Chime Financial Receives Overweight Ratings from Morgan Stanley, Barclays

Chime Financial (CHYM), a digital banking startup, has received multiple bullish ratings following its recent Nasdaq debut, highlighting its potential for rapid revenue growth and strong market position. Morgan Stanley initiated coverage with an "Overweight" rating and a $39 price target, praising Chime's ability to become the primary banking account for its customers and expand its user base, particularly among consumers with annual incomes under $100,000. William Blair also assigned an "Outperform" rating, anticipating that Chime will outpace the overall market. Barclays initiated coverage with an "Overweight" rating and a $40 price target, commending Chime for its industry-leading engagement, brand awareness, and product innovation targeted at low- and middle-income consumers. Despite the optimism, some analysts from UBS, Goldman Sachs, and Deutsche Bank remain cautious, citing concerns over the macro-sensitive nature of Chime’s core demographic, competitive pressures, and the likelihood that profitability may not be achieved until 2026. Overall, the consensus suggests strong growth potential tempered by near-term profitability and market risks.