Goldman Sachs Retains Neutral Rating on Green Dot

Goldman Sachs is retaining its Neutral rating on Green Dot Corporation (NYSE: GDOT), “although we note that GDOT faces fewer regulatory concerns than other prepaid names as the company does not charge per transaction fees or partner with payday lenders/check cashers which appear to be focal points for regulators and the newly minted CFPB.”

“On the other hand, we balance our view against what we think will be a highly competitive environment, with GDOT more exposed to price competition on load/reload fees, which represented 25% of total revenues at 1Q11,” Goldman Sachs writes.

Green Dot closed Friday at $35.20.