Shift4 Payments (FOUR) AI Stock Analysis

• Market Cap: $5.68B
• Dividend Yield: N/A
• Average Volume (3M): 1.95M
• Price to Earnings (P/E): 30.1
• Beta (1Y): 1.57
• Revenue Growth: 23.16%
• EPS Growth: 27.38%
• Country: US
• Employees: 4,000
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 1.47
• Shares Outstanding: 67,564,640
• 10 Day Avg. Volume: 1,492,908
• 30 Day Avg. Volume: 1,945,547
• PEG Ratio: 0.23
• Price to Book (P/B): 8.71
• Price to Sales (P/S): 2.11
• P/FCF Ratio: 22.61
• Enterprise Value/Market Cap: 2.03
• Enterprise Value/Revenue: 2.98
• Enterprise Value/Gross Profit: 9.13
• Enterprise Value/Ebitda: 14.94
• 1Y Price Target: $95.82
• Price Target Upside: 49.56% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 19
• EPS Forecast (FY): 5.24
• Revenue Forecast (FY): $1.99B

• Rating: 69 Neutral
• Price Target: $73.00 ▲(13.94% Upside)

Shift4 Payments' overall stock score is driven by strong financial performance and positive earnings call insights, highlighting robust growth and strategic expansions. However, technical indicators suggest bearish momentum, and the valuation appears high, which tempers the overall score.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust market demand and effective business strategies, supporting long-term financial health and expansion.

Strategic Partnerships

The partnership with Liberty Sports Group enhances Shift4's market reach and strengthens its position in the sports and entertainment sectors.

Cash Flow Generation

Robust cash flow generation supports growth initiatives, debt repayment, and shareholder returns, ensuring financial stability.

Negative Factors

Debt Levels

While leverage has improved, high debt levels can constrain financial flexibility, posing risks to long-term stability and growth.

Same-Store Sales Volatility

Volatility in same-store sales can lead to unpredictable revenue streams, affecting financial planning and investor confidence.

Challenges in Asia

Currency challenges and regional difficulties in Asia can hinder growth prospects and impact overall profitability.

Shift4 Payments Business Overview & Revenue Model

Company Description

Shift4 Payments, Inc. provides integrated payment processing and technology solutions in the United States. It provides omni-channel card acceptance and processing solutions, including credit, debit, contactless card, Europay, Mastercard and visa, QR Pay, and mobile wallets, as well as alternative payment methods; merchant acquiring; proprietary omni-channel gateway; complementary software integrations; integrated and mobile point-of-sale (POS) solutions; security and risk management solutions; reporting and analytical tools; and web-store design, hosting, shopping cart management, and fulfillment integration, as well as tokenization, payment device and chargeback management, fraud prevention, and gift card solutions. The company also offers VenueNext that provides mobile ordering, countertop POS, and self-service kiosk services, as well as digital wallet to facilitate food and beverage, merchandise, and loyalty for stadium and entertainment venues; and Shift4Shop, which offers eCommerce solutions, including website builder, shopping cart, product catalog, order management, marketing, search engine optimization, secure hosting, and mobile webstores. In addition, it provides Lighthouse, a cloud-based business intelligence tool that includes customer engagement, social media management, online reputation management, scheduling, and product pricing, as well as reporting and analytics; SkyTab, a hybrid-cloud-based integrated POS solution; SkyTab Mobile, a mobile payment solution; and marketplace technology for integrations into third-party applications. Further, the company offers merchant management, training and education, marketing management, and incentives tracking solutions. Additionally, it provides merchant underwriting, onboarding and activation, training, risk management, and support services; and software integrations and compliance management, and partner support and services. The company was founded in 1999 and is headquartered in Allentown, Pennsylvania.

How the Company Makes Money

Shift4 Payments generates revenue primarily through transaction fees charged to merchants for processing payments. The company earns a percentage of each transaction, which varies based on the payment method and volume. Additional revenue streams include subscription fees for software services, equipment sales, and value-added services such as fraud protection and analytics. Partnerships with banks, payment networks, and technology providers further enhance Shift4's offerings, allowing the company to expand its market reach and drive additional revenue. The company also benefits from a growing trend toward digital payments and e-commerce, which increases transaction volumes and, consequently, revenue.

Shift4 Payments Financial Statement Overview

Summary

Shift4 Payments exhibits strong revenue growth and improving profitability, with effective cost management reflected in the gross profit margin. The balance sheet shows improved leverage, although debt levels remain a concern. Cash flow generation is robust, supporting the company's growth and operational needs. Overall, the financial statements indicate a company on a positive growth trajectory with some leverage-related risks.

Income Statement

Shift4 Payments shows strong revenue growth with a TTM growth rate of 7.41%, indicating a positive trajectory. The gross profit margin has improved to 30.55% in the TTM, reflecting efficient cost management. However, the net profit margin decreased slightly to 6.11% from the previous year, suggesting some pressure on net profitability. Overall, the company demonstrates robust revenue growth and improving operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 2.37 in the TTM, down from 3.57 the previous year, indicating better leverage management. Return on equity is strong at 21.96%, showcasing effective use of equity to generate profits. However, the equity ratio remains relatively low at 18.57%, suggesting a higher reliance on debt financing. The balance sheet shows improvement in leverage but still carries some risk due to the debt levels.

