Flywire (FLYW) AI Stock Analysis

• Market Cap: $1.67B
• Dividend Yield: N/A
• Average Volume (3M): 2.04M
• Price to Earnings (P/E): 331.4
• Beta (1Y): 0.95
• Revenue Growth: 22.20%
• EPS Growth: N/A
• Country: US
• Employees: 1,250
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): -0.10
• Shares Outstanding: 120,437,010
• 10 Day Avg. Volume: 2,341,371
• 30 Day Avg. Volume: 2,035,896
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.73
• Enterprise Value/Revenue: 2.25
• Enterprise Value/Gross Profit: 4.02
• Enterprise Value/Ebitda: 41.38
• 1Y Price Target: $14.93
• Price Target Upside: 9.62% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 73 Outperform
• Price Target: $15.00 ▲(10.13% Upside)

Flywire's overall stock score is driven by its strong financial performance and positive earnings call sentiment, reflecting effective management and strategic growth initiatives. However, the high P/E ratio suggests potential overvaluation, and technical indicators provide a moderately positive outlook. The company's ability to manage macroeconomic challenges and leverage its strategic initiatives will be crucial for future performance.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective market penetration and product adoption, supporting long-term business expansion and stability.

Cash Flow Generation

Robust cash flow growth enhances financial flexibility, allowing for strategic investments and resilience against economic fluctuations.

Strategic Partnerships

New partnerships expand Flywire's market reach and client base, particularly in the travel sector, driving sustainable revenue growth.

Negative Factors

Macro Headwinds

Macroeconomic challenges and visa restrictions in key markets could hinder revenue growth and impact long-term strategic goals.

U.S. Education Market Challenges

Stagnant growth in the U.S. education sector may limit Flywire's expansion opportunities and affect overall revenue diversification.

FX Impact on Margins

Foreign exchange losses can erode profitability, affecting operational margins and potentially limiting reinvestment capabilities.

Flywire Business Overview & Revenue Model

Company Description

Flywire (FLYW) is a global payments enablement and software company that specializes in providing solutions for businesses, particularly in the education, healthcare, and travel sectors. The company offers a range of services including payment processing, billing, and receivables management, designed to facilitate cross-border transactions and enhance the payment experience for both organizations and their customers. Flywire's core products include its payment platform that allows institutions and businesses to streamline their billing and payment processes across various currencies and payment methods.

How the Company Makes Money

Flywire generates revenue primarily through transaction fees charged on payments processed through its platform. The company earns a percentage of each transaction, which varies based on the volume and value of the payments, as well as the specific services utilized by its clients. Additionally, Flywire may charge setup fees, subscription fees for its software services, and other ancillary fees associated with its payment processing solutions. Key partnerships with educational institutions, healthcare providers, and travel companies further enhance its revenue streams by providing a steady flow of transactions and expanding its customer base, while the growing demand for seamless international payments continues to drive the company's growth.

Flywire Financial Statement Overview

Summary

Flywire demonstrates strong revenue growth and a solid balance sheet with low leverage and healthy liquidity. However, consistent EBIT losses and recent free cash flow reductions highlight areas for improvement. The company's trajectory towards profitability is promising, but operational efficiencies need to be enhanced to ensure sustained growth.

Income Statement

Flywire shows strong revenue growth with a TTM revenue increase of 4% and a notable increase from 2022 to 2023. The gross profit margin is healthy at 55.8% for TTM, although consistent EBIT and net losses are a concern. The net profit margin is slightly positive at 1% for TTM, indicating progress towards profitability. However, persistent EBIT losses suggest operational inefficiencies that need addressing.

Balance Sheet

The balance sheet is robust with a low debt-to-equity ratio of 0.08 for TTM, indicating low leverage and strong liquidity with significant cash reserves. The equity ratio of 73.9% for TTM reflects a solid capital structure, providing financial stability. However, the relatively high reliance on equity and cash reserves may limit future flexibility.

Cash Flow

Operating cash flow is positive, supporting a free cash flow to net income ratio of 9.8 for TTM, which is strong. However, the significant reduction in free cash flow from 2024 to TTM indicates potential cash flow volatility. Despite this, the company has maintained positive operating cash flow, highlighting operational resilience.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	539.71M	492.14M	403.09M	289.38M	201.15M	131.78M
Gross Profit	301.66M	314.65M	255.75M	181.44M	130.96M	83.98M
EBITDA	29.31M	20.73M	13.57M	-22.05M	-14.66M	-8.95M
Net Income	6.83M	2.90M	-8.57M	-39.35M	-27.96M	-11.11M
Balance Sheet
Total Assets	1.11B	1.12B	1.08B	674.29M	639.67M	271.44M
Cash, Cash Equivalents and Short-Term Investments	274.23M	611.09M	654.61M	349.18M	385.36M	104.05M
Total Debt	61.42M	1.72M	1.47M	1.81M	25.94M	24.35M
Total Liabilities	321.92M	307.68M	293.61M	192.38M	157.35M	353.20M
Stockholders Equity	792.42M	814.77M	786.12M	481.90M	482.33M	-81.76M
Cash Flow
Free Cash Flow	89.67M	90.54M	74.61M	-2.21M	10.45M	-16.36M
Operating Cash Flow	94.85M	91.47M	80.63M	4.88M	17.13M	-14.22M
Investing Cash Flow	-350.00M	-215.80M	-38.78M	-24.68M	-62.91M	-81.54M
Financing Cash Flow	-38.66M	-37.63M	263.42M	-23.97M	327.51M	119.05M

Flywire Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.62
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FLYW, the sentiment is Positive. The current price of 13.62 is above the 20-day moving average (MA) of 13.25, above the 50-day MA of 12.42, and above the 200-day MA of 13.32, indicating a bullish trend. The MACD of 0.24 indicates Positive momentum. The RSI at 61.53 is Neutral, neither overbought nor oversold. The STOCH value of 71.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FLYW.

Flywire Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FLYW	73 Outperform	$1.67B	331.39	0.86%	―	22.20%	―
PAY	73 Outperform	3.91B	71.59	10.86%	―	49.35%	72.05%
CTLP	69 Neutral	774.04M	12.30	25.43%	―	12.64%	457.40%
HCKT	61 Neutral	530.68M	32.18	14.15%	2.44%	4.18%	-51.62%
PSFE	57 Neutral	759.71M	-15.29	2.52%	―	0.47%	-292.07%
AI	43 Neutral	2.36B	-6.61	-34.44%	―	14.34%	-13.27%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Flywire Corporate Events

Flywire Reports Strong Q2 2025 Financial Results

On August 5, 2025, Flywire Corporation reported a significant increase in its second-quarter 2025 financial results, with a 27.2% rise in revenue year-over-year, reaching $131.9 million. The company also signed nearly 200 new clients, expanded its travel vertical, and deepened its education partnerships. Flywire’s strategic initiatives, including a partnership with a stablecoin payment provider and recognition by Virtuoso, have strengthened its competitive position and market share. Despite a net loss of $12 million, Flywire increased its adjusted EBITDA and raised its aEBITDA margin guidance, showcasing its operational efficiency and resilience amidst global uncertainties.

Flywire Holds Annual Stockholders Meeting on June 3

During Flywire Corporation’s annual stockholders meeting on June 3, 2025, three key proposals were addressed. Stockholders elected two directors to serve until 2028, ratified PricewaterhouseCoopers LLP as the independent public accounting firm for 2025, and approved executive compensation on a non-binding basis. Approximately 88% of the company’s voting shares were represented, ensuring a quorum for the meeting.