Stock in Focus: Shift4 Payments, Inc. (FOUR)

Company Profile:

Shift4 Payments, Inc. provides integrated payment processing and technology solutions in the United States. It provides omni-channel card acceptance and processing solutions, including credit, debit, contactless card, Europay, Mastercard and visa, QR Pay, and mobile wallets, as well as alternative payment methods; merchant acquiring; proprietary omni-channel gateway; complementary software integrations; integrated and mobile point-of-sale (POS) solutions; security and risk management solutions; reporting and analytical tools; and web-store design, hosting, shopping cart management, and fulfillment integration, as well as tokenization, payment device and chargeback management, fraud prevention, and gift card solutions. The company was founded in 1999 and is headquartered in Allentown, Pennsylvania.

Recent News:

The company will release its second quarter 2022 financial results before market open on Thursday, August 4, 2022. Management will host a conference call and webcast that same morning at 8:30 am ET to discuss the results.

The company posted revenues of $148.8 million for the quarter ended March 2022. This compares to year-ago revenues of $97.5 million. It came out with quarterly earnings of $0.15 per share. This compares to loss of $0.13 per share a year ago.

Fundamental Analysis:

Ninestocks analyzes several different financial aspects:

Price to Book Value – P/BV, a ratio used to compare book value to its current market price, to gauge whether a stock is valued properly.

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Price to Earnings – PE, the ratio for valuing a company that measures its current share price relative to its earnings per share (EPS).

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Discounted cash flow – DCF, a valuation method used to estimate the value of an investment based on its expected future cash flows.

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Return on Assets – ROA, indicates how profitable a company is in relation to its total assets, how efficiently uses assets to generate a profit.

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Return on Equity – ROE, a measure of financial performance calculated by dividing net income by equity. a gauge of profitability and efficiency.

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Debt to Equity – evaluate financial leverage, reflects the ability of equity to cover outstanding debts in the event of a business downturn.

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Conclusion:

FOUR receives outperform rating in price to book value, discounted cash flow and debt to equity. Technical indicators signal the bullish signs, as there is a bullish crossover in the both the MACD and the stochastic oscillator . The RSI stands at 42 with positive bias. We rate Shift4 Payments, Inc. (FOUR) a STRONG BUY.