| Over a week ago | ||||
NerdWallet announced the… NerdWallet announced the entry into an acquisition agreement with On the Barrelhead, Inc., a data-driven platform that provides consumers and SMBs with credit-driven product recommendations to help improve their financial lives. Through this acquisition, On the Barrelhead will fully integrate into NerdWallet's existing teams, brand, products and technology. "Our vision for a trusted financial ecosystem means we're able to provide consumers and SMBs with a trusted platform to learn about various financial topics, shop for products, connect their data and receive data-driven nudges," said Tim Chen, CEO and Co-founder of NerdWallet. "On the Barrelhead's data and technology solutions will help us advance toward our goal by enabling us to leverage consumer information to provide users with relevant financial guidance and more personalized and compelling product recommendations. Their differentiated technology solutions and NerdWallet's trusted brand and reach will also strengthen our footprint in the lending space by providing significant value to our partners." For the twelve months ended December 31, 2021, On the Barrelhead generated approximately $38M in revenue, growing roughly 90% year-over-year, and $5M in net income. NerdWallet believes the acquisition of On the Barrelhead would have been accretive to NerdWallet's revenue and adjusted EBITDA for the year ended December 31, 2021. NerdWallet expects the acquisition will be accretive to NerdWallet's 2022 revenue and adjusted EBITDA and reconfirms previously announced expected year-over-year increase in its 2022 annual adjusted EBITDA margin. Under the terms of the merger agreement, NerdWallet will acquire all of the outstanding shares of On the Barrelhead for total consideration of approximately $120M, subject to customary purchase price adjustments, consisting of approximately $70M in cash and $50M in NerdWallet Class A common stock. The NerdWallet equity issued as part of the transaction will be determined based on the 30-trading day volume-weighted-average price as of June 22, 2022, or $10.37 per share, and half of the equity will have a two-year lock-up restriction. NerdWallet expects to finance the cash portion of the acquisition with borrowings from its existing credit facility. A new compensatory bonus retention pool of approximately $30M has been planned for On the Barrelhead management. The transaction is subject to customary closing conditions and is expected to close in the third quarter of 2022. | ||||
Virtual Meeting to be… Virtual Meeting to be held with CEO Chen and CFO Waugh on June 6 hosted by Truist. | ||||
| Over a month ago | ||||
Virtual Meeting to be… Virtual Meeting to be held with CEO Chen and CFO Waugh on June 6 hosted by Truist. | ||||
Sees Q2 adjusted EBITDA… Sees Q2 adjusted EBITDA $8M-$10M. The company said, "Brand investments will create variability in our quarterly margins, but we expect year-over-year accretion in our 2022 annual Adjusted EBITDA margin." | ||||
NerdWallet reports 22M… NerdWallet reports 22M average average monthly unique users, which was down 3% year-over-year. "We continue to see strong engagement in many of our verticals such as SMB products and credit cards, but that was more than offset by abnormally high user engagement in our investing vertical in the prior-year period," the company said. | ||||
Reports Q1 revenue… Reports Q1 revenue $129.1M, consensus $123.74M. The company said, "In Q1 2022, we exceeded our revenue and Adjusted EBITDA expectations, drove a record number of registrations to our platform, and achieved all-time high aided brand awareness and brand preference metrics...We're very proud of the progress we've made so far in 2022 and remain confident about the journey ahead of us." | ||||
| Over a quarter ago | ||||
Citi analyst Peter… Citi analyst Peter Christiansen lowered the firm's price target on NerdWallet to $15 from $30 and keeps a Buy rating on the shares. The analyst cites "tough external conditions" for the target drop, saying the buy thesis is well intact. Should macro and market conditions stabilize, NerdWallet should be a "strong rebounder," Christiansen tells investors in a research note. | ||||
Sees Q1 adjusted EBITDA… Sees Q1 adjusted EBITDA $3M-$6M. | ||||
Reports Q4 revenue… Reports Q4 revenue $99.5M, consensus $87.68M. The company said, "While we have been hampered by significant supply challenges, ESS continued to make progress securing new contracts, delivering to customer projects, and ramping up our operations. We have now achieved full customer acceptance at one of the projects where we have installed our Energy Warehouses. However, we were limited in our ability to recognize revenue in the quarter. Our team is working tirelessly to navigate the headwinds from the challenging shifting supply chain environment, but we now expect a shift of a little more than one quarter in our ramp plan for 2022. We remain confident in the long-term trajectory of the business as our pipeline and backlog remain robust, and we continue to focus on maximizing our production capabilities while effectively managing costs." | ||||
NerdWallet welcomes John… NerdWallet welcomes John Caine as its new Chief Product Officer, or CPO. Caine will be part of the executive leadership team at NerdWallet, where he will accelerate product development to provide consumers with the best product experiences. Caine brings over 20 years of experience in building, scaling and optimizing consumer products. Most recently, as CPO and Chief Conversion Officer at Vroom, he focused on simplifying and improving the car buying process for consumers by understanding their motivations and building products to help alleviate their pain points. Prior to Vroom, John served as the CPO at Priceline.com and was one of the early leaders responsible for developing and driving mobile growth. Caine launched the Priceline mobile business as a side work project, which later turned into the core focus of the product organization, driving a significant amount of revenue. | ||||
