Wealthfront Corp (WLTH) Stock Forecast & Price Target

Wealthfront Corp has demonstrated significant revenue growth, generating $339 million for the last twelve months ending July 31, 2025, reflecting a year-over-year increase of 26%. The company has maintained a strong annual net revenue retention rate of over 120% for the past eleven fiscal years, indicating robust customer loyalty and satisfaction. Additionally, substantial increases in both cash management and investment advisory revenues underscore the company’s effective market strategy and position as a key provider for the financial needs of digital native generations.

Wealthfront Corp is facing a negative outlook primarily due to anticipated decelerating revenue growth, driven by lower recapture rates in investment accounts and underperformance in mortgage penetration. Financial metrics indicate a decline in EBITDA margins, with projected decreases from 47.5% in FY24 to 46.2% in FY25, which coupled with high operational expenses could negatively impact profitability. Additionally, concerns over cash account asset retention and mortgage revenue acting as a drag on overall margins contribute to diminished revenue visibility and competitive positioning against peers.