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Tesla (TSLA) shares surged Friday afternoon, rising a day after Elon Musk told his employees to “hang on.”

The shares, which added over 5% in Friday’s session, still fell for a ninth consecutive week. Tesla has had a rough few months, losing about half their value since hitting a record high in December while facing worries about declining sales, new tariffs, and a backlash to CEO Musk’s political activities.

On Thursday, at an all-hands meeting, Musk told staff to “hang on to your stock,” arguing it’s difficult for Wall Street to fully understand the value of its growth potential tied to advances in autonomous driving and the company’s work on its Optimus humanoid robot, which Musk has previously said could eventually come to represent a larger source of Tesla’s revenue than its vehicles.

“Tesla stock goes up and it goes down, but actually it’s still the same company,” Musk said. “It’s just people’s perception of the future.”

Wedbush analysts called the event a “major and much needed step forward” after calls for Musk to reassure investors after the stock’s recent slide. “We applaud Musk for ‘reading the room’ and showing important hand holding at this key time for employees and investors,” they said.

The Wedbush analysts, among some of the most bullish on Tesla, hold a $550 price target for the stock, well above the average target of $355 compiled by Visible Alpha.

Morgan Stanley analysts, who cut their target to $410 from $430 Thursday, told clients Tesla’s decline in deliveries is “not particularly narrative changing,” and that Tesla remains a “top pick,” citing its potential as a “highly diversified play on AI and robotics.”

UPDATE—March 21, 2025: This article has been updated since it was first published to reflect more recent share price values.

Below you’ll find featured rates available from our partners, followed by details from our ranking of the best CDs available nationwide.

Rates of 4.50% to 5.00% You Can Guarantee as Long as September 2026

Your ability to lock in a 5.00% APY continues with Mountain America Credit Union’s 18-month certificate promising that return. Opening this CD now would lock in your rate until fall 2026.

The runner-up rate is 4.65% APY, available from four competing offers that extend their rate promise into later 2025. Two banks and two nationally available credit unions are paying that rate on terms of 5 to 7 months.

In the longer 1-year term, Abound Credit Union recently unveiled a 4.60% return with a 10-month rate guarantee. Or you can secure that same APY for 13 months with Vibrant Credit Union. Both of these will guarantee your rate into 2026.

Extending further into next year is Skyla Credit Union’s 21-month offer of 4.50%, which will lock in your return until almost Christmas 2026.

All Federally Insured Institutions Are Equally Protected

Your deposits at any FDIC bank or NCUA credit union are federally insured, meaning you’re protected by the U.S. government in the unlikely case that the institution fails. Not only that, but the coverage is identical—deposits are insured up to $250,000 per person and per institution—no matter the size of the bank or credit union.

Consider Multiyear CDs To Lock Your Rate Further Into the Future

For a CD that will guarantee your return until nearly 2027, Skyla Credit Union offers 4.50% for 21 months. Meanwhile, Genisys Credit Union is now the rate leader in the 3-year term, offering 4.32% for 30 months.

Anyone wanting an even longer rate lock got some good news earlier this month, with the leading 4-year CD rate getting a boost from 4.35% to 4.40%. That new higher rate is available from Vibrant Credit Union. Meanwhile, Transportation Federal Credit Union is also offering 4.40% APY, but on a slightly longer 5-year certificate—ensuring you’ll earn well above 4% all the way until 2030.

Long-term CDs are likely smart right now, given the possibility of Fed rate cuts in 2025 and 2026. The central bank has so far lowered the federal funds rate by a full percentage point, and this year could see additional cuts. While any interest-rate reductions from the Fed will push bank APYs lower, a CD rate you secure now will be yours to enjoy until it matures.

Today’s Best CDs Still Pay Historically High Returns

It’s true that CD rates are no longer at their peak. But despite the pullback, the best CDs still offer a stellar return. October 2023 saw the best CD rates push above 6%, while the leading rate is currently down to 5%. Compare that to early 2022, before the Federal Reserve embarked on its fast-and-furious rate-hike campaign. The most you could earn from the very best CDs in the country then ranged from just 0.50% to 1.70% APY, depending on the term.

