Paysafe Limited (NYSE:PSFE) Given Consensus Rating of "Reduce" by Brokerages

Key Points

• Analysts collectively rate Paysafe “Reduce”: Of six analysts, three recommend selling, two advise holding, and one recommends buying. The average 12-month price target is $8.50.
• Shares opened at $6.29, well below their 50-day and 200-day moving averages of $7.27 and $7.49, respectively, and have traded between $5.95 and $14.19 over the past year.
• Paysafe slightly exceeded quarterly expectations, reporting adjusted EPS of $0.43 versus a $0.39 estimate and revenue of $447.44 million, but remained unprofitable with an 11.82% negative net margin.

Shares of Paysafe Limited (NYSE:PSFE - Get Free Report) have been assigned a consensus rating of "Reduce" from the six research firms that are covering the firm, Marketbeat reports. Three equities research analysts have rated the stock with a sell recommendation, two have given a hold recommendation and one has issued a buy recommendation on the company. The average 12 month price objective among brokers that have covered the stock in the last year is $8.50.

A number of equities analysts have recently weighed in on PSFE shares. UBS Group set a $7.00 price target on shares of Paysafe and gave the stock a "sell" rating in a research note on Friday, August 14th. Royal Bank Of Canada set a $9.00 price objective on Paysafe and gave the company a "sector perform" rating in a research report on Friday, August 14th. Zacks Research downgraded Paysafe from a "hold" rating to a "strong sell" rating in a research note on Wednesday, July 15th. Wall Street Zen lowered Paysafe from a "buy" rating to a "hold" rating in a research report on Monday, August 3rd. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Paysafe in a research note on Tuesday, August 11th.

Paysafe Price Performance

Shares of PSFE opened at $6.29 on Friday. The business's 50-day moving average is $7.27 and its 200-day moving average is $7.49. The company has a debt-to-equity ratio of 4.38, a current ratio of 1.17 and a quick ratio of 1.17. The company has a market capitalization of $325.15 million, a price-to-earnings ratio of -1.65 and a beta of 1.75. Paysafe has a fifty-two week low of $5.95 and a fifty-two week high of $14.19.

Paysafe (NYSE:PSFE - Get Free Report) last posted its quarterly earnings results on Thursday, August 13th. The company reported $0.43 EPS for the quarter, topping the consensus estimate of $0.39 by $0.04. The business had revenue of $447.44 million during the quarter, compared to analysts' expectations of $446.85 million. Paysafe had a negative net margin of 11.82% and a positive return on equity of 10.31%. Paysafe has set its FY 2026 guidance at 1.900-2.030 EPS.

Insider Buying and Selling

In related news, insider Richard Swales sold 10,000 shares of the firm's stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $6.58, for a total transaction of $65,800.00. Following the transaction, the insider owned 34,456 shares of the company's stock, valued at approximately $226,720.48. This trade represents a 22.49% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website.

Institutional Trading of Paysafe

Large investors have recently added to or reduced their stakes in the business. Greenwich Wealth Management LLC increased its holdings in Paysafe by 6.9% during the 4th quarter. Greenwich Wealth Management LLC now owns 30,473 shares of the company's stock valued at $247,000 after purchasing an additional 1,960 shares in the last quarter. Engineers Gate Manager LP acquired a new stake in Paysafe in the 2nd quarter valued at about $98,000. FourThought Financial Partners LLC acquired a new position in shares of Paysafe during the fourth quarter worth approximately $111,000. World Investment Advisors acquired a new stake in shares of Paysafe in the fourth quarter valued at approximately $116,000. Finally, Sei Investments Co. acquired a new position in Paysafe during the 1st quarter worth $127,000. 54.39% of the stock is owned by institutional investors.

About Paysafe

Paysafe Limited NYSE: PSFE is a specialized payments platform that provides payment processing, digital wallet and online cash solutions to businesses and consumers. Its services are designed for online commerce, recurring payments and industries such as iGaming, entertainment, travel, retail and small-business services.

The company's consumer-facing brands include Skrill and Neteller, which offer digital wallets and related money-transfer and payment services. Paysafe also operates paysafecard, a prepaid cash-based payment method that enables consumers to make online purchases without using a traditional bank account or credit card.

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