Evertec (NYSE:EVTC) Shares Gap Up Following Better-Than-Expected Earnings

Evertec, Inc. (NYSE:EVTC)’s share price gapped up prior to trading on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $25.77, but opened at $26.95. Evertec shares last traded at $28.3750, with a volume of 168,291 shares traded.

The business services provider reported $0.93 earnings per share for the quarter, beating the consensus estimate of $0.91 by $0.02. Evertec had a return on equity of 33.48% and a net margin of 15.19%.The business had revenue of $244.83 million for the quarter, compared to analyst estimates of $236.83 million. During the same period last year, the firm posted $0.87 earnings per share. Evertec’s revenue was up 13.1% compared to the same quarter last year. Evertec has set its FY 2026 guidance at 3.840-3.960 EPS.

Evertec Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, March 6th. Investors of record on Monday, March 2nd will be issued a dividend of $0.05 per share. The ex-dividend date of this dividend is Monday, March 2nd. This represents a $0.20 annualized dividend and a dividend yield of 0.7%. Evertec’s payout ratio is 8.89%.

Key Headlines Impacting Evertec

Here are the key news stories impacting Evertec this week:

• Positive Sentiment: Q4 beat and revenue growth — EVTC reported $0.93 EPS vs. $0.91 consensus and revenue of $244.8M (vs. ~$236.8M est.), with revenue up ~13% year‑over‑year, showing operational strength for the quarter. Evertec (EVTC) Beats Q4 Earnings and Revenue Estimates
• Positive Sentiment: Raised FY2026 guidance — management set FY2026 EPS guidance of $3.84–$3.96 (above Street ~$3.58) and issued revenue guidance above consensus, which is the main near‑term catalyst supporting the stock move. Evertec outlines 2026 revenue growth of up to 11.2% and expands LATAM business to over 40% of total revenue
• Positive Sentiment: Geographic growth strategy — company expects LATAM to exceed 40% of revenue and outlined up to ~11.2% revenue growth in 2026, which signals diversified growth drivers beyond core markets. Evertec outlines 2026 revenue growth of up to 11.2% and expands LATAM business to over 40% of total revenue
• Neutral Sentiment: Investor materials available — management hosted a conference call and posted the press release/slide deck for details on guidance assumptions; watch the transcript and slides for margin, capex and currency assumptions. Evertec press release / slide deck
• Neutral Sentiment: Profitability metrics remain strong — Q4 ROE (~34.8%) and net margin (~16.2%) underline solid unit economics, supporting higher EPS guidance if revenue execution continues. EVERTEC (EVTC) Q4 2025 Earnings Call Transcript
• Negative Sentiment: Valuation and momentum concerns — some analysts point to weaker recent share momentum and valuation questions despite the beat, which could limit upside if broader sentiment turns. A Look At EVERTEC (EVTC) Valuation As Shares Show Weaker Recent Momentum
• Negative Sentiment: Technical/resistance points — shares remain below the 200‑day moving average and face recent trading range pressure; plus a meaningful debt‑to‑equity ratio (~1.6) that investors may watch when assessing downside risk. Evertec: Q4 Earnings Snapshot

Analyst Ratings Changes

EVTC has been the topic of a number of recent research reports. Keefe, Bruyette & Woods cut their price target on Evertec from $44.00 to $40.00 and set an “outperform” rating on the stock in a research note on Monday, November 10th. Wall Street Zen raised Evertec from a “hold” rating to a “buy” rating in a research report on Saturday. Weiss Ratings reiterated a “hold (c-)” rating on shares of Evertec in a research report on Monday, December 29th. Zacks Research cut Evertec from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 20th. Finally, Morgan Stanley decreased their target price on shares of Evertec from $34.00 to $29.00 and set an “equal weight” rating for the company in a research report on Wednesday, November 12th. Two equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $35.80.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of EVTC. Dana Investment Advisors Inc. purchased a new position in Evertec during the 3rd quarter valued at about $2,782,000. American Century Companies Inc. increased its position in shares of Evertec by 1.0% in the second quarter. American Century Companies Inc. now owns 4,558,374 shares of the business services provider’s stock worth $164,329,000 after purchasing an additional 46,147 shares during the last quarter. Banco Bilbao Vizcaya Argentaria S.A. raised its stake in Evertec by 31.1% in the second quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 16,825 shares of the business services provider’s stock valued at $605,000 after purchasing an additional 3,991 shares in the last quarter. Thrivent Financial for Lutherans purchased a new stake in Evertec in the third quarter valued at approximately $1,559,000. Finally, Clifford Capital Partners LLC lifted its holdings in shares of Evertec by 3.0% during the 2nd quarter. Clifford Capital Partners LLC now owns 435,431 shares of the business services provider’s stock worth $15,697,000 after acquiring an additional 12,880 shares during the last quarter. 96.80% of the stock is currently owned by hedge funds and other institutional investors.

Evertec Stock Performance

The company has a debt-to-equity ratio of 1.59, a current ratio of 2.91 and a quick ratio of 2.91. The stock has a market cap of $1.81 billion, a P/E ratio of 12.91, a price-to-earnings-growth ratio of 1.08 and a beta of 0.86. The company has a 50 day simple moving average of $28.49 and a 200-day simple moving average of $30.58.

Evertec Company Profile

Evertec, Inc (NYSE: EVTC) is a leading full‐service transaction processor in Puerto Rico, Latin America and the Caribbean. The company delivers integrated technology solutions for electronic payments, providing financial institutions, merchants and governments with secure and scalable platforms to accept, process and settle transactions across card, ATM, debit and digital channels. Headquartered in San Juan, Puerto Rico, Evertec supports both domestic and cross‐border payment flows, enabling clients to streamline operations and expand their digital commerce capabilities.

Evertec’s suite of services includes merchant acquiring, payment gateway connectivity, ATM and point‐of‐sale network management, and fraud prevention solutions.