Jumbo CDs Top Regular CDs in 3-Year Term

Jumbo CDs require much larger deposits and sometimes pay premium rates—but not always. In fact, the best jumbo CD rates right now are worse than the best standard CD rates in all but one term we track. In the 3-year term, Hughes Federal Credit Union is offering 4.34% for a jumbo CD vs. 4.32% for the highest standard rate. It’s smart to always check both types of offerings when CD shopping, and if your best rate option for your preferred deposit amount is a standard CD, simply open it with a jumbo-sized deposit.

Where Are CD Rates Headed in 2025?

In December, the Federal Reserve announced a third rate cut to the federal funds rate in as many meetings, reducing it a full percentage point since September. But in January and March, the central bankers declined to make further cuts to the benchmark rate.

The Fed’s three 2024 rate cuts represented a pivot from the central bank’s historic 2022–2023 rate-hike campaign, in which the committee aggressively raised interest rates to combat decades-high inflation. At its 2023 peak, the federal funds rate climbed to its highest level since 2001—and remained there for nearly 14 months.

Fed rate moves are significant to savers, as reductions to the fed funds rate push down the rates banks and credit unions are willing to pay consumers for their deposits. Both CD rates and savings account rates reflect changes to the fed funds rate.

Time will tell what exactly will happen to the federal funds rate in 2025 and 2026—and economic policies from the new Trump administration have the potential to alter the Fed’s course. But with three Fed rate cuts already in the books, today’s CD rates could be the best you’ll see for some time. That makes now a smart time to lock in the best rate that suits your financial timeline.

Daily Rankings of the Best CDs and Savings Accounts

Important

Note that the “top rates” quoted here are the highest nationally available rates Investopedia has identified in its daily rate research on hundreds of banks and credit unions. This is much different than the national average, which includes all banks offering a CD with that term, including many large banks that pay a pittance in interest. Thus, the national averages are always quite low, while the top rates you can unearth by shopping around are often five, 10, or even 15 times higher.

How We Find the Best CD Rates

Every business day, Investopedia tracks the rate data of more than 200 banks and credit unions that offer CDs to customers nationwide and determines daily rankings of the top-paying certificates in every major term. To qualify for our lists, the institution must be federally insured (FDIC for banks, NCUA for credit unions), the CD’s minimum initial deposit must not exceed $25,000, and any specified maximum deposit cannot be under $5,000.

Banks must be available in at least 40 states. And while some credit unions require you to donate to a specific charity or association to become a member if you don’t meet other eligibility criteria (e.g., you don’t live in a certain area or work in a certain kind of job), we exclude credit unions whose donation requirement is $40 or more. For more about how we choose the best rates, read our full methodology.

Reddit (RDDT) co-founder Alexis Ohanian has made millions from his entrepreneurial ventures and investments. Now he’s joining billionaire Frank McCourt’s bid to acquire U.S. operations of China-based social media app TikTok,.

Ohanian joined former Los Angeles Dodgers owner McCourt and his nonprofit Project Liberty’s bid as a strategic advisor specializing in social media, per Reuters.

An investor, entrepreneur and the husband of tennis legend Serena Williams Ohanian has founded multiple venture capital firms and has been an early investor in several successful tech startups. Ohanian has an estimated net worth of $150 million, according to Celebrity Net Worth.

Here’s how Ohanian made his millions.

Reddit

Ohanian co-founded the social media platform Reddit in 2005 with Steve Huffman, who is the current CEO of the company. Ohanian and Huffman were college roommates at the University of Virginia and founded Reddit shortly after graduating. A year after it was founded, Ohanian and Huffman sold Reddit to Condé Nast Publications for an estimated $10 million, according to a series of posts by Ohanian on the social media app X in 2020.

Ohanian left Reddit in 2009 and rejoined in 2014 as executive chairman. Ohanian stepped down in 2020 and asked to be replaced by a Black candidate as a push for diversity in tech. Ohanian was replaced on the board by Michael Seibel, who was the CEO of Y Combinator at the time.

Ohanian said in a post on X from February 2024 that he still had some shares in Reddit from his time as executive chair.

