Expensify (EXFY) AI Stock Analysis

• Market Cap: $225.47M
• Dividend Yield: N/A
• Average Volume (3M): 808.46K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.92
• Revenue Growth: -1.63%
• EPS Growth: 77.80%
• Country: US
• Employees: 115
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.06
• Shares Outstanding: 80,399,796
• 10 Day Avg. Volume: 1,619,754
• 30 Day Avg. Volume: 808,456
• PEG Ratio: -0.28
• Price to Book (P/B): 7.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 23.26
• Enterprise Value/Market Cap: 3.00
• Enterprise Value/Revenue: 1.22
• Enterprise Value/Gross Profit: 9.14
• Enterprise Value/Ebitda: -37.68
• 1Y Price Target: $4.00
• Price Target Upside: 63.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 58 Neutral
• Price Target: $2.50 ▲(2.46%Upside)

Expensify's overall stock score is influenced primarily by its financial performance struggles, including ongoing losses and negative margins. Technical indicators provide mixed signals, while the earnings call offers a more optimistic view with revenue and cash flow growth. Valuation remains a concern with a negative P/E ratio. Strategic initiatives and promotional efforts could drive future growth, but economic uncertainties pose ongoing risks.

Positive Factors

Financial Performance

The company closed out 2024 on a positive note coming in ahead on both revenue and AEBITDA as the legacy subscription business and card revenue both outperformed estimates.

Revenue Growth

Card revenue experienced another terrific quarter, up 35% q/q to $5.0M, and further double-digit sequential growth is expected throughout 2025.

Negative Factors

Customer Growth

This is partially dampened by the continued decline of paid users and flat customer growth.

Market Competition

Expensify trades at substantial discounts to the peer group median multiple, justified by its slower relative growth rate and intense competition.

Expensify Business Overview & Revenue Model

Company Description

Expensify, Inc. is a financial technology company that provides an expense management platform designed to simplify the process of recording receipts and managing expenses for individuals and businesses. Founded in 2008 and headquartered in San Francisco, California, Expensify operates within the software and technology sectors, offering a suite of products that enable users to streamline financial operations, automate expense reports, and improve compliance with financial regulations.

How the Company Makes Money

Expensify primarily generates revenue through subscription fees for its software-as-a-service (SaaS) platform. The company offers tiered pricing plans tailored to different types of users, including individual freelancers, small businesses, and large enterprises, each with varying levels of features and support. Key revenue streams include monthly and annual subscription fees, depending on the plan chosen by the customer. Expensify also partners with various financial institutions and third-party applications to enhance its service offerings, which can contribute to revenue through integration fees or revenue-sharing agreements. Additionally, Expensify may derive income from transaction fees for specific financial services offered through its platform, although this is not the primary source of revenue.

Expensify Financial Statement Overview

Summary

Expensify faces significant challenges in achieving profitability, with ongoing net losses and negative profit margins. While the balance sheet is stable with a low debt-to-equity ratio and solid equity ratio, improvements in operational efficiency and cash flow generation are necessary for long-term viability. Revenue volatility and declining free cash flow growth pose risks to financial stability.

Income Statement

Expensify shows declining revenue and profitability metrics. The gross profit margin has decreased over time, with a recent figure of 52.2% in TTM. Net profit margins remain negative, indicating ongoing losses with a TTM net profit margin of -6.7%. Revenue growth is volatile, with a decline of 5.7% from 2023 to 2024. Despite improvements, EBIT and EBITDA margins are still negative, reflecting operational challenges.

Balance Sheet

The balance sheet is relatively stable with a low debt-to-equity ratio of 0.04 and a solid equity ratio of 71.2% as of TTM. However, the company has been unable to deliver positive ROE, with a TTM figure of -7.0%, highlighting profitability issues. The equity base is strong, but ongoing losses could erode this strength over time.

