Clear Secure, Inc. (YOU) | Investment Case

1. Company Snapshot

1.a. Company Description

Clear Secure, Inc.provides a member-centric secure identity platform in the United States.The company's secure identity platform is a multi-layered infrastructure consisting of front-end, including enrollment, verification, and linking.

It also offers CLEAR Plus, a consumer aviation subscription service, which enables access to predictable entry lanes in airport security checkpoints, as well as access to broader network; and CLEAR app, a consumer-facing digital product that facilitates new user enrollment and member engagement from their mobile device.In addition, the company provides Reserve powered by CLEAR, a virtual queuing technology that provides users with the choice of how they queue either at home or on the move; and Atlas Certified, an automated solution to verify professional licenses and certification data across industries by communicating with certifying organizations for on-demand, current, and trusted data.The company was founded in 2010 and is headquartered in New York, New York.

Show Full description

1.b. Last Insights on YOU

Clear Secure, Inc.'s recent performance was driven by strong Q3 2025 earnings, with revenue up 15.5% year-over-year to $229.2 million and adjusted EBITDA margin of 30.6%. The company's active CLEAR+ members grew 7.5% to 7.7 million, and it expanded CLEAR+ in the U.S. for international travelers to over 40 countries. Additionally, CLEAR announced a quarterly cash dividend of $0.125 per share, returning approximately $16.7 million to shareholders. Zacks ranked the stock as a Strong Buy.

1.c. Company Highlights

Last Price	33.5
Change Percentage	1.61%
Open	33.61
Previous Close	32.97
Market Cap ( Millions)	3202
Volume	623619
Year High	39
Year Low	21.67
M A 50	33.28
M A 200	29.63

FCF Yield	9.04%
Dividend Yield	2.30%
ROE	157.29%
Debt / Equity	0.00%
Net Debt / EBIDTA	-37.39%
Price To Book	21.63
Price Earnings Ratio	13.97
Price To FCF	11.06
Price To sales	3.7
EV / EBITDA	15.43

2. CLEAR's Q3 Earnings Shine with 15.5% Revenue Growth

CLEAR's financial performance in the third quarter of fiscal 2025 was robust, with revenue reaching $229.2 million, marking a 15.5% year-over-year increase. Total bookings also saw a significant rise, coming in at $260.1 million, a 14.3% increase from the same period last year. The company's earnings per share (EPS) was $0.29, beating estimates of $0.27. The strong financials were underscored by the growth in CLEAR+ members, which rose to 7.7 million, a 7.5% year-over-year increase.

Publication Date: Nov -20

                                    📋 Highlights
                                    Q3 Revenue & Booking Growth:
                                                Revenue reached $229.2M (+15.5% YoY); total bookings hit $260.1M (+14.3% YoY).
CLEAR+ Membership Expansion:
                                                7.7 million active members (+7.5% YoY), with 42 countries now enrolling travelers.
eGate Rollout Acceleration:
                                                Deployed in 10 airports, targeting 30 by year-end; verification in 5 seconds, physical screening in 30 seconds.
Q4 Guidance:
                                                Projects $234–237M revenue (+14.2% midpoint YoY) and $265–270M bookings (+16.8% midpoint YoY).

                                

Operational Highlights

The company's operational performance was highlighted by the successful rollout of its eGates, which have been well-received by members and airport partners alike. As Caryn Seidman-Becker noted, the eGates have been a positive experience for travelers, allowing them to verify their identity in approximately 5 seconds and move directly into physical screening in 30 seconds. The eGate rollout has commenced and received positive feedback from members, with plans to expand to at least 30 airports by the end of the year.

Growth Prospects

CLEAR is poised for continued growth, with plans to expand its CLEAR+ membership to 40 countries and introduce new services such as concierge, which is now available in 23 airports. The company's focus on driving awareness and communication for its products and services is expected to contribute to its growth prospects. Analysts estimate next year's revenue growth at 12.1%, indicating a continued upward trajectory.

Valuation Metrics

Examining CLEAR's valuation metrics provides insight into what's priced into the stock. The company's Price-to-Sales Ratio stands at 3.77, and its EV/EBITDA ratio is 15.72. With a Return on Equity (ROE) of 157.29% and a Return on Invested Capital (ROIC) of 91.15%, CLEAR demonstrates strong profitability. These metrics suggest that the stock may be reasonably valued, given its growth prospects and financial performance.