Reddit went public in March 2024 with a valuation of $6.4 billion.

Venture Capital Fund and Other Investments

Ohanian has invested in a host of tech startups, among them 40 unicorns—including Instacart, Coinbase Global (COIN), Hubspot (HUBS), Opendoor Technologies (OPEN), Patreon, and Impossible Foods.

A number of those investments (such as Instacart, Coinbase, and Patreon) were through venture capital firm Initialized Capital, which Ohanian co-founded in 2012 and left in July 2020.

In September 2020, Ohanian founded 776, a VC firm. The firm has nearly $1 billion in assets under management, and is invested in startups such as the crowdfunding platform Kickstarter; LA Golf Club; and YouTube content creator MrBeast‘s snack company Feastables and MrBeast Industries, among others.

Apple’s newest laptop has won some admirers.

Apple (AAPL) earlier this month announced the release of its latest laptop, the M4 MacBook Air, which features its most powerful chip yet. The company said the new MacBook also boasts a new FaceTime camera, improved battery life, more base memory—and a starting price of $999 for the base 13-inch model and $1299 for the 15-inch one.

Investopedia read a selection of reviews to get a sense of early responses to the laptop, which hit stores March 12. Here’s a selection of what we found, along with links to the reviews.

‘Impressively Powerful.’ But Is It ‘Blue Enough’ for You?

Several reviews say the biggest upgrade is the M4 chip, which promises quicker speeds and overall better performance. A Mashable review called it “impressively powerful.” A Wired review said the chip might not be used to its best potential in a MacBook Air, which is fanless. But even while using the laptop for gaming, the model’s temperature never got “unbearable,” said the reviewer.

With the extra power of the M4 MacBook Air comes the ability to support two external displays, a win for people like small business owners and hybrid workers, said Wired’s review. And while a How-To Geek review said the upgraded chip’s capabilities might not be noticeable to everyone, if you have an M1 Air model or older, the jump to M4 would be “a pretty substantial improvement.”

“The M4 MacBook Air is an exceptional entry point into macOS and the Apple ecosystem,” said the How-To Geek review, which said this model is “unequivocally the best consumer laptop in its category.”

The camera, microphone, and speaker quality is also an improvement from previous models, according to 9to5Mac’s review.

Among the qualms reviewers have with the M4 MacBook Air are its lack of ports (all on the left side, plus a headphone jack on the right), and the price for upgraded storage space, which holds true for all Apple laptops, several reviews said. Some argued that the new sky blue color is not “blue enough.”

But The Verge calls the latest Air model “a little more for a little less” which seemed to be the consensus for several reviewers: you get a few new bells and whistles (upgraded chip and memory, a new camera and color option of sky blue, efficient battery) for less than previous models.

Online ticket-reselling platform StubHub on Friday filed a prospectus for listing on the New York Stock Exchange (NYSE) after reportedly shelving plans for an initial public offering last summer.

StubHub, which applied to list its common stock on the NYSE under the ticker “STUB,” said in its prospectus that it sold more than 40 million tickets on its marketplace in 2024, with Gross Merchandise Sales (GMS) of $8.68 billion, up 27% year-over-year.

In its Form S-1 filing with the U.S. Securities and Exchange Commission (SEC), StubHub reported a 2024 net loss of $2.8 million on revenue of $1.77 billion. In 2023, the company recorded a profit of $405.2 million on revenue of $1.37 billion, it said.

Last July, StubHub reportedly delayed filing for an IPO because of weak market conditions. At the time, The Wall Street Journal said a person close to the deal called it a “tricky time” for companies to go public, and that that the company had been looking to have a roughly $16.5 billion market valuation through the offering.

The economy is changing how Americans are eating.

Diners are moving meals from sit-down restaurants to fast-casual joints, according to executives at a range of a businesses, and taking more trips to value supermarkets. Data released this week by Bank of America, indicates that a rising cost of living is prompting Americans, especially lower-income consumers, to dine out less and look harder for grocery deals.

Discretionary spending, such as vacations and restaurant visits, has been down for about two years, Bank of America said. And sales at restaurants and bars fell 1.5% from January to February, according to Census Bureau data released this week.

