Why Did Green Dot Plunge 14.09% Despite Strong Earnings?

On April 4, 2025, Green Dot's stock experienced a significant drop of 14.09% in pre-market trading, reflecting a notable decline in investor sentiment.

Green Dot Corporation recently reported a 25% increase in revenue and a 70% rise in EBITDA, demonstrating strong financial performance despite challenges in the consumer segment and regulatory expenses.

KBW analyst Tim Switzer maintained a hold rating on Green Dot, adjusting the target price from $11 to $10, indicating a cautious outlook on the company's future performance.

Green Dot has entered into a new relationship with Marqeta, enabling the latter to provide customers with convenient and affordable cash services, which could potentially enhance Green Dot's service offerings and market reach.