Evertec, Inc. (NYSE:EVTC) Receives $39.00 Average PT from Analysts

Key Points

• Evertec, Inc. has received a consensus rating of "Moderate Buy" from six analysts, with three holding and three buying ratings, and an average one-year price target of $39.00.
• The company reported a Q2 EPS of $0.89, exceeding analysts' expectations, and set guidance for FY 2025 EPS between 3.440-3.520.
• Evertec has announced a quarterly dividend of $0.05 per share, representing a yield of 0.6%, with the dividend payout ratio at 9.43%.

Shares of Evertec, Inc. (NYSE:EVTC - Get Free Report) have been assigned a consensus rating of "Moderate Buy" from the six ratings firms that are currently covering the firm, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a hold rating and three have given a buy rating to the company. The average 1 year target price among brokerages that have issued a report on the stock in the last year is $39.00.

Several research analysts have weighed in on EVTC shares. Deutsche Bank Aktiengesellschaft started coverage on Evertec in a research note on Thursday, July 17th. They issued a "hold" rating and a $35.00 target price on the stock. Raymond James Financial reiterated an "outperform" rating and issued a $43.00 target price (up from $42.00) on shares of Evertec in a research note on Thursday, July 31st. Morgan Stanley lowered their target price on shares of Evertec from $35.00 to $34.00 and set an "equal weight" rating on the stock in a report on Thursday, July 31st. Finally, Susquehanna set a $39.00 target price on shares of Evertec and gave the company a "neutral" rating in a report on Tuesday, May 20th.

Insider Buying and Selling at Evertec

In related news, Director Aldo J. Polak sold 2,243 shares of the business's stock in a transaction dated Friday, June 20th. The shares were sold at an average price of $35.72, for a total transaction of $80,119.96. Following the sale, the director owned 11,946 shares of the company's stock, valued at approximately $426,711.12. The trade was a 15.81% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 0.63% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. American Century Companies Inc. increased its holdings in Evertec by 1.0% in the second quarter. American Century Companies Inc. now owns 4,558,374 shares of the business services provider's stock valued at $164,329,000 after buying an additional 46,147 shares in the last quarter. Kayne Anderson Rudnick Investment Management LLC grew its holdings in Evertec by 1.9% in the first quarter. Kayne Anderson Rudnick Investment Management LLC now owns 3,473,953 shares of the business services provider's stock valued at $127,737,000 after purchasing an additional 65,793 shares during the last quarter. Geode Capital Management LLC grew its holdings in Evertec by 0.6% in the second quarter. Geode Capital Management LLC now owns 1,476,778 shares of the business services provider's stock valued at $53,245,000 after purchasing an additional 9,506 shares during the last quarter. Fuller & Thaler Asset Management Inc. increased its position in shares of Evertec by 3.0% in the first quarter. Fuller & Thaler Asset Management Inc. now owns 1,155,394 shares of the business services provider's stock valued at $42,484,000 after buying an additional 33,832 shares in the last quarter. Finally, Northern Trust Corp raised its stake in shares of Evertec by 7.1% during the 1st quarter. Northern Trust Corp now owns 907,660 shares of the business services provider's stock worth $33,375,000 after buying an additional 60,484 shares during the last quarter. 96.80% of the stock is owned by hedge funds and other institutional investors.

Evertec Stock Performance

Evertec stock traded down $0.74 during midday trading on Friday, hitting $33.40. 21,076 shares of the company's stock were exchanged, compared to its average volume of 315,971. Evertec has a 12-month low of $31.41 and a 12-month high of $38.56. The company has a debt-to-equity ratio of 1.49, a quick ratio of 2.20 and a current ratio of 2.20. The stock has a market cap of $2.14 billion, a price-to-earnings ratio of 15.75, a price-to-earnings-growth ratio of 1.68 and a beta of 0.93. The firm's 50 day simple moving average is $35.23 and its 200 day simple moving average is $35.53.

Evertec (NYSE:EVTC - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The business services provider reported $0.89 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.86 by $0.03. Evertec had a net margin of 15.56% and a return on equity of 36.67%. The company had revenue of $229.61 million for the quarter, compared to the consensus estimate of $222.23 million. During the same period last year, the firm posted $0.83 EPS. Evertec's revenue for the quarter was up 8.3% on a year-over-year basis. Evertec has set its FY 2025 guidance at 3.440-3.520 EPS. Equities research analysts predict that Evertec will post 2.63 EPS for the current year.

Evertec Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, September 5th. Stockholders of record on Monday, August 4th were issued a $0.05 dividend. The ex-dividend date of this dividend was Monday, August 4th. This represents a $0.20 annualized dividend and a dividend yield of 0.6%. Evertec's payout ratio is presently 9.43%.

About Evertec

EVERTEC, Inc engages in transaction processing business and financial technology in Latin America and the Caribbean. The company operates through four segments: Payment Services - Puerto Rico & Caribbean; Latin America Payments and Solutions; Merchant Acquiring; and Business Solutions. It provides merchant acquiring services, which enable point of sales and e-commerce merchants to accept and process electronic methods of payment, such as debit, credit, prepaid, and electronic benefit transfer (EBT) cards.