3. NewsRoom

CLEAR Secure, Inc. (NYSE:YOU) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Dec -02

Source: defenseworld.net

18,758 Shares in CLEAR Secure, Inc. $YOU Acquired by Aviva PLC

Nov -14

Source: defenseworld.net

Clear Secure, Inc. (YOU) Q3 2025 Earnings Call Transcript

Nov -06

Source: seekingalpha.com

Clear Secure (YOU) Beats Q3 Earnings and Revenue Estimates

Nov -06

Source: zacks.com

CLEAR Announces Third Quarter 2025 Financial Results

Nov -06

Source: globenewswire.com

Allspring Global Investments Holdings LLC Has $728,000 Position in CLEAR Secure, Inc. $YOU

Oct -24

Source: defenseworld.net

CLEAR To Announce Third Quarter 2025 Financial Results On November 6, 2025

Oct -23

Source: globenewswire.com

Clear Secure (YOU) Outperforms Broader Market: What You Need to Know

Oct -20

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.00%)

6. Segments

Biometric Scanning Product

Expected Growth: 14%

Clear Secure, Inc.'s biometric scanning product growth is driven by increasing demand for secure and convenient identity verification, government initiatives for biometric adoption, and rising security concerns in various industries such as travel, finance, and healthcare. Additionally, the product's ease of use, accuracy, and cost-effectiveness contribute to its rapid adoption.

7. Detailed Products

CLEAR

A trusted traveler program that uses biometric technology to expedite security screening at airports and stadiums.

Health Pass

A digital health verification platform that enables secure and convenient COVID-19 health checks.

CLEAR for Sports

A secure and efficient entry solution for sports and entertainment venues.

CLEAR for Work

A comprehensive identity verification and access control solution for the modern workforce.

8. Clear Secure, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Clear Secure, Inc. operates in a niche market with limited substitutes, reducing the threat of substitutes.

Bargaining Power Of Customers

Clear Secure, Inc. has a diverse customer base, but some large customers may have bargaining power, influencing prices and terms.

Bargaining Power Of Suppliers

Clear Secure, Inc. has a diversified supplier base, reducing dependence on individual suppliers and minimizing their bargaining power.

Threat Of New Entrants

The security screening industry has low barriers to entry, and new entrants could potentially disrupt the market, posing a significant threat to Clear Secure, Inc.

Intensity Of Rivalry

The security screening industry is moderately competitive, with several established players, but Clear Secure, Inc. has a strong market position and differentiated products.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	35.31%
Debt Cost	11.65%
Equity Weight	64.69%
Equity Cost	11.65%
WACC	11.65%
Leverage	54.59%

11. Quality Control: Clear Secure, Inc. passed 6 out of 9 key points

Strong Liquidity

Low Deb

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Immersion

A-Score: 6.0/10

Value: 9.3

Growth: 6.7

Quality: 6.0

Yield: 5.0

Momentum: 3.0

Volatility: 6.0

1-Year Total Return ->

Clear Secure

A-Score: 5.8/10

Value: 3.7

Growth: 9.8

Quality: 7.6

Yield: 5.0

Momentum: 4.0

Volatility: 5.0

1-Year Total Return ->

Upbound

A-Score: 5.4/10

Value: 7.9

Growth: 3.9

Quality: 5.4

Yield: 9.0

Momentum: 2.5

Volatility: 4.0

1-Year Total Return ->

ePlus

A-Score: 4.5/10

Value: 5.8

Growth: 7.0

Quality: 6.0

Yield: 0.0

Momentum: 1.5

Volatility: 6.7

1-Year Total Return ->

SilverSun Technologies

A-Score: 4.5/10

Value: 5.6

Growth: 7.3

Quality: 3.8

Yield: 5.0

Momentum: 5.0

Volatility: 0.0

1-Year Total Return ->

Daily Journal

A-Score: 4.4/10

Value: 5.0

Growth: 4.7

Quality: 8.0

Yield: 0.0

Momentum: 5.0

Volatility: 4.0

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

2.70%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

11.65%

Clear Secure, Inc. - US18467V1098

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on YOU

1.c. Company Highlights

Higher Yield

Higher Growth

Better Quality

Earnings Beats

Revenues Miss

Average Quality

Fairly Valued

Strong Momentum

Earnings Miss

Revenues Beats

Average Growth

2. CLEAR's Q3 Earnings Shine with 15.5% Revenue Growth

Operational Highlights

Growth Prospects

Valuation Metrics

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.00%)

6. Segments

Biometric Scanning Product

Expected Growth: 14%

7. Detailed Products

CLEAR

Health Pass

CLEAR for Sports

CLEAR for Work

8. Clear Secure, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Clear Secure, Inc. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

33.5$

Current Price

33.5$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA