Sezzle slides as raised outlook fails to meet lofty expectations

Sezzle

07/08/2026 11:44

** Shares of 'buy now, pay later' firm Sezzle SEZL.O slide 21.8% to $139.5 in premarket trading
** Sezzle raised its 2026 outlook after market close on Thursday, but the modest increase disappointed investors despite strong second-quarter results
** SEZL now expects 2026 adj. net income of $185 million, or $5.25 per share, up from $180 million, or $5.10 per share
** "While the quarter was strong, expectations were elevated following the stock’s rally into earnings, and today’s modest guide raise is unlikely enough to push shares into positive territory tomorrow" - Oppenheimer 
** Adds, "Sezzle’s underwriting process stands out, given its behavior-based risk assessment and ability to adjust credit limits within contracts, instead of denying loans"
** Three of seven analysts rate stock "buy" and four "hold"; their median PT is $160 - data compiled by LSEG
** As of last close, stock up 181.3% YTD

(Reporting by Pragyan Kalita in Bengaluru)
((Pragyan.Kalita@thomsonreuters.com;))