Divisadero Street Capital Increases Stake in Dave to 4.2%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 21 2026
0mins
Source: Fool
- Increased Stake: Divisadero Street Capital Management increased its stake in Dave by 379,232 shares in Q1 2026, amounting to $73.63 million, indicating strong bullish sentiment, particularly as the stock rebounded from a 52-week low of $152.21 to a high of $287.69.
- Market Performance: As of May 14, 2026, Dave's shares were priced at $234.49, reflecting a 27.9% increase over the past year, outperforming the S&P 500 by 0.61 percentage points, showcasing its competitive edge and growing market recognition in the digital banking sector.
- Financial Health: Dave reported trailing twelve-month revenue of $604.62 million and net income of $224.99 million, with a five-year CAGR of 33.3%, highlighting rapid business growth and profitability that attract more investor interest.
- Investment Strategy: Divisadero's purchase has positioned Dave among its top five holdings, reflecting confidence in future growth, although the current stock price volatility suggests that investors should consider waiting for a price dip before entering the market.
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Analyst Views on DAVE
Wall Street analysts forecast DAVE stock price to rise
5 Analyst Rating
5 Buy
0 Hold
0 Sell
Strong Buy
Current: 268.820
Low
250.00
Averages
312.50
High
347.00
Current: 268.820
Low
250.00
Averages
312.50
High
347.00
About DAVE
Dave Inc. is a neobank, providing a mobile-first financial services platform designed to help people manage their money. The Company offers access to short-term liquidity, fee-free banking, and financial management tools. Its platform and products include ExtraCash and Dave Checking. ExtraCash is its flagship overdraft product, offered through its bank partners, that provides its members with credit in the form of a discretionary overdraft to bridge liquidity gaps between paychecks. Dave Checking is a digital demand deposit account offered through its bank partners with no account minimums or corresponding fees, and Federal Deposit Insurance Corporation (FDIC) pass-through insurance. Its members can open a Dave Checking account through its mobile application, add funds, and begin spending using a virtual or physical Dave branded debit Mastercard (Dave Debit Card). Its personal financial management products include Budget, Side Hustle, and Goals.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Dave Inc. to Join S&P SmallCap 600 Index
- Index Inclusion: Dave Inc. announced its inclusion in the S&P SmallCap 600 Index effective June 1, 2026, marking a recognition of the company's performance, liquidity, and market capitalization, which is expected to enhance its market visibility and investor confidence.
- Team Effort Recognition: Founder and CEO Jason Wilk stated that this milestone reflects the hard work of the team and the trust placed in the company by its members, further reinforcing confidence in Dave's growth algorithm and future potential.
- Innovative Financial Products: As a leading U.S. neobank, Dave focuses on pioneering innovative credit products for everyday Americans, and joining the SmallCap index is likely to attract more investor attention to its unique market positioning and product advantages.
- Strengthened Investor Relations: The company actively engages with investors through its investor relations website and social media platforms, and this index inclusion is expected to enhance interaction with investors, fostering a better understanding and support for its long-term strategy.
See More
Changes to S&P 500 and SmallCap 600 Indices Announced
- S&P 500 Changes: FedEx Freight Holding will replace EPAM Systems in the S&P 500 effective June 2, following a spin-off transaction expected to complete on June 1, ensuring FedEx remains in the index and solidifying its market position.
- SmallCap 600 Adjustments: EPAM Systems will take the place of Shutterstock in the S&P SmallCap 600, reflecting the dynamic shifts in the small-cap market and potentially impacting investor confidence in the index.
- Acquisition Activity: Shutterstock is anticipated to be acquired, a transaction that could affect its market performance, prompting investors to monitor the potential impact on its stock price.
- Dave Inc. Listing: Dave Inc. will replace American Woodmark Corp. in the S&P SmallCap 600 prior to June 1, indicating the vibrancy of the small-cap market and its appeal to emerging companies, potentially offering new investment opportunities for investors.
See More
Latest Wall Street Rating Updates
- Vipshop Rating Upgrade: UBS upgraded Vipshop (VIPS) from Neutral to Buy, indicating that despite near-term growth pressures, the company's earnings quality and shareholder returns are more attractive, showcasing resilience in a competitive e-commerce landscape.
- Seaport Therapeutics Initiation: JPMorgan initiated coverage on Seaport Therapeutics (SPTX) with an Overweight rating and a price target of $42 for December 2027, reflecting bullish sentiment and highlighting the company's potential for growth in the biotech sector.
- Apple Price Target Increase: Bank of America raised its price target on Apple (AAPL) from $330 to $380, emphasizing significant opportunities in agentic AI, while reiterating a Buy rating, which underscores confidence in the company's future growth trajectory.
- Dave Inc. Initial Rating: UBS initiated coverage on Dave Inc. with a Buy rating and a price target of $300, suggesting that the market underestimates the durability of its high-velocity credit model and earnings growth trajectory, indicating strong future potential.
See More
Divisadero Street Capital Increases Stake in Dave to 4.2%
- Increased Stake: Divisadero Street Capital Management increased its stake in Dave by 379,232 shares in Q1 2026, amounting to $73.63 million, indicating strong bullish sentiment, particularly as the stock rebounded from a 52-week low of $152.21 to a high of $287.69.
- Market Performance: As of May 14, 2026, Dave's shares were priced at $234.49, reflecting a 27.9% increase over the past year, outperforming the S&P 500 by 0.61 percentage points, showcasing its competitive edge and growing market recognition in the digital banking sector.
- Financial Health: Dave reported trailing twelve-month revenue of $604.62 million and net income of $224.99 million, with a five-year CAGR of 33.3%, highlighting rapid business growth and profitability that attract more investor interest.
- Investment Strategy: Divisadero's purchase has positioned Dave among its top five holdings, reflecting confidence in future growth, although the current stock price volatility suggests that investors should consider waiting for a price dip before entering the market.
See More
Divisadero Street Increases Stake in Dave
- Increased Stake: Divisadero Street Capital Management purchased an additional 379,232 shares of Dave in Q1 2026, with an estimated trade value of $73.63 million, indicating strong bullish sentiment towards the company.
- Rising Share Value: Post-purchase, Divisadero Street's total holdings in Dave reached 640,840 shares valued at $111.56 million, accounting for 4.2% of the fund's AUM, placing it among the top five holdings.
- Market Performance: Since the Q1 purchase, Dave's stock price surged from a 52-week low of $152.21 to a high of $287.69, reflecting positive market sentiment regarding its business growth.
- Financial Growth: Dave reported Q1 revenue of $158.4 million, representing a remarkable 47% year-over-year increase, showcasing its rapid development and competitive position in the digital banking sector.
See More
Dave Inc. Reports Strong Q1 2026 Earnings and Raises Guidance
- Significant Revenue Growth: Dave Inc. reported Q1 2026 revenue of $158.4 million, a 47% year-over-year increase, with adjusted EBITDA reaching $69.3 million at a 44% margin, indicating strong market performance and ongoing growth potential.
- Improved Credit Performance: The 28-day past due rate decreased to 1.69%, down 85 basis points from three years ago, demonstrating effective credit management and enhancing investor confidence in future performance.
- Upgraded Full-Year Outlook: The company now expects full-year 2026 revenue of $710 million to $720 million, with adjusted EBITDA guidance raised to $305 million to $315 million, reflecting management's optimistic outlook on sustained growth.
- Capital Return Strategy: In Q1, Dave Inc. deployed $194.9 million for share repurchases, reducing basic share count from 13.6 million to 12.7 million, showcasing proactive measures to enhance per-share value.
See More
Dave Inc. to Join S&P SmallCap 600 Index
- Index Inclusion: Dave Inc. announced its inclusion in the S&P SmallCap 600 Index effective June 1, 2026, marking a recognition of the company's performance, liquidity, and market capitalization, which is expected to enhance its market visibility and investor confidence.
- Team Effort Recognition: Founder and CEO Jason Wilk stated that this milestone reflects the hard work of the team and the trust placed in the company by its members, further reinforcing confidence in Dave's growth algorithm and future potential.
- Innovative Financial Products: As a leading U.S. neobank, Dave focuses on pioneering innovative credit products for everyday Americans, and joining the SmallCap index is likely to attract more investor attention to its unique market positioning and product advantages.
- Strengthened Investor Relations: The company actively engages with investors through its investor relations website and social media platforms, and this index inclusion is expected to enhance interaction with investors, fostering a better understanding and support for its long-term strategy.
See More
Changes to S&P 500 and SmallCap 600 Indices Announced
- S&P 500 Changes: FedEx Freight Holding will replace EPAM Systems in the S&P 500 effective June 2, following a spin-off transaction expected to complete on June 1, ensuring FedEx remains in the index and solidifying its market position.
