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Dave vs. OppFi: Which Fintech Stock Is the Smarter Bet Right Now?
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Key Takeaways
DAVE delivered 63% y/y revenue growth in 3Q25, driven by a 49% jump in ExtraCash originations.
OPFI grew 3Q25 revenues 13.5% and lifted adjusted net income 41.4%, supported by disciplined expense control.
Dave cut 28-day delinquency rates to about 2% in 3Q25, reflecting gains from its CashAI v5.5 rollout.
Both OppFi Inc. (OPFI - Free Report) and Dave (DAVE - Free Report) operate in the fintech space, addressing customer needs surrounding digital lending. DAVE’s primary service is to offer small, interest-free cash advances to users. OPFI works with banks to provide credit to the underbanked population.
This comparative analysis will help investors determine which stock has more upside potential, thus providing them with better exposure to the fintech industry.
The Case for Dave
This US-based neobank left its mark in the fintech domain, leveraging its $5 monthly subscription fee. Customers can utilize various services, including ExtraCash, Financial Management Services and Income Opportunity Service.
Customers can borrow up to $500 through DAVE’s ExtraCash service without the burden of paying interest or credit scrutiny. In the third quarter of 2025, the company registered 49% year-over-year growth in ExtraCash originations, leading to a 32% increase in net revenues per origination. This has resulted in year-over-year top-line growth of 63% and an adjusted EBITDA hike of 137%, signaling that the company maintains high efficiency in its core operations. A 181% year-over-year upsurge in adjusted net income per diluted share raises investors' attention.
Dave’s efforts in mitigating credit risk are bearing fruit, as evidenced by a 7-basis-point (bps) dip in its average 28-day delinquency rate to 2.33% in the third quarter of 2025. It is impressive how the company managed to keep this metric at 2.19% in September, leveraging the new CashAI v5.5. Management announced the introduction of a metric, 28-day days past due, which showed early improvement as evidenced by an 11-bps decline sequentially to 2.15%. In September, this metric was at 2.04%, displaying CashAI v5.5’s success in tackling credit risk.
A robust financial performance, coupled with a strong credit risk management strategy, positions DAVE for long-term success. Banking on its performance, management raised the revenue guidance for the year to $544-$547 million from the preceding quarter’s view of $505-$515 million. The adjusted EBITDA outlook was raised to $215-$218 from $180-$190 million provided in the previous quarter.
The Case for OppFi
This company has become a gem for the underbanked population and operates within the alternative lending platform market. By utilizing AI and machine learning-based technology, OPFI is serving subprime and non-prime customers, capturing a larger share of the fintech market pie.
In the third quarter of 2025, OppFi registered a 13.5% year-over-year increase in its top line with adjusted net income growth of 41.4%, highlighting operational efficiency. Maintaining efficiency in its core operations, fueled by prudent expense management, attracts investors, which is further enhanced by a 39.1% year-over-year rise in adjusted EPS.
While the disproportionate increase in revenues and profitability is flattering, we must look at the company’s credit risk mitigation strategy. OPFI’s Model 6 reduced the net charge off as a percentage of total revenues by 430 bps year over year for the nine months ending Sept. 30, 2025. On a similar note, net charge off as a percentage of average receivables declined 480 bps for the same period. These metrics highlight OPFI's strong hold in managing loan quality, which allows it to mitigate credit risk efficiently. We expect the company to improve its loan quality on the back of the Model 6.1 refit in the upcoming quarters.
Management’s ability to maintain a streak of raising outlook for 2025 is impressive and a green flag for investors. In the fourth quarter of 2024, management hiked the adjusted net income guidance to $95-$97 million, which was further raised to $106-$113 million, $125-$130 million and $137-$142 million in the first, second and third quarters of 2025.
Similarly, adjusted EPS was increased to $1.18-$1.26 in the first quarter of 2025 from the preceding quarter’s view of $1.06-$1.07. In the second and third quarters, it was further raised to $1.39-$1.44 and $1.54-$1.6, respectively.
How Do Estimates Compare for DAVE & OPFI?
The Zacks Consensus Estimate for Dave’s 2025 sales is pinned at $546.1 million, implying a 57.3% year-over-year increase. The consensus estimate for EPS is $12.96, indicating a 147.3% surge from the previous year’s actual. In the past 60 days, two estimates for 2025 have moved upward, with no downward revisions.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for OppFi’s 2025 sales is $597.6 million, suggesting 13.6% year-over-year growth. The consensus estimate for EPS stands at $1.57, indicating a 65.3% year-over-year increase. In the past 60 days, two estimates for 2025 have moved upward, with no downward revisions.
Image Source: Zacks Investment Research
OppFi Trades Cheaper Than Dave
OPFI is currently trading at a forward 12-month P/E ratio of 6.47X, lower than the 12-month median of 8.3X. DAVE is trading at 15.81X, lower than the 12-month median of 27.07X. OppFi’s valuation is significantly lower than that of Dave, making it a more attractive stock.
Image Source: Zacks Investment Research
Verdict
Both OppFi and Dave are strong fintech players and have the potential to become investors' favorites. These companies have displayed robust top and bottom-line growth in the third quarter of 2025 and expect to deliver strong results for the full year. OPFI, utilizing its Model 6, can curb credit risks while DAVE leverages CashAI v5.5 to reduce loan default. A combination of an efficient business model and a strong credit risk mitigation strategy makes both these companies strong fintech contenders.