Restaurants have noticed, executives said on recent earnings calls. Darden Restaurants (DRI), the company behind Olive Garden and LongHorn Steakhouse, said its casual concepts are serving fewer households making less than $50,000 a year. Diners are ordering fewer appetizers, beverages and desserts, according to Michael Spanos, CEO of Bloomin Brands (BLMN), parent company of Outback Steakhouse and Carrabba’s Italian Grill.

“We’re seeing some check management with, especially, those households [earning] under about $100,000,” Spanos said on an earnings call last month, according to a transcript from AlphaSense. 

Fast-Casual Spots and Gas Stations See Food Sales Rise

The push to save is benefiting Cava (CAVA), a fast-casual Mediterranean chain that believes it is drawing customers who are curtailing visits to casual dining spots, CEO Brett Schulman said on an earnings conference call last month.

Cava gets “folks trading down from a legacy casual dining experience and sharing a meal in our dining room,” as well as “trading up from traditional [quick-service restaurants] for $1 or $2 more,” Schulman said.

Casey’s General Store (CASY), which sells gas, snacks and prepared foods like pizza, stands to gain as shoppers look to spend less on meals, CEO Darren Rebelez said on an earnings call this month. Once in Casey’s, shoppers are eschewing candy, where prices are “very high,” in favor of baked goods, he said.

The change “is a little more affordable and still allows people to get that sweet indulgence that they’re looking for,” Rebelez said.

Changing Habits in the Grocery Aisle

Grocery shopping patterns have also evolved. Sprouts Farmers Market (SFM), where shoppers skew higher-income, expects customers to respond to economic pressure by eating out less and coming into its stores more, CFO Curtis Valentine said at a conference this month.

Many families are relying more on value supermarkets, according to Bank of America. Household spending at discount grocers grew 1.2% from February 2024 to 2025, while falling 1.4% at premium supermarkets, the bank said.

Shoppers are more frequently reaching for smaller package sizes, said Kenneth Casey Keller CEO of B&G Foods (BGS), the group behind Crisco, Green Giant and Cream of Wheat.

“We will look at: the smaller size in our portfolio, how do we emphasize those for consumers that might be looking to trade down?” he said on an earnings call last month.

Major U.S. equities indexes ticked higher on the final day of the trading week, snapping their weekly losing streaks.

The S&P 500 and Dow eked out a gain of 0.1% Friday, while the tech-heavy Nasdaq ended 0.5% higher. All three posted gains for the week, with the Dow adding 1.2%, the S&P 500 advancing 0.5%, and the Nasdaq edging up 0.2%.

Super Micro Computer (SMCI) shares gained the most of any S&P 500 constituent on Friday, surging 7.8% after JPMorgan upgraded the stock to “neutral” from “underweight.” The analysts suggested Supermicro could be poised to benefit from strong demand for AI infrastructure and its servers that incorporate Nvidia’s (NVDA) Blackwell platform.

Tesla (TSLA) shares also rose, adding 5.3%. CEO Elon Musk held an all-hands meeting with employees Thursday evening in which he told staff to “hang on” to their stock in an effort to shore up confidence following a rough stretch that has seen the stock shed half its value in the past few months.

Boeing (BA) shares advanced 3.1% after President Trump awarded the aircraft manufacturer with a contract to build the F-47, the U.S. Air Force’s next-generation fighter jet. While financial details were not disclosed, The Wall Street Journal estimated that research, development, and acquisition costs could exceed $50 billion. Shares of defense contractor Lockheed Martin (LMT), which lost out to its rival, slipped 5.8%.

Micron Technology (MU) shares tumbled 8%, posting the weakest daily performance in the S&P 500. The memory and storage chipmaker posted better-than-expected sales and profits for its fiscal second quarter, but worries about its gross margin trajectory raised concerns, prompting analysts at Citi to trim their price target on the stock.

Shares of Texas Pacific Land (TPL), which owns major acreage in the oil-rich Permian Basin, fell 7.2% following reports that several company insiders sold off significant positions in the company. Executives recently offloading shares included the company’s CFO as well as its senior vice president and general counsel. Investors often interpret selling by top executives as a lack of confidence in a company’s prospects.

