Paysafe (NYSE:PSFE) Announces Quarterly Earnings Results

Key Points

• Paysafe reported a Q2 EPS of $0.46, exceeding estimates by $0.01, but revenues fell 2.7% compared to the previous year.
• The company's updated FY 2025 guidance suggests an earnings range of $2.210 to $2.510 EPS.
• Paysafe's stock saw a 3.9% increase following the earnings report, and institutional ownership stands at 54.39%.

Paysafe (NYSE:PSFE - Get Free Report) issued its quarterly earnings results on Tuesday. The company reported $0.46 earnings per share for the quarter, topping analysts' consensus estimates of $0.45 by $0.01, Briefing.com reports. The company had revenue of $428.22 million during the quarter, compared to analyst estimates of $424.11 million. Paysafe had a negative net margin of 2.93% and a positive return on equity of 9.64%. The business's revenue for the quarter was down 2.7% compared to the same quarter last year. During the same period in the prior year, the business posted $0.59 EPS. Paysafe updated its FY 2025 guidance to 2.210-2.510 EPS.

Paysafe Price Performance

Shares of NYSE PSFE traded down $0.09 during trading on Friday, hitting $13.71. The company had a trading volume of 326,463 shares, compared to its average volume of 430,548. The company has a market cap of $821.09 million, a P/E ratio of -16.13, a PEG ratio of 0.38 and a beta of 1.78. Paysafe has a 52 week low of $10.63 and a 52 week high of $26.25. The business's 50-day moving average is $12.87 and its 200 day moving average is $14.93. The company has a debt-to-equity ratio of 3.15, a quick ratio of 1.16 and a current ratio of 1.20.

Institutional Trading of Paysafe

Several large investors have recently added to or reduced their stakes in the company. Tower Research Capital LLC TRC raised its stake in Paysafe by 143.1% during the 2nd quarter. Tower Research Capital LLC TRC now owns 5,548 shares of the company's stock valued at $70,000 after purchasing an additional 3,266 shares during the period. Geode Capital Management LLC increased its stake in shares of Paysafe by 1.8% in the second quarter. Geode Capital Management LLC now owns 399,449 shares of the company's stock worth $5,041,000 after acquiring an additional 7,155 shares during the last quarter. Quantbot Technologies LP purchased a new stake in shares of Paysafe during the second quarter worth $106,000. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main boosted its position in Paysafe by 24.2% during the second quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 44,872 shares of the company's stock valued at $566,000 after purchasing an additional 8,729 shares during the last quarter. Finally, Engineers Gate Manager LP purchased a new position in Paysafe in the second quarter valued at about $143,000. 54.39% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on PSFE. BTIG Research reaffirmed a "buy" rating on shares of Paysafe in a research note on Tuesday. Susquehanna decreased their price target on shares of Paysafe from $17.00 to $15.00 and set a "neutral" rating on the stock in a research report on Tuesday, April 22nd. Finally, Bank of America raised Paysafe from an "underperform" rating to a "neutral" rating and set a $14.30 price target on the stock in a report on Friday, May 16th. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating and one has given a buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $16.95.

About Paysafe

Paysafe Limited provides end-to-end payment solutions in the United States, Germany, the United Kingdom, and internationally. Its payments platform offers a range of payment solutions comprising credit and debit card processing, digital wallet, eCash, and real-time banking solutions for entertainment verticals, such as iGaming, including online betting related to sports, e-sports, fantasy sports, poker, and other casino games, as well as travel, streaming/video gaming, retail/hospitality, and digital assets.