Citizens kept its Market Outperform rating and $310.00 price objective on Dave Inc (NASDAQ: DAVE) in a note released on Friday, February 06 2026. The firm said its stance reflects a favorable risk/reward profile at current valuation levels.
Valuation and rationale
Citizens pointed to Dave trading at approximately 8.3x EV/2026E adjusted EBITDA and argued that this multiple does not capture the company’s historical growth rate nor its prospective expansion across addressable markets. The analyst team further noted that Dave carries "less credit risk and lower capital intensity than appreciated," observations the firm believes should be supportive of a higher valuation multiple over time.
The $310 price target corresponds to roughly a 17x multiple on Citizens’ 2026E adjusted EBITDA projections for Dave and is underpinned by a long-term discounted cash flow model, according to the note.
Drivers of recent share performance
Citizens attributed the recent downward pressure on Dave’s stock to "headline and technical" dynamics rather than to deterioration in the company’s underlying business metrics. The firm said it expects valuation to re-rate as Dave executes on initiatives that add "new growth and diversification legs to the stool."
Corporate governance update
Separately, Dave announced the appointment of Nima Khajehnouri to its Board of Directors. Khajehnouri, currently Vice President of Engineering at Meta, will also serve on Dave’s Audit Committee. Citizens’ note and company materials say Khajehnouri brings over two decades of engineering leadership experience from prior roles at Google and Snap.
Other analyst activity
Benchmark reiterated its Buy rating on Dave and maintained a $345.00 price target. Lake Street Capital Markets raised its price target to $308.00 from $263.00, maintaining a Buy rating and citing what it described as a "stellar quarter with improving credit performance." These actions indicate continued analyst interest and confidence in Dave’s financial trajectory.
Conclusion
Citizens’ reaffirmation, supported valuation math and commentary on credit risk and capital intensity underscore the firm’s view that Dave is undervalued at current multiples. Other brokerage updates and the board appointment add to the flow of news surrounding the company, which analysts say could influence valuation as strategic initiatives progress.
Key details
- Citizens: Market Outperform, $310.00 price target; Dave trades at ~8.3x EV/2026E adjusted EBITDA.
- Target implies ~17x on Citizens’ 2026E adjusted EBITDA and is supported by a long-term DCF model.
- Board addition: Nima Khajehnouri, Meta VP of Engineering, joins Dave’s board and Audit Committee.
- Other analysts: Benchmark - Buy, $345 target; Lake Street - Buy, target raised to $308 from $263 citing improved credit performance.