FedEx (FDX) missed quarterly profit estimates and cut its full-year outlook, citing economic uncertainty. Analysts from UBS and Bank of America lowered their price targets on FedEx stock, and shares of the package delivery giant dropped 6.5% on Friday.

Steelmaker Nucor (NUE) provided a lower-than-expected profit forecast for the first quarter of 2025, and its shares slipped 5.8%. The company said soft steel pricing is pressuring its average selling prices, forecasting a sequential earnings decline from its steel products segment.

If you’re one of the 43 million Americans with student loans, you could soon be making payments to the Small Business Administration rather than the Department of Education, as part of President Donald Trump’s latest shakeup of the federal government.

Trump said Friday that the SBA, an agency that supports small businesses with loans and other programs, would handle the country’s $1.6 trillion portfolio of student loan debt as part of his dismantling of the Department of Education. Currently, the DOE manages the loans, relying on several private servicing companies to handle payments and customer service.

“We have a portfolio that’s very large, lots of loans, tens of thousands of loans—pretty complicated deal. And that’s coming out of the Department of Education immediately,” Trump said in the Oval Office Friday. “It’ll be serviced much better than it has in the past. It’s been a mess.”

The same day, SBA director Kelly Loeffler said the new home of the loan portfolio was cutting its staff by 43%.

“As the government’s largest guarantor of business loans, the SBA stands ready to deploy its resources and expertise on behalf of America’s taxpayers and students,” Loeffler posted on X.

In recent months, student loan borrowers have faced disruptions, and in some cases, dramatically higher monthly payments on income-driven repayment plans amid court battles over a the fate of the SAVE repayment plan created by former president Joe Biden’s administration.

The move drew criticism from at least one group that advocates for student loan borrowers.

“Moving the student loan program to the SBA is illegal, unserious, and a clear attempt to distract the public from the fact that Trump has broken the student loan system and is actively cheating millions of borrowers out of their rights,” Mike Pierce, executive director of the Student Borrower Protection Center, said in a statement.

Updated on March 21st, 2025 by Bob Ciura

Air Products & Chemicals (APD) may not be the most well-known company. It is primarily a business-to-business manufacturer and distributor of industrial gases.

However, Air Products & Chemicals is an elite dividend stock as a member of the Dividend Aristocrats, a group of reliable dividend stocks with 25+ years of consecutive dividend increases.

We believe the Dividend Aristocrats are among the best dividend growth stocks to buy for the long run.

With that in mind, we created a list of all 69 Dividend Aristocrats, along with important metrics like price-to-earnings and dividend yields.

You can download a copy of our Dividend Aristocrats list by clicking on the link below:

 

Disclaimer: Sure Dividend is not affiliated with S&P Global in any way. S&P Global owns and maintains The Dividend Aristocrats Index. The information in this article and downloadable spreadsheet is based on Sure Dividend’s own review, summary, and analysis of the S&P 500 Dividend Aristocrats ETF (NOBL) and other sources, and is meant to help individual investors better understand this ETF and the index upon which it is based. None of the information in this article or spreadsheet is official data from S&P Global. Consult S&P Global for official information.

Air Products & Chemicals’ dividend history – 43 years of consecutive dividend increases – indicates that the company is a model of consistency.

The company has reinvented itself in recent years. A spinoff and a separate significant divestiture were implemented with the goal of streamlining the company’s business model and focusing on its core industrial gas operations.

Air Products & Chemicals appears poised to continue raising its dividend for many years to come.

Business Overview

Air Products & Chemicals is one of the largest producers and distributors of atmospheric and process gasses in the world. Its customers include other businesses in the industrial, technology, energy, and materials sectors.

Air Products & Chemicals was founded in 1940 and has a current market capitalization of ~$65 billion.

It also has a significant international presence. Roughly 40% of the company’s annual sales are generated in the U.S. and Canada, with the remainder spread across Latin America, Europe, and Asia.

