📊 CHYM Key Takeaways
Is Chime Financial, Inc. (CHYM) a Good Investment?
Chime exhibits strong fundamentals with 30.7% revenue growth and exceptional 89.6% gross margins, supported by a fortress balance sheet with $607.7M cash and zero debt. However, ROE of 3.7% and severe operating margin compression indicate significant operational inefficiency that limits shareholder value creation despite financial health.
Chime is delivering strong top-line growth, but the quality of that growth is undermined by extremely large operating and net losses that leave profitability far from sustainable. The balance sheet is clean and liquidity is strong, yet only modest positive free cash flow against deeply negative margins suggests the business still depends on significant cost discipline and improved unit economics to strengthen its fundamentals.
Chime Financial, Inc. Key Strengths (CHYM)
- Strong 30.7% YoY revenue growth demonstrating market traction in fintech
- Exceptional 89.6% gross margin reflects superior unit economics and pricing power
- Fortress balance sheet: $607.7M cash, zero debt, 5.07x current ratio, strong liquidity
- Revenue growth of 30.7% YoY shows continued customer and platform expansion
- Very high 88.0% gross margin indicates an inherently attractive revenue model before operating expenses
- Strong liquidity with a 4.53x current ratio, $466.25M in cash, and no meaningful long-term debt reduces solvency risk
CHYM Stock Risks: Chime Financial, Inc. Investment Risks
- Critically low ROE of 3.7% suggests poor capital efficiency and value destruction
- Operating expense burden: gross margin compressed from 89.6% to 7.1% operating margin
- Extreme -994.9% YoY EPS decline indicates potential massive dilution or prior-period charge reversal
- Operating margin of -47.6% and net margin of -46.2% indicate severe expense inefficiency relative to revenue
- Net income of -$1.01B and ROE of -72.1% show substantial value destruction despite scale
- Free cash flow margin of just 1.5% suggests limited cash generation cushion if growth slows or expenses remain elevated
Key Metrics to Watch
- ROE trend - must improve materially from current 3.7% to justify shareholder capital
- Operating margin expansion - validate ability to control expense growth as revenue scales
- Free cash flow conversion rate - confirm sustainability of positive FCF generation with scale
- Operating margin improvement and the trajectory of sales and marketing, product, and G&A expenses
- Free cash flow conversion relative to revenue growth and whether positive operating cash flow remains durable
Chime Financial, Inc. (CHYM) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 5.07x current ratio provides a solid financial cushion.
CHYM Profit Margin, ROE & Profitability Analysis
CHYM vs Finance Sector: How Chime Financial, Inc. Compares
How Chime Financial, Inc. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Chime Financial, Inc. Stock Overvalued? CHYM Valuation Analysis 2026
Based on fundamental analysis, Chime Financial, Inc. has mixed fundamental signals relative to the Finance sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Chime Financial, Inc. Balance Sheet: CHYM Debt, Cash & Liquidity
CHYM Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Chime Financial, Inc.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $-3.22 indicates the company is currently unprofitable.
CHYM Revenue Growth, EPS Growth & YoY Performance
CHYM Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $518.7M | $12.9M | $0.00 |
| Q3 2025 | $421.9M | $385.0K | $-0.09 |
| Q2 2025 | $384.2M | $385.0K | $0.00 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Chime Financial, Inc. Dividends, Buybacks & Capital Allocation
CHYM SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Chime Financial, Inc. (CIK: 0001795586)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Jun 4, 2026 | 4 | xslF345X06/form4-06042026_090608.xml | View → |
| Jun 4, 2026 | 4 | xslF345X06/form4-06042026_090642.xml | View → |
| Jun 4, 2026 | 4 | xslF345X06/wk-form4_1780606767.xml | View → |
| Jun 4, 2026 | 4 | xslF345X06/wk-form4_1780606691.xml | View → |
| Jun 4, 2026 | 4 | xslF345X06/wk-form4_1780606638.xml | View → |
❓ Frequently Asked Questions about CHYM
What is the AI rating for CHYM?
Chime Financial, Inc. (CHYM) has a Combined AI Grade of C from Claude (B) and ChatGPT (C) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CHYM's key strengths?
Claude: Strong 30.7% YoY revenue growth demonstrating market traction in fintech. Exceptional 89.6% gross margin reflects superior unit economics and pricing power. ChatGPT: Revenue growth of 30.7% YoY shows continued customer and platform expansion. Very high 88.0% gross margin indicates an inherently attractive revenue model before operating expenses.
What are the risks of investing in CHYM?
Claude: Critically low ROE of 3.7% suggests poor capital efficiency and value destruction. Operating expense burden: gross margin compressed from 89.6% to 7.1% operating margin. ChatGPT: Operating margin of -47.6% and net margin of -46.2% indicate severe expense inefficiency relative to revenue. Net income of -$1.01B and ROE of -72.1% show substantial value destruction despite scale.
What is CHYM's revenue and growth?
Chime Financial, Inc. reported revenue of $647.4M.
Does CHYM pay dividends?
Chime Financial, Inc. does not currently pay dividends.
Where can I find CHYM SEC filings?
Official SEC filings for Chime Financial, Inc. (CIK: 0001795586) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CHYM's EPS?
Chime Financial, Inc. has a diluted EPS of $0.13.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is CHYM's fundamental grade?
Based on our AI fundamental analysis in June 2026, Chime Financial, Inc. has a C grade with 68% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is CHYM stock overvalued or undervalued?
Valuation metrics for CHYM: ROE of 3.7% (sector avg: 12%), net margin of 8.3% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
What is CHYM's AI grade for 2026?
Our dual AI analysis gives Chime Financial, Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CHYM's free cash flow?
Chime Financial, Inc.'s operating cash flow is $87.5M, with capital expenditures of $6.6M. FCF margin is 12.5%.
How does CHYM compare to other Finance stocks?
Vs Finance sector averages: Net margin 8.3% (avg: 25%), ROE 3.7% (avg: 12%), current ratio 5.07 (avg: 1.2).