- SmallCap 600 Adjustments: EPAM Systems will take the place of Shutterstock in the S&P SmallCap 600, reflecting the dynamic shifts in the small-cap market and potentially impacting investor confidence in the index.
- Acquisition Activity: Shutterstock is anticipated to be acquired, a transaction that could affect its market performance, prompting investors to monitor the potential impact on its stock price.
- Dave Inc. Listing: Dave Inc. will replace American Woodmark Corp. in the S&P SmallCap 600 prior to June 1, indicating the vibrancy of the small-cap market and its appeal to emerging companies, potentially offering new investment opportunities for investors.
See More
Latest Wall Street Rating Updates
- Vipshop Rating Upgrade: UBS upgraded Vipshop (VIPS) from Neutral to Buy, indicating that despite near-term growth pressures, the company's earnings quality and shareholder returns are more attractive, showcasing resilience in a competitive e-commerce landscape.
- Seaport Therapeutics Initiation: JPMorgan initiated coverage on Seaport Therapeutics (SPTX) with an Overweight rating and a price target of $42 for December 2027, reflecting bullish sentiment and highlighting the company's potential for growth in the biotech sector.
- Apple Price Target Increase: Bank of America raised its price target on Apple (AAPL) from $330 to $380, emphasizing significant opportunities in agentic AI, while reiterating a Buy rating, which underscores confidence in the company's future growth trajectory.
- Dave Inc. Initial Rating: UBS initiated coverage on Dave Inc. with a Buy rating and a price target of $300, suggesting that the market underestimates the durability of its high-velocity credit model and earnings growth trajectory, indicating strong future potential.
See More
Divisadero Street Capital Increases Stake in Dave to 4.2%
- Increased Stake: Divisadero Street Capital Management increased its stake in Dave by 379,232 shares in Q1 2026, amounting to $73.63 million, indicating strong bullish sentiment, particularly as the stock rebounded from a 52-week low of $152.21 to a high of $287.69.
- Market Performance: As of May 14, 2026, Dave's shares were priced at $234.49, reflecting a 27.9% increase over the past year, outperforming the S&P 500 by 0.61 percentage points, showcasing its competitive edge and growing market recognition in the digital banking sector.
- Financial Health: Dave reported trailing twelve-month revenue of $604.62 million and net income of $224.99 million, with a five-year CAGR of 33.3%, highlighting rapid business growth and profitability that attract more investor interest.
- Investment Strategy: Divisadero's purchase has positioned Dave among its top five holdings, reflecting confidence in future growth, although the current stock price volatility suggests that investors should consider waiting for a price dip before entering the market.
See More
Divisadero Street Increases Stake in Dave
- Increased Stake: Divisadero Street Capital Management purchased an additional 379,232 shares of Dave in Q1 2026, with an estimated trade value of $73.63 million, indicating strong bullish sentiment towards the company.
- Rising Share Value: Post-purchase, Divisadero Street's total holdings in Dave reached 640,840 shares valued at $111.56 million, accounting for 4.2% of the fund's AUM, placing it among the top five holdings.
- Market Performance: Since the Q1 purchase, Dave's stock price surged from a 52-week low of $152.21 to a high of $287.69, reflecting positive market sentiment regarding its business growth.
- Financial Growth: Dave reported Q1 revenue of $158.4 million, representing a remarkable 47% year-over-year increase, showcasing its rapid development and competitive position in the digital banking sector.
See More
Dave Inc. Reports Strong Q1 2026 Earnings and Raises Guidance
- Significant Revenue Growth: Dave Inc. reported Q1 2026 revenue of $158.4 million, a 47% year-over-year increase, with adjusted EBITDA reaching $69.3 million at a 44% margin, indicating strong market performance and ongoing growth potential.
- Improved Credit Performance: The 28-day past due rate decreased to 1.69%, down 85 basis points from three years ago, demonstrating effective credit management and enhancing investor confidence in future performance.
- Upgraded Full-Year Outlook: The company now expects full-year 2026 revenue of $710 million to $720 million, with adjusted EBITDA guidance raised to $305 million to $315 million, reflecting management's optimistic outlook on sustained growth.
- Capital Return Strategy: In Q1, Dave Inc. deployed $194.9 million for share repurchases, reducing basic share count from 13.6 million to 12.7 million, showcasing proactive measures to enhance per-share value.
See More
