Is Paysafe Stock a Good Investment?
Paysafe Investment Advice | PSFE |
- Examine Paysafe's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Paysafe's leadership team and their track record. Good management can help Paysafe navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Internet Services & Infrastructure space and any emerging trends that could impact Paysafe's business and its evolving consumer preferences.
- Compare Paysafe's performance and market position to its competitors. Analyze how Paysafe is positioned in terms of product offerings, innovation, and market share.
- Check if Paysafe pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Paysafe's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Paysafe stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Paysafe is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | About Average | Details | |
Economic Sensitivity | Actively responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Paysafe Stock
Researching Paysafe's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 24.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 1.37. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Paysafe recorded a loss per share of 0.39. The entity had not issued any dividends in recent years. The firm had 1:12 split on the 13th of December 2022.
To determine if Paysafe is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Paysafe's research are outlined below:
| Paysafe generated a negative expected return over the last 90 days | |
| Paysafe has high historical volatility and very poor performance | |
| Paysafe has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the previous year's revenue of 1.6 B. Net Loss for the year was (20.25 M) with profit before overhead, payroll, taxes, and interest of 882.11 M. | |
| About 24.0% of the company outstanding shares are owned by corporate insiders | |
| Latest headline from gurufocus.com: Paysafe Ltd Trading 3.45 percent Higher on Nov 27 |
Paysafe Quarterly Cost Of Revenue |
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Paysafe uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Paysafe. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Paysafe's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 14th of March 2024 Upcoming Quarterly Report | View | |
| 21st of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 14th of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Paysafe's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Paysafe's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2023-05-16 | 2023-03-31 | -0.05 | -0.06 | -0.01 | 20 | ||
2022-11-10 | 2022-09-30 | 0.05 | 0.04 | -0.01 | 20 | ||
2024-05-13 | 2024-03-31 | 0.1 | 0.05 | -0.05 | 50 | ||
2024-08-13 | 2024-06-30 | 0.07 | -0.02 | -0.09 | 128 | ||
2023-11-14 | 2023-09-30 | 0.05 | -0.04 | -0.09 | 180 | ||
2024-11-13 | 2024-09-30 | 0.6056 | 0.51 | -0.0956 | 15 | ||
2023-08-15 | 2023-06-30 | 0.13 | -0.03 | -0.16 | 123 | ||
2021-08-16 | 2021-06-30 | -0.07 | 0.12 | 0.19 | 271 |
Know Paysafe's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Paysafe is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Paysafe backward and forwards among themselves. Paysafe's institutional investor refers to the entity that pools money to purchase Paysafe's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Geode Capital Management, Llc | 2024-09-30 | 390.3 K | Adage Capital Partners Gp Llc | 2024-06-30 | 316.3 K | Castleknight Management Lp | 2024-09-30 | 300.5 K | Two Sigma Advisers, Llc | 2024-06-30 | 261.6 K | Ancora Advisors Llc | 2024-06-30 | 261 K | Renaissance Technologies Corp | 2024-09-30 | 254.5 K | Foundry Partners, Llc | 2024-09-30 | 243 K | Empowered Funds, Llc | 2024-06-30 | 226.4 K | Northern Trust Corp | 2024-09-30 | 202.2 K | Blackstone Inc | 2024-09-30 | 10.9 M | Fidelity National Title Group, Inc. | 2024-09-30 | 3.8 M |
Paysafe's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 1.2 B.Market Cap |
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Paysafe's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.01) | (0.01) | |
| Return On Capital Employed | 0.05 | 0.03 | |
| Return On Equity | (0.02) | (0.02) |
Determining Paysafe's profitability involves analyzing its financial statements and using various financial metrics to determine if Paysafe is a good buy. For example, gross profit margin measures Paysafe's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Paysafe's profitability and make more informed investment decisions.
Please note, the presentation of Paysafe's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Paysafe's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Paysafe's management manipulating its earnings.
