CLEAR Secure (NYSE:YOU) Issues Earnings Results, Beats Estimates By $0.04 EPS

CLEAR Secure (NYSE:YOU) released its quarterly earnings data on Wednesday. The company reported $0.52 earnings per share for the quarter, topping analysts’ consensus estimates of $0.48 by $0.04, FiscalAI reports. The company had revenue of $292.85 million for the quarter, compared to analyst estimates of $286.65 million. CLEAR Secure had a return on equity of 87.30% and a net margin of 16.23%. The firm’s revenue for the quarter was up 27.8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.29 earnings per share.

Here are the key takeaways from CLEAR Secure’s conference call:

• Q3 revenue rose 27.8% year over year to $292.9 million, while bookings increased 24.4% to $323.5 million. Adjusted EBITDA was $103.9 million, a 35.5% margin and nearly five percentage points of year-over-year expansion.
• CLEAR Travel continued to grow, with active CLEAR+ members up 14.5% to 8.5 million; management attributed momentum to improved travel experiences and network expansion. The company is also testing more personalized packages and pricing, though it described these efforts as early.
• CLEAR1 bookings were nearly three times their year-ago level, with the company citing an expanded multi-year CMS partnership, a VA pilot, nine new health-system partners, and a record quarter for partner expansions. Management sees further cross-sell and new-customer potential, while noting that large contract timing can make results lumpy.
• Clear raised its 2026 free cash flow outlook to at least $490 million, representing at least 42.8% year-over-year growth. It said Q3 free cash flow was negative $103.8 million primarily because of a roughly $315 million partnership-liability settlement, with no further such payments expected in fiscal 2026.
• Q4 guidance implies bookings growth of 17.6% at the midpoint, below Q3’s 24.4% growth, and excludes potential large CLEAR1 contracts because their timing is difficult to predict. The company also expects quarterly payments on its partnership liability to begin in Q1 2027.

CLEAR Secure Stock Down 0.0%

NYSE:YOU traded down $0.01 on Friday, reaching $56.49. The company’s stock had a trading volume of 373,009 shares, compared to its average volume of 1,662,236. CLEAR Secure has a 12-month low of $30.98 and a 12-month high of $69.07. The firm has a market cap of $7.64 billion, a price-to-earnings ratio of 33.23 and a beta of 0.99. The stock has a 50 day moving average price of $43.63 and a 200 day moving average price of $47.85.

CLEAR Secure Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 24th. Shareholders of record on Thursday, December 10th will be paid a dividend of $0.15 per share. The ex-dividend date of this dividend is Thursday, December 10th. This represents a $0.60 annualized dividend and a yield of 1.1%. CLEAR Secure’s dividend payout ratio (DPR) is 35.29%.

Insider Activity

In related news, CAO Dennis W. Liu sold 2,104 shares of the business’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $44.47, for a total value of $93,564.88. Following the sale, the chief accounting officer directly owned 15,870 shares in the company, valued at approximately $705,738.90. The trade was a 11.71% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, President Michael Z. Barkin sold 11,444 shares of the business’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $45.00, for a total transaction of $514,980.00. Following the completion of the sale, the president owned 11,550 shares in the company, valued at approximately $519,750. This trade represents a 49.77% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 18,047 shares of company stock valued at $808,615 in the last quarter. Insiders own 29.70% of the company’s stock.

Analysts Set New Price Targets

A number of analysts have issued reports on the company. Weiss Ratings raised CLEAR Secure from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. JPMorgan Chase & Co. boosted their price target on shares of CLEAR Secure from $55.00 to $75.00 and gave the company an “overweight” rating in a research report on Thursday. Needham & Company LLC raised their price objective on shares of CLEAR Secure from $70.00 to $90.00 and gave the stock a “buy” rating in a research report on Wednesday. The Goldman Sachs Group reaffirmed a “buy” rating and set a $80.00 target price on shares of CLEAR Secure in a research note on Wednesday. Finally, Wall Street Zen downgraded shares of CLEAR Secure from a “strong-buy” rating to a “buy” rating in a research note on Saturday, September 5th. Five investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $66.86.

CLEAR Secure Company Profile

CLEAR Secure, Inc provides identity verification and secure access services through its CLEAR platform. The company uses biometric authentication and other identity technologies to help verify individuals and streamline access to participating locations and services.

Its consumer offerings include CLEAR Plus, a membership service that allows enrolled members to verify their identities at participating airports, and CLEAR Reserve, which enables travelers to reserve a time to proceed through select airport security checkpoints.