $189.37 million after the acquisition of additional 4,960,000 shares during the last quarter.

The Vanguard Group, Inc. acquired a new position in Green Dot Corporation during the first quarter, with the value of $187.62 million, and T. Rowe Price Associates, Inc. increased their stake in the company’s shares by 12.43% in the first quarter, now owning 247,052 shares valued at $85.31 million after the acquisition of the additional 2.23 million shares during the last quarter. In the end, No Street GP LP increased their position by — during the first quarter, now owning 2.19 million GDOT shares, now holding the value of $83.61 million in GDOT with the purchase of the additional 1,190,000 shares during the period of the last quarter. At the present, 97.20% of GDOT shares are in the ownership of institutional investors.