Repay Holdings Corporation (NASDAQ:RPAY) Stake Boosted by Private Management Group Inc.

Key Points

• Private Management Group Inc. increased its stake in Repay Holdings Corporation by 52.6%, owning 2,654,679 shares valued at approximately $14.79 million.
• Repay Holdings reported a quarterly earnings miss with an EPS of $0.22, falling short of the consensus estimate of $0.23, and achieved a revenue of $77.33 million, down 4.2% year-over-year.
• The company's board approved a $75 million stock buyback program, indicating confidence in the stock's undervaluation, allowing for the repurchase of up to 19% of its stock.

Private Management Group Inc. grew its stake in shares of Repay Holdings Corporation (NASDAQ:RPAY - Free Report) by 52.6% during the 1st quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 2,654,679 shares of the company's stock after purchasing an additional 914,529 shares during the period. Private Management Group Inc. owned approximately 2.72% of Repay worth $14,787,000 at the end of the most recent reporting period.

Other institutional investors also recently made changes to their positions in the company. Quarry LP purchased a new stake in shares of Repay in the 4th quarter worth about $27,000. Spire Wealth Management boosted its position in shares of Repay by 52.5% in the 1st quarter. Spire Wealth Management now owns 7,610 shares of the company's stock worth $42,000 after buying an additional 2,620 shares in the last quarter. Johnson Financial Group Inc. purchased a new stake in shares of Repay in the 4th quarter worth about $47,000. Teacher Retirement System of Texas purchased a new stake in shares of Repay in the 1st quarter worth about $61,000. Finally, IQ EQ FUND MANAGEMENT IRELAND Ltd purchased a new stake in shares of Repay in the 4th quarter worth about $106,000. 82.73% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research analysts recently weighed in on the stock. Wall Street Zen downgraded shares of Repay from a "buy" rating to a "hold" rating in a research note on Thursday, May 22nd. BMO Capital Markets cut their target price on shares of Repay from $7.00 to $5.00 and set a "market perform" rating for the company in a research note on Tuesday, May 13th. Citigroup cut their target price on shares of Repay from $8.00 to $4.50 and set a "neutral" rating for the company in a research note on Monday, May 19th. Morgan Stanley set a $4.50 target price on shares of Repay in a research note on Wednesday, May 14th. Finally, Keefe, Bruyette & Woods cut their target price on shares of Repay from $6.50 to $4.50 and set a "market perform" rating for the company in a research note on Tuesday, May 13th. Five research analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, Repay currently has a consensus rating of "Moderate Buy" and an average target price of $7.90.

Repay Trading Down 3.5%

RPAY traded down $0.19 on Tuesday, reaching $5.16. 293,217 shares of the company's stock were exchanged, compared to its average volume of 1,243,767. The company's 50 day moving average is $4.86 and its 200-day moving average is $5.52. The company has a market cap of $512.61 million, a price-to-earnings ratio of -34.30 and a beta of 1.59. Repay Holdings Corporation has a twelve month low of $3.59 and a twelve month high of $9.96. The company has a debt-to-equity ratio of 0.65, a quick ratio of 3.71 and a current ratio of 3.71.

Repay (NASDAQ:RPAY - Get Free Report) last posted its earnings results on Monday, May 12th. The company reported $0.22 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.23 by ($0.01). The business had revenue of $77.33 million for the quarter, compared to analyst estimates of $76.06 million. Repay had a positive return on equity of 8.49% and a negative net margin of 4.16%. The firm's revenue for the quarter was down 4.2% compared to the same quarter last year. During the same period last year, the company posted $0.23 EPS. Equities analysts predict that Repay Holdings Corporation will post 0.72 earnings per share for the current year.

Repay declared that its board has approved a stock buyback plan on Monday, May 12th that allows the company to buyback $75.00 million in shares. This buyback authorization allows the company to repurchase up to 19% of its stock through open market purchases. Stock buyback plans are generally an indication that the company's management believes its stock is undervalued.

Insider Buying and Selling

In related news, President Shaler Alias purchased 15,378 shares of the firm's stock in a transaction on Thursday, May 15th. The stock was purchased at an average price of $3.93 per share, for a total transaction of $60,435.54. Following the acquisition, the president directly owned 264,782 shares in the company, valued at $1,040,593.26. The trade was a 6.17% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO John Andrew Sr. Morris purchased 86,761 shares of the firm's stock in a transaction on Thursday, May 15th. The stock was bought at an average price of $3.89 per share, with a total value of $337,500.29. Following the acquisition, the chief executive officer owned 86,761 shares in the company, valued at $337,500.29. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last three months, insiders have purchased 439,702 shares of company stock valued at $1,806,974. Corporate insiders own 12.00% of the company's stock.

Repay Company Profile

Repay Holdings Corporation, payments technology company, provides integrated payment processing solutions to industry-oriented markets in the United States. It operates through two segments: Consumer Payments and Business Payments. The company's payment processing solutions enable consumers and businesses to make payments using electronic payment methods.