Evaluate Paysafe's management efficiency
Paysafe has return on total asset (ROA) of 0.0188 % which means that it generated a profit of $0.0188 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.0268) %, meaning that it created substantial loss on money invested by shareholders. Paysafe's management efficiency ratios could be used to measure how well Paysafe manages its routine affairs as well as how well it operates its assets and liabilities. As of November 30, 2024, Return On Tangible Assets is expected to decline to -0.01. In addition to that, Return On Capital Employed is expected to decline to 0.03. At present, Paysafe's Non Current Assets Total are projected to decrease significantly based on the last few years of reporting. The current year's Other Current Assets is expected to grow to about 1.4 B, whereas Non Currrent Assets Other are forecasted to decline to about 6.5 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 14.38 | 13.66 | |
| Tangible Book Value Per Share | (37.50) | (39.38) | |
| Enterprise Value Over EBITDA | 7.14 | 6.78 | |
| Price Book Value Ratio | 0.89 | 0.85 | |
| Enterprise Value Multiple | 7.14 | 6.78 | |
| Price Fair Value | 0.89 | 0.85 | |
| Enterprise Value | 3.1 B | 4.3 B |
The strategic decisions made by Paysafe management significantly impact its financial stability and market performance. Evaluating these factors helps determine whether the stock is a worthwhile investment.
Beta 1.924 |
Basic technical analysis of Paysafe Stock
As of the 30th of November, Paysafe holds the Variance of 15.36, coefficient of variation of (14,981), and Risk Adjusted Performance of 0.0029. Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Paysafe, as well as the relationship between them. Please check Paysafe standard deviation, as well as the relationship between the maximum drawdown and kurtosis to decide if Paysafe is priced some-what accurately, providing market reflects its current price of 19.88 per share. Given that Paysafe has information ratio of (0.04), we recommend you to check out Paysafe's recent market performance to make sure the company can sustain itself at a future point.Paysafe's Outstanding Corporate Bonds
Paysafe issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Paysafe uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Paysafe bonds can be classified according to their maturity, which is the date when Paysafe has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand Paysafe's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Paysafe's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0029 | |||
| Market Risk Adjusted Performance | (0.01) | |||
| Mean Deviation | 2.11 | |||
| Coefficient Of Variation | (14,981) | |||
| Standard Deviation | 3.92 | |||
| Variance | 15.36 | |||
| Information Ratio | (0.04) | |||
| Jensen Alpha | (0.26) | |||
| Total Risk Alpha | (0.69) | |||
| Treynor Ratio | (0.02) | |||
| Maximum Drawdown | 31.72 | |||
| Value At Risk | (3.12) | |||
| Potential Upside | 5.2 | |||
| Skewness | (4.06) | |||
| Kurtosis | 26.63 |
| Risk Adjusted Performance | 0.0029 | |||
| Market Risk Adjusted Performance | (0.01) | |||
| Mean Deviation | 2.11 | |||
| Coefficient Of Variation | (14,981) | |||
| Standard Deviation | 3.92 | |||
| Variance | 15.36 | |||
| Information Ratio | (0.04) | |||
| Jensen Alpha | (0.26) | |||
| Total Risk Alpha | (0.69) | |||
| Treynor Ratio | (0.02) | |||
| Maximum Drawdown | 31.72 | |||
| Value At Risk | (3.12) | |||
| Potential Upside | 5.2 | |||
| Skewness | (4.06) | |||
| Kurtosis | 26.63 |
Consider Paysafe's intraday indicators
Paysafe intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Paysafe stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Paysafe Corporate Filings
F3 | 25th of November 2024 An amendment to the original Schedule 13D filing | ViewVerify |
6K | 13th of November 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
| 20th of March 2024 Other Reports | ViewVerify |
Paysafe Stock media impact
Far too much social signal, news, headlines, and media speculation about Paysafe that are available to investors today. That information is available publicly through Paysafe media outlets and privately through word of mouth or via Paysafe internal channels. However, regardless of the origin, that massive amount of Paysafe data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Paysafe news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Paysafe relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Paysafe's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Paysafe alpha.
Paysafe Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Paysafe can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Paysafe Corporate Management
| Chi Lee | Executive Vice President Chief of Staff | Profile | |
| Robert Gatto | Chief Officer | Profile | |
| Elliott Wiseman | Chief Compliance Officer, General Counsel | Profile | |
| Hilary StewartJones | Independent Director | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Paysafe. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census. For information on how to trade Paysafe Stock refer to our How to Trade Paysafe Stock guide.You can also try the Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Is Internet Services & Infrastructure space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Paysafe. If investors know Paysafe will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Paysafe listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.39) | Revenue Per Share 27.762 | Quarterly Revenue Growth 0.077 | Return On Assets 0.0188 | Return On Equity (0.03) |
The market value of Paysafe is measured differently than its book value, which is the value of Paysafe that is recorded on the company's balance sheet. Investors also form their own opinion of Paysafe's value that differs from its market value or its book value, called intrinsic value, which is Paysafe's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Paysafe's market value can be influenced by many factors that don't directly affect Paysafe's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Paysafe's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Paysafe is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Paysafe's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.