Air Products & Chemicals reported financial results for the first quarter of fiscal 2025 in February. Revenue of $2.93 billion during the quarter, declined 2.3% year-over-year, missing the analyst consensus estimate by $10 million.

Source: Investor Presentation

The company’s costs declined even more than revenues, which still allowed for some earnings growth compared to the previous year’s quarter.

Air Products & Chemicals was able to generate earnings-per-share of $2.86 during the first quarter, which was up 1% compared to the previous year’s period. EBITDA was up 1% as well during the period.

Following a record year in 2024, Air Products & Chemicals is guiding for another record profit in fiscal 2025, with earnings-per-share seen at $12.70 to $13.00. The guidance implies an earnings-per-share growth rate of around 3% this year.

Growth Prospects

The streamlining initiatives undertaken by Air Products & Chemicals in the past several years have led to significant profitability improvements for the industrial gas giant. The company’s EBITDA margin trend over the last several years can be seen below:

Air Products & Chemicals has expanded its adjusted EBITDA margin by ~1400 basis points since the second quarter of 2014 – a significant improvement, which has combined with growing adjusted EBITDA to drive higher earnings-per-share and dividends.

It will also grow due to international expansion, as the company’s Gases Asia business has delivered the highest growth rate in the recent past, although its American business remains the largest segment.

Air Products & Chemicals has a number of growth projects either recently completed or scheduled to be completed in the coming months.

Source: Investor Presentation

Investments in NEOM will drive its green energy exposure and expand its presence in Saudi Arabia, while Air Products & Chemicals is also is expanding its hydrogen footprint in several markets, investing heavily in recent years and for the foreseeable future in this industry in order to benefit from the expected market growth in the coming years.

These investments, coupled with margin growth initiatives, should lead to meaningful earnings growth for the company over the coming years. We expect 6% annualized EPS growth over the next five years.

Competitive Advantages & Recession Performance

Air Products & Chemicals has a number of competitive advantages. The first and primary advantage the company has is its size and market share.

Moreover, the industrial gas distribution business benefits from high switching costs. These costs may not necessarily be financial – instead, customers are unlikely to switch once their gas needs are being met by a particular supplier because it would be difficult to find a competitor that offers identical services in a particular geographic region.

To that end, Air Products & Chemicals’ size also benefits the company.

The company’s recent divestitures and asset sales have given it an infusion of cash, bolstering its corporate finances in a way that should help it endure any upcoming economic downturns. Moreover, Air Products & Chemicals has a track record of performing reasonably well during past recessions.

Consider the company’s performance during the 2007-2009 financial crisis for evidence of this:

• 2007 adjusted earnings-per-share: $4.40
• 2008 adjusted earnings-per-share: $4.97 (13% increase)
• 2009 adjusted earnings-per-share: $4.06 (18.3% decline)
• 2010 adjusted earnings-per-share: $5.02 (23.6% increase)

Air Products & Chemicals experienced an 18.3% decline in adjusted earnings-per-share in 2009 during the financial crisis, but the company’s bottom line surged to a new high by 2010.

The company also remained highly profitable in 2020, a difficult year for the global economy due to the coronavirus pandemic.

The U.S. economy entered a recession as a result of the pandemic, but Air Products & Chemicals experienced only a mild dip in earnings, which allowed it to continue raising its dividend.

Valuation & Expected Total Returns

With a 6% expected EPS growth rate, in addition to a 2.4% dividend yield, one might anticipate high single-digit annual returns from the security.

However, it is imperative to consider how valuation can impact future returns.

Using $12.85 as the expected fiscal 2025 adjusted earnings-per-share, and a share price of $291, the security is currently trading hands at 22.6 times expected earnings.

For context, the stock has traded at an average earnings multiple closer to 19 over the last 10 years.

We believe that 20 times earnings is a fair valuation estimate for Air Products & Chemicals, meaning shares are slightly overvalued. Mean reversion to a price-to-earnings ratio of 20 could lower annualized returns by -2.4% over a 5-year time horizon.

As such, we expect total annual returns to consist of the following:

• 6% earnings-per-share growth
• 2.4% dividend yield
• -2.4% P/E multiple compression

We expect total annual returns of 6.0% per year through 2029.