Cash Flow

Free cash flow has grown significantly by 183.5% in the TTM, demonstrating strong cash generation capabilities. The operating cash flow to net income ratio is 0.38, indicating a healthy conversion of net income to cash. The free cash flow to net income ratio is 0.87, reflecting efficient cash management. Overall, the cash flow statement highlights strong cash generation and effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.88B	3.33B	2.56B	1.99B	1.37B	766.90M
Gross Profit	1.26B	973.10M	687.80M	470.20M	278.40M	177.80M
EBITDA	772.40M	356.80M	366.20M	268.50M	55.30M	10.60M
Net Income	194.80M	229.60M	86.20M	75.10M	-48.90M	-18.40M
Balance Sheet
Total Assets	8.99B	5.04B	3.39B	2.55B	2.34B	1.78B
Cash, Cash Equivalents and Short-Term Investments	1.51B	1.21B	455.00M	776.50M	1.23B	927.80M
Total Debt	4.79B	2.88B	1.78B	1.77B	1.76B	1.01B
Total Liabilities	6.76B	4.02B	2.52B	2.07B	1.94B	1.11B
Stockholders Equity	1.67B	806.60M	653.30M	347.30M	272.80M	459.60M
Cash Flow
Free Cash Flow	499.40M	310.60M	250.70M	-104.60M	-56.30M	-9.50M
Operating Cash Flow	555.70M	500.30M	388.30M	275.40M	29.20M	23.40M
Investing Cash Flow	-3.04B	-691.10M	-301.90M	-516.80M	-196.70M	-102.10M
Financing Cash Flow	2.57B	929.20M	-152.20M	-214.60M	471.20M	1.00B

Shift4 Payments Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 64.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FOUR, the sentiment is Negative. The current price of 64.07 is below the 20-day moving average (MA) of 68.49, below the 50-day MA of 70.41, and below the 200-day MA of 84.51, indicating a bearish trend. The MACD of -1.67 indicates Positive momentum. The RSI at 34.62 is Neutral, neither overbought nor oversold. The STOCH value of 2.97 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FOUR.

Shift4 Payments Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DLO	73 Outperform	$4.20B	28.05	32.78%	―	22.02%	12.42%
WEX	72 Outperform	$5.17B	19.60	20.30%	―	-1.15%	-2.52%
FOUR	69 Neutral	$5.68B	30.08	15.52%	―	23.16%	27.38%
PAYO	69 Neutral	$2.07B	30.57	9.79%	―	10.58%	-45.52%
MQ	67 Neutral	$2.23B	-63.45	-4.10%	―	20.11%	-391.61%
EEFT	66 Neutral	$3.24B	11.24	23.10%	―	7.25%	-1.12%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Shift4 Payments Corporate Events

Shift4 Payments Announces Leadership Change and Governance Shift

On December 18, 2025, Shift4 Payments announced that founder Jared Isaacman was sworn in as the 15th Administrator of NASA following his U.S. Senate confirmation vote on December 17, 2025, prompting his resignation as Executive Chairman, Class I director, and member of the Nominating and Corporate Governance Committee, with Taylor Lauber simultaneously appointed as Chairman of the Board. In connection with ethics commitments tied to his new federal role, Isaacman agreed to limit and reconfigure how he votes his significant equity stake and to pursue, within 60 days of starting at NASA, the conversion of his remaining Shift4 equity interests into Class A shares and termination of a tax receivable agreement to collapse the company’s Up-C structure, a series of changes that will result in Shift4 no longer qualifying as a “controlled company” under New York Stock Exchange corporate governance standards, with implications for its board independence and oversight framework.

Shift4 Payments Issues €435M Senior Notes for Growth

On December 8, 2025, Shift4 Payments, LLC and Shift4 Payments Finance Sub, Inc., subsidiaries of Shift4 Payments, Inc., completed the issuance of €435 million in 5.500% Senior Notes due 2033, raising approximately $507 million after expenses. The proceeds will be used for general corporate purposes, including debt repayment, acquisitions, and growth initiatives. The issuance strengthens Shift4’s financial position and provides flexibility for strategic investments, potentially impacting its market positioning and stakeholder interests.

Shift4 Payments Announces €435 Million Senior Notes Offering

On December 3, 2025, Shift4 Payments, Inc. announced the pricing of a €435 million tack-on offering of 5.500% senior notes due 2033 by its subsidiaries. The new notes, priced at 102.50%, will be treated as a single class with existing notes and are intended for qualified institutional buyers and certain persons outside the U.S. The proceeds will be used for general corporate purposes, including debt repayment, acquisitions, growth initiatives, and potential share repurchases.

Shift4 Payments Amends Credit Agreement with Citizens Bank

On September 26, 2025, Shift4 Payments, LLC amended its Settlement Line Credit Agreement with Citizens Bank, increasing the credit line by $25 million to a total of $125 million and extending the maturity date to September 28, 2026. This amendment, effective September 29, 2025, reflects Shift4’s strategic financial adjustments to support its operational growth and stability.