Zacks Investment Research lowered shares of VeriFone (NYSE:PAY) from a buy rating to a hold rating in a report issued on Wednesday morning.
According to Zacks, “VeriFone is well-poised to benefit from its dominant position in the electronic payment systems and services market. The company has a robust product portfolio along with several mobile and portable point of sale (POS) solutions. Emergence and adoption of new payment methods like contactless, NFC, and mobile cloud-based payments are other catalysts for Verifone. We are also optimistic about VeriFone’s growth opportunities from its strategic acquisitions and its operations in under penetrated countries. However, declining revenues, divestures and buyout-related woes continue to bother VeriFone. A leveraged balance sheet is another headwind. Introduction of new market entrants and latest technologies is making the market more competitive. In fact, in the past six months, the stock has declined 11.9% as against the industry’s gain of 1.1%.”
Several other equities research analysts also recently weighed in on PAY. ValuEngine downgraded VeriFone from a buy rating to a hold rating in a report on Monday, April 2nd. BTIG Research reissued a hold rating on shares of VeriFone in a research note on Sunday, March 11th. Barclays reissued a hold rating and issued a $21.00 price objective on shares of VeriFone in a research note on Friday, December 15th. Argus reissued a hold rating on shares of VeriFone in a research note on Tuesday, December 26th. Finally, Credit Suisse Group increased their price objective on VeriFone from $20.00 to $21.00 and gave the stock a neutral rating in a research note on Wednesday, December 13th. One equities research analyst has rated the stock with a sell rating, thirteen have issued a hold rating and four have assigned a buy rating to the company’s stock. The stock presently has a consensus rating of Hold and a consensus price target of $20.45.
Shares of NYSE PAY opened at $15.17 on Wednesday. The company has a current ratio of 1.35, a quick ratio of 1.10 and a debt-to-equity ratio of 0.93. VeriFone has a fifty-two week low of $14.93 and a fifty-two week high of $21.48. The company has a market capitalization of $1,674.04, a PE ratio of 15.32, a price-to-earnings-growth ratio of 1.53 and a beta of 1.76.
VeriFone (NYSE:PAY) last issued its quarterly earnings results on Thursday, March 8th. The business services provider reported $0.23 earnings per share for the quarter, missing the consensus estimate of $0.25 by ($0.02). VeriFone had a positive return on equity of 14.11% and a negative net margin of 8.09%. The business had revenue of $425.00 million during the quarter, compared to analysts’ expectations of $419.43 million. During the same quarter in the previous year, the company posted $0.21 earnings per share. The company’s quarterly revenue was up .0% compared to the same quarter last year. equities research analysts anticipate that VeriFone will post 1.21 earnings per share for the current year.
VeriFone announced that its Board of Directors has initiated a stock repurchase plan on Tuesday, December 12th that authorizes the company to buyback $100.00 million in outstanding shares. This buyback authorization authorizes the business services provider to reacquire shares of its stock through open market purchases. Shares buyback plans are often a sign that the company’s management believes its shares are undervalued.
Hedge funds and other institutional investors have recently made changes to their positions in the business. Zions Bancorporation bought a new stake in VeriFone during the 3rd quarter valued at $108,000. Amundi Pioneer Asset Management Inc. bought a new stake in VeriFone during the 4th quarter valued at $123,000. Stone Ridge Asset Management LLC bought a new stake in VeriFone during the 4th quarter valued at $186,000. FDx Advisors Inc. bought a new stake in VeriFone during the 4th quarter valued at $199,000. Finally, Xact Kapitalforvaltning AB bought a new stake in VeriFone during the 4th quarter valued at $216,000.
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VeriFone Company Profile
VeriFone Systems, Inc offers payments and commerce solutions. The Company is engaged in designing, manufacturing, marketing and supplying a range of payment solutions and complementary services. It provides solutions and services for the retail point-of-sale (POS) that enable various forms of commerce.
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