Final Thoughts

Air Products & Chemicals is a strong dividend growth stock, having raised its dividend each year for the past 43 years.

The company has de-risked its business model and that business transformation allows it to focus on its core business of industrial gases.

Moreover, it has a large slate of new projects to help stay on track for growth in the coming years. This should benefit shareholders in the form of continued dividend increases on an annual basis.

With expected annual returns of 6%, we rate the stock as a hold right now.

If you are interested in finding more high-quality dividend growth stocks suitable for long-term investment, the following Sure Dividend databases will be useful:

The major domestic stock market indices are another solid resource for finding investment ideas. Sure Dividend compiles the following stock market databases and updates them monthly:

Klarna, which helped popularize buy now, pay later plans, filed a prospectus to hold an initial public offering earlier this month, offering details about its growth over the past two decades.

The company’s buy now, pay later plans caught on with Swedish consumers, who could take home their purchases, while paying a portion of their bill and agreeing to have further installments deducted from their account in the coming weeks.

Klarna has since expanded to 25 other countries, partnered with 675,000 merchants and taken payments from 93 million consumers. The company said it handled an average of 2.9 million transactions daily in 2024, with underwriting decisions on short-term loans made in seconds using a “fully automated process.”

The filing didn’t include details about how many shares Klarna intends to sell, or at what price. Here’s a look at what the company did have to say.

US Growth Has Squeezed Profits Lately

Klarna made money for its first 14 years, but said its profits came under pressure when it launched in the US in 2019.

It calls 2023 an inflection point because that’s when it achieved the scale needed in America to generate positive margins. Klarna reported a $21 million profit in 2024 after two years of losses. Klarna’s revenue has grown nearly 48% over the past three years, from $1.9 billion in 2022 to $2.8 billion in 2024.

Klarna Has Several Revenue Streams

Nearly 64% of revenue last year came from merchants. Klarna charges retailers transaction fees when their consumers pay using the service, and several big names offer Klarna at checkout, including Uber (UBER), Apple (AAPL), Macy’s (M) and Wayfair (W). (Klarna recently signed on Walmart (WMT) and DoorDash (DASH) the company said.)

Merchants also pay to advertise on Klarna’s website and app, and to have their products prominently displayed in users’ search results.

Another 12% of revenue last year involved consumer payments, such as “reminder” fees for late payments, the company said. Consumer payments also includes money from Klarna Plus, a roughly $8-a-month subscription plan that comes with deals and waived service fees, the company said.

The remaining 24% related to interest—both interest paid by borrowers and interest Klarna earned on investments.

Basic Payment Processing Is Playing a Smaller Role at Klarna

Klarna handles three types of transactions, including basic payment processing, where funds are immediately transferred.

About 26% of gross merchandise value—or the total cost of items sold via Klarna—in 2022 were paid for outright, but that fell to 16% in 2024, the company said. During that period, Klarna’s “Pay Later” product, where consumers delay or divide a payment into installments, went from 70% of GMV in 2022 to 79% in 2024, Klarna said.

The share of GMV paid for with short-term loans, which can carry interest, ticked up slightly during these three years.

Swedes Use Klarna for a Range of Purchases

In its filing, the company compared the scope of its operations in Sweden and the U.S., showing the role it can play in a mature market.

About 82% of adults in Sweden used Klarna last year, and they had an average of 32 transactions each, the company said. Their spending was fairly evenly distributed across categories including apparel and accessories, health and beauty, home and electronics, food and beverage and leisure.

In the US, nearly 10% of adults paid with Klarna in 2024—about five years after the company launched in the States. Americans had an average of more than five purchases that year, and 69% of their spending was concentrated in apparel and accessories, the company said.

Klarna Says it Has Room to Grow

Klarna envisions growing by working with more merchants, operating in new regions and drawing in additional consumers.

The company wants to build up two revenue streams. Klarna, which has a banking license from Sweden, wants to boost its retail banking business, which held $9.5 billion in deposits for consumers at the end of 2024.

Klarna also wants to scale its advertising business, which brought in $180 million, or more than 6% of all revenue last year.