FlexShopper (FPAY) AI Stock Analysis

• Market Cap: $16.10M
• Dividend Yield: N/A
• Average Volume (3M): 231.82K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.53
• Revenue Growth: 19.51%
• EPS Growth: 29.43%
• Country: US
• Employees: 204
• Sector: Industrials
• Sector Strength: 72
• Industry: Rental & Leasing Services
• EPS (TTM): N/A
• Shares Outstanding: 21,461,489
• 10 Day Avg. Volume: 122,286
• 30 Day Avg. Volume: 231,818
• PEG Ratio: 5.53
• Price to Book (P/B): 1.11
• Price to Sales (P/S): 0.26
• P/FCF Ratio: -0.85
• Enterprise Value/Market Cap: 11.22
• Enterprise Value/Revenue: 1.29
• Enterprise Value/Gross Profit: 1.32
• Enterprise Value/Ebitda: 4.51
• 1Y Price Target: $1.00
• Price Target Upside: 33.33% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 44 Neutral
• Price Target: $1.00 ▲(33.33% Upside)

The overall stock score for FlexShopper is primarily impacted by its financial performance, which shows positive revenue growth but significant challenges with profitability and cash flow management. Technical analysis indicates a bearish trend, while valuation metrics highlight ongoing losses and a lack of profitability. These factors collectively suggest a cautious outlook for the stock.

Positive Factors

Revenue Growth

The consistent revenue growth indicates strong demand for FlexShopper's services and suggests the company is effectively expanding its market reach.

Gross Profit Margin

A high gross profit margin reflects FlexShopper's ability to manage costs effectively, which is crucial for sustaining profitability as the company scales.

Market Expansion

Strategic partnerships with retailers enhance FlexShopper's market presence, driving transaction volume and supporting long-term revenue growth.

Negative Factors

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting FlexShopper's ability to invest in growth opportunities or weather economic downturns.

Negative Cash Flow

Negative cash flow indicates operational challenges and reliance on external funding, which may not be sustainable long-term, affecting financial stability.

Profitability Challenges

Ongoing profitability issues highlight operational inefficiencies and could hinder FlexShopper's ability to reinvest in growth and innovation.

FlexShopper Business Overview & Revenue Model

Company Description

FlexShopper, Inc., a financial technology company, operates an e-commerce marketplace to shop electronics, home furnishings, and other durable goods on a lease-to-own (LTO) basis. It offers durable products, including consumer electronics; home appliances; computers, including tablets and wearables; smartphones; tires; and jewelry and furniture, such as accessories. The company was formerly known as Anchor Funding Services, Inc. and changed its name to FlexShopper, Inc. in October 2013. FlexShopper, Inc. was founded in 2003 and is headquartered in Boca Raton, Florida.

How the Company Makes Money

FlexShopper generates revenue through several key streams. Primarily, the company earns money by charging retailers a fee for each transaction processed through its leasing platform. This fee is often a percentage of the sale price, incentivizing retailers to partner with FlexShopper to offer flexible payment options to their customers. Additionally, FlexShopper collects interest and fees from consumers who utilize its lease-to-own services, which can include late fees and other ancillary charges. The company also benefits from partnerships with a variety of retailers, expanding its market reach and increasing transaction volume. By providing financing solutions to consumers with limited credit options, FlexShopper taps into a significant market, enhancing its earnings potential.

FlexShopper Financial Statement Overview

Summary

FlexShopper shows positive revenue growth, but persistent net losses and high leverage present significant challenges. The company needs to enhance its operational efficiency and manage its debt levels to improve financial stability. Cash flow management is critical, as current operations are not generating positive cash flow, raising concerns about long-term sustainability without external financing.

Income Statement

FlexShopper's revenue growth is positive, with a notable increase from $116.98M in 2023 to $139.80M in 2024. However, the company is struggling with profitability, as indicated by negative net profit margins and consistent net losses, with a net income of -$179K in 2024. The gross profit margin remains high, showcasing efficient cost management, but the EBIT and EBITDA margins reflect operational challenges.