Cash Flow

Cash flow metrics indicate modest improvements. The operating cash flow to net income ratio is positive, suggesting some operational efficiency. However, the free cash flow growth rate is negative at -14.3% from 2024 to TTM, which is concerning. The free cash flow to net income ratio of -2.2 in TTM reflects challenges in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	141.78M	139.24M	150.69M	169.50M	142.84M	88.07M
Gross Profit	74.09M	75.00M	83.80M	106.83M	89.14M	55.66M
EBITDA	1.45M	5.99M	-27.98M	-9.84M	-5.05M	7.92M
Net Income	-9.44M	-10.05M	-41.46M	-27.01M	-13.56M	-1.71M
Balance Sheet
Total Assets	189.24M	173.68M	176.78M	210.24M	183.21M	87.73M
Cash, Cash Equivalents and Short-Term Investments	59.63M	48.77M	47.51M	103.79M	98.40M	34.40M
Total Debt	5.56M	6.47M	29.55M	67.78M	69.97M	51.70M
Total Liabilities	54.59M	45.44M	76.04M	113.00M	106.60M	118.77M
Stockholders Equity	134.65M	128.24M	100.74M	97.24M	76.61M	-31.04M
Cash Flow
Free Cash Flow	20.48M	23.88M	-5.74M	30.67M	-2.13M	3.29M
Operating Cash Flow	25.28M	23.88M	1.56M	32.88M	5.49M	7.58M
Investing Cash Flow	-5.43M	-7.63M	-7.29M	-2.20M	-7.61M	-4.29M
Financing Cash Flow	-21.64M	-22.07M	-45.32M	-8.28M	80.56M	8.79M

Expensify Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.44
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EXFY, the sentiment is Neutral. The current price of 2.44 is above the 20-day moving average (MA) of 2.42, below the 50-day MA of 2.48, and below the 200-day MA of 2.85, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 53.36 is Neutral, neither overbought nor oversold. The STOCH value of 51.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for EXFY.

Expensify Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MKTW	62 Neutral	$306.23M	1.70	-10.56%	4.00%	-11.07%	953.01%
MKTW	62 Neutral	$306.23M	1.70	-10.56%	4.00%	-11.07%	953.01%
ASUR	59 Neutral	$308.20M	―	-7.01%	―	4.52%	-20.60%
ASUR	59 Neutral	$308.20M	―	-7.01%	―	4.52%	-20.60%
EXFY	58 Neutral	$225.47M	―	-7.83%	―	-1.63%	77.80%
IMMR	58 Neutral	$250.42M	2.96	35.11%	2.22%	3828.94%	129.01%
IMMR	58 Neutral	$250.42M	2.96	35.11%	2.22%	3828.94%	129.01%
Sector *	56 Neutral	HK$13.71B	5.07	-5.77%	5.42%	9.48%	-42.73%
SSTI	54 Neutral	$173.24M	―	-10.44%	―	7.65%	-96.35%
SSTI	54 Neutral	$173.24M	―	-10.44%	―	7.65%	-96.35%
ONTF	54 Neutral	$229.37M	―	-24.47%	―	-8.39%	7.79%
ONTF	54 Neutral	$229.37M	―	-24.47%	―	-8.39%	7.79%

Expensify Corporate Events

Expensify Holds Annual Stockholders Meeting, Elects Directors

On June 13, 2025, Expensify held its Annual Meeting of Stockholders, where several key decisions were made. The company’s stockholders elected eight directors to the board, ratified the appointment of KPMG LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025, and approved the compensation for the company’s named executive officers. These decisions are expected to impact the company’s governance and financial oversight positively.

The most recent analyst rating on (EXFY) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Expensify stock, see the EXFY Stock Forecast page.

Expensify Reports Strong Q1 2025 Financial Results

On May 8, 2025, Expensify announced its Q1 2025 financial results, highlighting a 43% increase in interchange derived from the Expensify Card and an 8% rise in revenue compared to the previous year. The company also reported significant growth in cash flow and travel bookings, alongside preparations for a major brand placement opportunity in an upcoming Apple movie, indicating a strategic focus on enhancing brand visibility and operational capacity.