Dave Inc., a prominent financial technology company offering banking services such as cash advances, is currently navigating through significant challenges. Cory Carpenter from J.P. Morgan has recently set a price target of $55 for DAVE, while the stock was trading at $99.34, indicating a potential downside of approximately -44.64%.
The stock's current price of $99.33 reflects a recent increase of $2.39, or 2.47%, but it remains under pressure due to ongoing legal issues. The Schall Law Firm is investigating Dave Inc. for potential securities law violations. This investigation follows a civil enforcement action by the Department of Justice (DOJ) and the Federal Trade Commission (FTC), which accuses the company of deceptive advertising practices and hidden fees related to its cash advances.
The legal scrutiny has raised concerns among investors, as the allegations involve violations of the FTC Act and the Restore Online Shoppers' Confidence Act (ROSCA). The company's co-founder, President, CEO, and Chairman, Jason Wilk, is also named in the lawsuit. This situation has prompted The Schall Law Firm to encourage investors who have incurred losses to seek further information.
Despite these challenges, DAVE's stock has shown some resilience, trading between $95.65 and $99.96 today. Over the past year, the stock has experienced significant volatility, with a high of $108.50 and a low of $17.36. The company's market capitalization is approximately $1.27 billion, with a trading volume of 154,027 shares, indicating active investor interest despite the ongoing legal issues.
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