Buy Rating for PaySign Driven by Strong Financial Performance and Strategic Growth in Pharma Programs

Michael Diana, an analyst from Maxim Group, reiterated the Buy rating on PaySign (PAYS – Research Report). The associated price target remains the same with $7.00.

Michael Diana has given his Buy rating due to a combination of factors, primarily driven by PaySign’s impressive financial performance and strategic growth in its pharma patient affordability programs. The company’s first-quarter results for 2025 exceeded expectations significantly, with revenue, adjusted EBITDA, and EPS all surpassing consensus estimates by wide margins. This strong performance was largely attributed to the increased number of pharma programs, which not only grew in quantity but also contributed a higher percentage of revenue with superior gross margins compared to other segments.
Furthermore, PaySign’s guidance for 2025 has been raised, reflecting confidence in continued growth, particularly through the expansion of its pharma programs. The company’s solid balance sheet, characterized by a healthy cash position and no debt, supports its growth trajectory without the immediate need for additional capital. The valuation remains attractive, with the price target set at $7, indicating substantial upside potential. This target is based on a reasonable EV/revenue multiple that remains competitive compared to industry peers, suggesting a promising return on investment.

PAYS’s price has also changed moderately for the past six months – from $3.850 to $2.945, which is a -23.51% drop .