Despite both stocks being fundamentally strong, OPFI trades significantly cheaper than DAVE, making it a better bet now. Investors should be more inclined to add OPFI to their portfolio to draw in higher returns as the market realizes its real value.
Image: Bigstock
Dave vs. OppFi: Which Fintech Stock Is the Smarter Bet Right Now?
Key Takeaways
Both OppFi Inc. (OPFI - Free Report) and Dave (DAVE - Free Report) operate in the fintech space, addressing customer needs surrounding digital lending. DAVE’s primary service is to offer small, interest-free cash advances to users. OPFI works with banks to provide credit to the underbanked population.
This comparative analysis will help investors determine which stock has more upside potential, thus providing them with better exposure to the fintech industry.
The Case for Dave
This US-based neobank left its mark in the fintech domain, leveraging its $5 monthly subscription fee. Customers can utilize various services, including ExtraCash, Financial Management Services and Income Opportunity Service.
Customers can borrow up to $500 through DAVE’s ExtraCash service without the burden of paying interest or credit scrutiny. In the third quarter of 2025, the company registered 49% year-over-year growth in ExtraCash originations, leading to a 32% increase in net revenues per origination. This has resulted in year-over-year top-line growth of 63% and an adjusted EBITDA hike of 137%, signaling that the company maintains high efficiency in its core operations. A 181% year-over-year upsurge in adjusted net income per diluted share raises investors' attention.
Dave’s efforts in mitigating credit risk are bearing fruit, as evidenced by a 7-basis-point (bps) dip in its average 28-day delinquency rate to 2.33% in the third quarter of 2025. It is impressive how the company managed to keep this metric at 2.19% in September, leveraging the new CashAI v5.5. Management announced the introduction of a metric, 28-day days past due, which showed early improvement as evidenced by an 11-bps decline sequentially to 2.15%. In September, this metric was at 2.04%, displaying CashAI v5.5’s success in tackling credit risk.
A robust financial performance, coupled with a strong credit risk management strategy, positions DAVE for long-term success. Banking on its performance, management raised the revenue guidance for the year to $544-$547 million from the preceding quarter’s view of $505-$515 million. The adjusted EBITDA outlook was raised to $215-$218 from $180-$190 million provided in the previous quarter.
The Case for OppFi
This company has become a gem for the underbanked population and operates within the alternative lending platform market. By utilizing AI and machine learning-based technology, OPFI is serving subprime and non-prime customers, capturing a larger share of the fintech market pie.
In the third quarter of 2025, OppFi registered a 13.5% year-over-year increase in its top line with adjusted net income growth of 41.4%, highlighting operational efficiency. Maintaining efficiency in its core operations, fueled by prudent expense management, attracts investors, which is further enhanced by a 39.1% year-over-year rise in adjusted EPS.
While the disproportionate increase in revenues and profitability is flattering, we must look at the company’s credit risk mitigation strategy. OPFI’s Model 6 reduced the net charge off as a percentage of total revenues by 430 bps year over year for the nine months ending Sept. 30, 2025. On a similar note, net charge off as a percentage of average receivables declined 480 bps for the same period. These metrics highlight OPFI's strong hold in managing loan quality, which allows it to mitigate credit risk efficiently. We expect the company to improve its loan quality on the back of the Model 6.1 refit in the upcoming quarters.
Management’s ability to maintain a streak of raising outlook for 2025 is impressive and a green flag for investors. In the fourth quarter of 2024, management hiked the adjusted net income guidance to $95-$97 million, which was further raised to $106-$113 million, $125-$130 million and $137-$142 million in the first, second and third quarters of 2025.
Similarly, adjusted EPS was increased to $1.18-$1.26 in the first quarter of 2025 from the preceding quarter’s view of $1.06-$1.07. In the second and third quarters, it was further raised to $1.39-$1.44 and $1.54-$1.6, respectively.
How Do Estimates Compare for DAVE & OPFI?
The Zacks Consensus Estimate for Dave’s 2025 sales is pinned at $546.1 million, implying a 57.3% year-over-year increase. The consensus estimate for EPS is $12.96, indicating a 147.3% surge from the previous year’s actual. In the past 60 days, two estimates for 2025 have moved upward, with no downward revisions.
The Zacks Consensus Estimate for OppFi’s 2025 sales is $597.6 million, suggesting 13.6% year-over-year growth. The consensus estimate for EPS stands at $1.57, indicating a 65.3% year-over-year increase. In the past 60 days, two estimates for 2025 have moved upward, with no downward revisions.
OppFi Trades Cheaper Than Dave
OPFI is currently trading at a forward 12-month P/E ratio of 6.47X, lower than the 12-month median of 8.3X. DAVE is trading at 15.81X, lower than the 12-month median of 27.07X. OppFi’s valuation is significantly lower than that of Dave, making it a more attractive stock.
Verdict
Both OppFi and Dave are strong fintech players and have the potential to become investors' favorites. These companies have displayed robust top and bottom-line growth in the third quarter of 2025 and expect to deliver strong results for the full year. OPFI, utilizing its Model 6, can curb credit risks while DAVE leverages CashAI v5.5 to reduce loan default. A combination of an efficient business model and a strong credit risk mitigation strategy makes both these companies strong fintech contenders.
Despite both stocks being fundamentally strong, OPFI trades significantly cheaper than DAVE, making it a better bet now. Investors should be more inclined to add OPFI to their portfolio to draw in higher returns as the market realizes its real value.
DAVE and OPFI currently flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.