Wealthfront Corp. (WLTH)
NASDAQInformation TechnologySoftware - ApplicationSnapshot 2026-09-09
$9.46-1.77%
Close 2026-09-09 · 1-day change
NASDAQInformation TechnologySoftware - ApplicationSnapshot 2026-09-09
Broken: Primary pillar broken — Maintain adjusted EBITDA margin near 47%: 42.5% vs 47% target.
Wealthfront grows revenue about 18% yearly, reaching $365 million in 2026-Q1. Profit margins aim for 47% adjusted EBITDA, supporting strong cash flow. The company buys back up to $100 million in stock, showing capital discipline. New product launches help sustain growth.
Earnings missed by 55% in 2026-Q1, showing profit pressure. Revenue growth slowed to 7% YoY, below the 18% target. The stock is down 23% from its high, reflecting investor doubts.
The price is about 36% below our fair value near $15, reflecting a cautious view. Analysts expect 15% revenue growth, slightly below management's 18% target. Our fair value is 18% above the Street median, showing some optimism.
Breaks if: Adjusted EBITDA margin falls below 40% next year
Breaks if: YoY revenue growth falls below 10% next year
Breaks if: No meaningful share repurchases within 12 months
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a speculative growth opportunity with a focus on technology. The current thesis state is mixed, reflecting recent performance and management priorities that are only partially on track.
The market currently prices WLTH as cheap compared to its peers, with a low expectations gap. This suggests that investors may be cautious but not overly pessimistic about the company's future performance.
Fundamentals are likely to show continued revenue growth, as WLTH achieved an 18% year-over-year increase in its latest report. However, the company has a history of earnings misses, which adds a layer of risk to its near-term performance.
The long-term thesis hinges on management's ability to meet guidance and execute on priorities, particularly regarding revenue growth and margins. Additionally, external factors such as Federal Reserve rate changes and performance from sector leaders will play a crucial role.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports a positive outlook. Additionally, the company's expansion into California enhances its growth potential. There are no current threats to this improved view.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Implement a share repurchase program with authorization to purchase up to $100 million of outstanding common stock.
Over the next 1 to 3 years, WLTH's performance will depend on both internal execution and broader market conditions. Not investment advice.