Analyst Peter Heckmann of D.A. Davidson maintained a Buy rating on Euronet Worldwide, retaining the price target of $130.00.
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Peter Heckmann has given his Buy rating due to a combination of factors that highlight Euronet Worldwide’s potential for growth and undervaluation. He notes that the stock is trading at historically low valuation levels, which presents an attractive entry point for investors. The company is expected to meet or slightly exceed earnings expectations for the third quarter, with management likely to reaffirm their forecast of 12%-16% year-over-year growth in adjusted earnings per share for 2025.
Additionally, Heckmann points out that Euronet Worldwide has been misunderstood in terms of its exposure to the U.S. market, which only accounts for about 20% of its revenues. The company benefits from immigrant trends in Europe and is the second-largest money transfer player in the region. With a strong free cash flow yield and the ability to aggressively buy back shares, the stock is positioned well for future growth. Despite these positive factors, the stock remains undervalued, offering a compelling opportunity for investors.
Heckmann covers the Technology sector, focusing on stocks such as Euronet Worldwide, Jack Henry & Associates, and Clearwater Analytics Holdings. According to TipRanks, Heckmann has an average return of 9.8% and a 55.04% success rate on recommended stocks.