Paysafe Limited (NYSE:PSFE) Stock Has Average Target Price of $8.50

Key Points

• Analysts remain cautious on Paysafe: six brokerages give the stock a consensus “Reduce” rating, with three sells, two holds, and one buy. The average 1-year price target is $8.50.
• Paysafe reported quarterly EPS of $0.43, exceeding the $0.39 consensus estimate, while revenue of $447.44 million was broadly in line with expectations.
• PSFE opened at $5.78, near its one-year low of $5.35, and carries high leverage with a debt-to-equity ratio of 4.38. Insider Richard Swales also sold 10,000 shares, while institutional investors and hedge funds own 54.39% of the stock.

Paysafe Limited (NYSE:PSFE - Get Free Report) has received a consensus rating of "Reduce" from the six brokerages that are covering the firm, MarketBeat.com reports. Three research analysts have rated the stock with a sell recommendation, two have issued a hold recommendation and one has assigned a buy recommendation to the company. The average 1-year target price among analysts that have updated their coverage on the stock in the last year is $8.50.

A number of equities analysts have issued reports on PSFE shares. Zacks Research cut shares of Paysafe from a "hold" rating to a "strong sell" rating in a research note on Wednesday, July 15th. UBS Group set a $7.00 price objective on 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 stock a "sector perform" rating in a research note on Friday, August 14th. Susquehanna set a $7.00 price objective on Paysafe and gave the company a "neutral" rating in a report on Wednesday, August 12th. Finally, BTIG Research cut their target price on Paysafe from $12.00 to $11.00 and set a "buy" rating on the stock in a research note on Wednesday, July 29th.

Insider Activity

In other news, insider Richard Swales sold 10,000 shares of the business's stock in a transaction dated Friday, August 14th. The stock was sold at an average price of $6.58, for a total transaction of $65,800.00. Following the completion of the transaction, the insider directly owned 34,456 shares in the company, valued at approximately $226,720.48. The trade was a 22.49% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink.

Institutional Trading of Paysafe

A number of hedge funds have recently modified their holdings of PSFE. Palogic Value Management L.P. bought a new position in Paysafe during the second quarter worth about $374,000. Engineers Gate Manager LP acquired a new position in Paysafe in the second quarter valued at about $98,000. Public Employees Retirement System of Ohio bought a new stake in shares of Paysafe in the second quarter worth about $350,000. Bank of America Corp DE raised its position in shares of Paysafe by 74.3% during the first quarter. Bank of America Corp DE now owns 65,947 shares of the company's stock worth $449,000 after purchasing an additional 28,117 shares during the period. Finally, Empowered Funds LLC raised its position in shares of Paysafe by 9.7% during the first quarter. Empowered Funds LLC now owns 212,954 shares of the company's stock worth $1,450,000 after purchasing an additional 18,863 shares during the period. 54.39% of the stock is currently owned by institutional investors and hedge funds.

Paysafe Price Performance

PSFE opened at $5.78 on Tuesday. 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 stock has a market capitalization of $298.76 million, a P/E ratio of -1.52 and a beta of 1.78. The company's 50 day simple moving average is $6.49 and its 200-day simple moving average is $7.34. Paysafe has a one year low of $5.35 and a one year high of $12.95.

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

About Paysafe

Paysafe Limited is a specialized payments platform that provides digital commerce and payment solutions for businesses and consumers. Its services include payment processing, online cash solutions, digital wallets, and related technologies that enable customers to pay, receive funds, and manage transactions across online and physical channels.

The company's consumer-facing brands include Skrill, a digital wallet and money-transfer service; Neteller, a digital payments platform; and paysafecard, a prepaid cash-based payment method.

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