VeriFone Systems (NYSE:PAY) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report issued on Wednesday.
According to Zacks, “VeriFone’s first-quarter fiscal 2018 results benefited from strong revenue growth in Latin America, EMEA and North America SMB vertical. The company’s mPOS device has gained good traction within a short span of time. Additionally, connected device footprint expanded primarily driven by strong growth in payment-as-a service solution in North America. VeriFone now plans to surpass 2 million connected devices globally in fiscal 2018. However, divestitures of the Petro Media and the Taxi businesses continues to hurt top-line growth. Given the highly leveraged balance sheet, higher interest rate on its debt is also expected to continue to negatively impact profitability. Shares have underperformed the broader industry in the past one year.”
Other equities research analysts have also issued research reports about the stock. BTIG Research reissued a “hold” rating on shares of VeriFone Systems in a report on Sunday. Credit Suisse Group boosted their price target on shares of VeriFone Systems from $20.00 to $21.00 and gave the company a “neutral” rating in a report on Wednesday, December 13th. Raymond James Financial lowered shares of VeriFone Systems from a “strong-buy” rating to an “outperform” rating and lowered their price target for the company from $25.00 to $22.00 in a report on Thursday, November 16th. Barclays reissued a “hold” rating and issued a $21.00 price target on shares of VeriFone Systems in a report on Friday, December 15th. Finally, Tigress Financial reissued a “buy” rating on shares of VeriFone Systems in a report on Tuesday, December 19th. One investment analyst has rated the stock with a sell rating, twelve have assigned a hold rating and four have assigned a buy rating to the company’s stock. The stock has a consensus rating of “Hold” and a consensus price target of $20.80.
VeriFone Systems (NYSE:PAY) last announced its quarterly earnings results on Thursday, March 8th. The business services provider reported $0.23 earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $0.25 by ($0.02). The business had revenue of $425.00 million during the quarter, compared to the consensus estimate of $419.43 million. VeriFone Systems had a negative net margin of 8.09% and a positive return on equity of 14.11%. The company’s quarterly revenue was up .0% compared to the same quarter last year. During the same period last year, the firm earned $0.21 EPS. equities analysts anticipate that VeriFone Systems will post 1.21 EPS for the current fiscal year.
VeriFone Systems announced that its Board of Directors has approved a stock buyback plan on Tuesday, December 12th that permits the company to repurchase $100.00 million in outstanding shares. This repurchase authorization permits the business services provider to buy shares of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its shares are undervalued.
A number of hedge funds and other institutional investors have recently modified their holdings of PAY. Bank of New York Mellon Corp lifted its position in VeriFone Systems by 33.3% during the 4th quarter. Bank of New York Mellon Corp now owns 7,050,450 shares of the business services provider’s stock worth $124,863,000 after buying an additional 1,762,712 shares in the last quarter. Millennium Management LLC lifted its position in VeriFone Systems by 85.1% during the 4th quarter. Millennium Management LLC now owns 3,034,660 shares of the business services provider’s stock worth $53,744,000 after buying an additional 1,395,432 shares in the last quarter. Royce & Associates LP acquired a new position in VeriFone Systems during the 4th quarter valued at about $11,154,000. SG Capital Management LLC lifted its position in VeriFone Systems by 981.6% during the 4th quarter. SG Capital Management LLC now owns 619,407 shares of the business services provider’s stock valued at $10,970,000 after purchasing an additional 562,140 shares during the period. Finally, Pzena Investment Management LLC lifted its position in VeriFone Systems by 19.2% during the 4th quarter. Pzena Investment Management LLC now owns 2,942,690 shares of the business services provider’s stock valued at $52,115,000 after purchasing an additional 473,224 shares during the period.
VeriFone Systems 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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