Repay Holdings Corporation (NASDAQ:RPAY) Position Reduced by Royce & Associates LP

Key Points

• Royce & Associates LP reduced its stake in Repay Holdings Corporation by 10.8%, now holding 1,616,234 shares worth approximately $9 million.
• Multiple analysts have downgraded Repay's price targets, with Barclays setting a new target at $6.00 and Citigroup reducing their target to $4.50.
• Repay has initiated a $75 million stock repurchase plan to buy back up to 19% of its outstanding shares, indicating confidence in its undervalued stock.

Royce & Associates LP lessened its holdings in shares of Repay Holdings Corporation (NASDAQ:RPAY - Free Report) by 10.8% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 1,616,234 shares of the company's stock after selling 195,840 shares during the period. Royce & Associates LP owned 1.66% of Repay worth $9,002,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently bought and sold shares of the company. Quarry LP acquired a new position in shares of Repay in the 4th quarter worth approximately $27,000. Spire Wealth Management grew 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 valued at $42,000 after buying an additional 2,620 shares during the last quarter. Johnson Financial Group Inc. purchased a new position in shares of Repay in the 4th quarter valued at $47,000. Teacher Retirement System of Texas acquired a new stake in Repay during the 1st quarter worth $61,000. Finally, IQ EQ FUND MANAGEMENT IRELAND Ltd acquired a new stake in Repay during the 4th quarter worth $106,000. 82.73% of the stock is currently owned by institutional investors and hedge funds.

Repay Stock Performance

RPAY stock traded down $0.18 during trading on Tuesday, hitting $5.17. 225,136 shares of the company's stock traded hands, compared to its average volume of 1,242,965. The company has a quick ratio of 3.71, a current ratio of 3.71 and a debt-to-equity ratio of 0.65. Repay Holdings Corporation has a 52 week low of $3.59 and a 52 week high of $9.96. The stock has a fifty day moving average price of $4.86 and a two-hundred day moving average price of $5.52. The stock has a market capitalization of $513.61 million, a price-to-earnings ratio of -34.43 and a beta of 1.59.

Repay (NASDAQ:RPAY - Get Free Report) last released its quarterly earnings results on Monday, May 12th. The company reported $0.22 EPS for the quarter, missing the consensus estimate of $0.23 by ($0.01). The firm had revenue of $77.33 million for the quarter, compared to the consensus estimate 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 was down 4.2% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.23 EPS. As a group, equities analysts anticipate that Repay Holdings Corporation will post 0.72 EPS for the current fiscal year.

Repay announced that its board has approved a share repurchase plan on Monday, May 12th that permits the company to buyback $75.00 million in shares. This buyback authorization permits the company to purchase up to 19% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's management believes its shares are undervalued.

Insider Transactions at Repay

In related news, CEO John Andrew Sr. Morris purchased 163,041 shares of Repay stock in a transaction dated Wednesday, May 14th. The stock was bought at an average cost of $4.20 per share, with a total value of $684,772.20. Following the purchase, the chief executive officer owned 253,041 shares in the company, valued at approximately $1,062,772.20. The trade was a 181.16% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, President Shaler Alias acquired 174,404 shares of the firm's stock in a transaction dated Wednesday, May 14th. The stock was bought at an average price of $4.15 per share, with a total value of $723,776.60. Following the completion of the acquisition, the president directly owned 249,404 shares of the company's stock, valued at approximately $1,035,026.60. This represents a 232.54% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders purchased a total of 439,702 shares of company stock valued at $1,806,974 in the last quarter. 12.00% of the stock is currently owned by insiders.

Analysts Set New Price Targets

Several analysts have recently commented on RPAY shares. UBS Group reduced their target price on shares of Repay from $7.50 to $4.50 and set a "neutral" rating for the company in a research note on Tuesday, May 13th. Wall Street Zen cut shares of Repay from a "buy" rating to a "hold" rating in a research note on Thursday, May 22nd. Morgan Stanley set a $4.50 target price on shares of Repay in a report on Wednesday, May 14th. Keefe, Bruyette & Woods dropped their target price on shares of Repay from $6.50 to $4.50 and set a "market perform" rating for the company in a report on Tuesday, May 13th. Finally, Citigroup dropped their target price on shares of Repay from $8.00 to $4.50 and set a "neutral" rating for the company in a report on Monday, May 19th. Five research analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $7.90.

About Repay

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.