Goldman Sachs Upgrades Chime Financial to Buy From Neutral, Adjusts Price Target to $27 From $26

TigerDec 1, 2025 3:13 PM

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Goldman Sachs upgraded fintech company Chime Financial from Neutral to Buy and set a price target of $27.00.

Chime shares jumped 5.7% in morning trading.

The upgrade comes as Goldman Sachs believes the market is underappreciating the take rate tailwinds from Chime’s new Chime Card, which was announced in September. The firm’s analysis suggests take rates and revenue metrics are likely to exceed consensus expectations significantly.

Goldman Sachs projects that Chime’s 2027 take rate could reach as high as 1.23%, compared to the consensus estimate of 1.14%. This improved outlook stems from anticipated high attach rates for the new Chime Card, which is expected to drive major increases in take rates for new customer cohorts.

The investment bank forecasts GAAP net income could reach $77 million in 2026 and $307 million in 2027, substantially higher than consensus estimates of -$11 million and $165 million for those years, respectively. This faster-than-expected transition to profitability is central to the firm’s bullish outlook.

Chime shares have underperformed since the company’s IPO, which Goldman attributes to concerns over slightly slower-than-expected volume growth and the company’s lack of profitability. The new $27 price target is based on an EV/EBITDA-SBC multiple of 52x, replacing the previous valuation method that was based on transaction profit.

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