Shares of Chime Financial Inc. (NASDAQ:CHYM) are trading lower Thursday afternoon, giving back recent gains as investors took profits following a multi-day rally sparked by major strategic acquisition news.
- Chime Financial shares are sliding. Why is CHYM stock falling?
$590 Million Stride Bank Acquisition Expands Platform Capabilities
The profit-taking follows Chime’s announcement on Tuesday, that it agreed to acquire its longtime sponsor bank partner, Stride Bank N.A., for $590 million in cash. Upon closing, the transaction will convert the nationally chartered institution into a wholly owned subsidiary renamed Chime Bank N.A., providing a vertically integrated banking stack.
Underlining the deal’s strategic impact, Chime raised its full-year 2026 revenue guidance to between $2.70 billion and $2.77 billion while projecting more than $100 million in annual net synergies.
Chief Executive Officer Chris Britt further highlighted the integration during a fireside chat at the Goldman Sachs Communacopia + Technology Conference on Wednesday.
Analyst Target Hikes Follow Q2 Profitability Milestone
The deal builds on strong fundamental momentum established in Chime’s second-quarter earnings report released on Aug. 5, where revenue rose 27% year-over-year to $669.8 million alongside a second consecutive quarter of GAAP profitability.
Following the acquisition news, major Wall Street brokerages issued a wave of price target increases. Piper Sandler, Barclays, Morgan Stanley, and KeyCorp raised their targets on CHYM stock to $40, while Loop Capital initiated coverage with a Buy rating and a $45 price target.
CHYM Shares Edge Lower Thursday
CHYM Price Action: Chime Financial shares were down 3.68% at $33.28 at the time of publication on Thursday, according to Benzinga Pro data.
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