Earlier today, Nuvei (TSE:NVEI) (NASDAQ:NVEI), a Canadian payment technology solutions company, reported its Q4-2022 and full-year earnings results, as well as its financial outlook. NVEI’s revenue and earnings per share (EPS) beat analysts’ expectations, sending the stock higher.
Revenue increased to $220.3 million (4% growth), which beat expectations of $218.5 million. On a constant-currency basis, revenue grew by 10%. Please note that all figures are in U.S. dollars.
Additionally, its adjusted diluted earnings per share were flat year-over-year, coming in at $0.47, but this was still ahead of the $0.44 consensus estimate.
Notably, the total dollar volume of processed transactions rose 28% (33% in constant currency) to $40.3 billion, and 91% of this volume came from e-commerce. On a more negative note, however, the company’s adjusted EBITDA fell by 6% to $85.7 million. Lastly, Nuvei bought back $57.5 million worth of shares in Q4.
Full-Year Results
On a full-year basis, revenue increased by 16% (22% in constant currency), reaching $843.3 million. Also, volume growth was 34% (39% in constant currency). Meanwhile, adjusted earnings per share grew by 10%, hitting $1.86. Further, adjusted EBITDA was $351.3 million, an 11% increase year-over-year, and to top things off, share repurchases totaled C$167 million, or about 5% of NVEI’s public float.
Q1-2023 and FY2023 Outlook
For Q1 2023, Nuvei expects the following:
- Revenue between $248 million and $256 million
- Adjusted EBITDA between $92.5 million and $96 million.
- Total volume between $39.5 billion and $41 billion
Next, for the full year, Nuvei expects the following:
- Revenue between $1.224 billion and $1.264 billion
- Adjusted EBITDA between $455 million and $477 million.
- Total volume between $194 billion and $200 billion
Is NVEI Stock a Buy, According to Analysts?
According to analysts, Nuvei has a Strong Buy consensus rating based on five unanimous Buy ratings assigned in the past three months. The average NVEI stock price target of C$54.39 implies 9.1% upside potential.