Balance Sheet

The company has a high debt-to-equity ratio, reflecting significant leverage which could pose financial risks. Stockholders' equity has been increasing, which is a positive sign, yet the equity ratio remains low. The company's assets have grown, supporting future operational capabilities, but the high level of liabilities relative to equity needs careful management.

Cash Flow

FlexShopper is experiencing negative free cash flow, which has worsened from 2023 to 2024. Operating cash flow is negative, indicating challenges in generating cash from operations. The financing cash flow is positive, suggesting reliance on external funding to support operations, which is a potential risk if not managed properly.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	139.80M	116.98M	113.06M	125.43M	102.08M
Gross Profit	136.42M	104.48M	109.67M	46.25M	35.35M
EBITDA	32.39M	13.69M	71.02M	90.84M	4.63M
Net Income	-179.27K	-4.23M	13.63M	3.27M	-339.90K
Balance Sheet
Total Assets	209.51M	156.49M	148.29M	84.81M	68.25M
Cash, Cash Equivalents and Short-Term Investments	10.40M	4.41M	6.05M	5.09M	8.54M
Total Debt	163.34M	115.57M	97.74M	56.81M	45.98M
Total Liabilities	176.36M	127.26M	117.25M	68.67M	57.10M
Stockholders Equity	33.15M	29.23M	31.03M	16.14M	11.15M
Cash Flow
Free Cash Flow	-43.45M	-13.00M	-37.74M	-16.21M	-8.31M
Operating Cash Flow	-34.95M	-6.66M	-31.24M	-11.26M	-5.21M
Investing Cash Flow	-9.15M	-7.56M	-5.20M	-4.95M	-3.10M
Financing Cash Flow	50.09M	12.47M	37.52M	12.76M	9.98M

FlexShopper Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.75
• 50DMA: Negative
• 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 FPAY, the sentiment is Negative. The current price of 0.75 is above the 20-day moving average (MA) of 0.72, below the 50-day MA of 0.86, and below the 200-day MA of 1.29, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 49.31 is Neutral, neither overbought nor oversold. The STOCH value of 32.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FPAY.

FlexShopper Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRG	80 Outperform	1.40B	7.13	32.11%	1.44%	5.18%	109.28%
CTOS	66 Neutral	1.31B	-36.22	-2.31%	―	6.21%	-177.57%
MPU	55 Neutral	83.51M	-5.19	0.00%	―	303.99%	-165.84%
ALTG	50 Neutral	227.22M	-3.44	-148.75%	3.22%	-3.46%	-222.37%
VSTS	47 Neutral	547.14M	-18.24	-3.40%	3.37%	-4.59%	-125.50%
FPAY	44 Neutral	$16.10M	―	-4.33%	―	19.51%	29.43%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

FlexShopper Corporate Events

FlexShopper Enters Forbearance Agreement with BP Fundco

On August 29, 2025, FlexShopper and its subsidiary, Flex Revolution, LLC, entered into a Forbearance and Fifth Amendment to their Credit Agreement with BP Fundco, LLC. This amendment allows the lender to forbear from taking action against Flex Revolution for failing to deliver required financial statements, extending the forbearance and draw periods until September 30, 2025, with conditions for further extension.

The most recent analyst rating on (FPAY) stock is a Hold with a $0.50 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper Enters Limited Forbearance Agreement Extension

On August 18, 2025, FlexShopper 2, LLC and FlexShopper, LLC, subsidiaries of the company, along with Powerscourt Investments 50, LP, entered into a Limited Forbearance and Reaffirmation agreement. The Administrative Agent extended the Forbearance Period to September 3, 2025, or until any additional default events occur, maintaining the agreement’s terms otherwise unchanged.

The most recent analyst rating on (FPAY) stock is a Hold with a $0.50 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper Secures Interim Financing with Credit Amendment

FlexShopper, through its subsidiary FlexShopper 2, LLC, entered into a Credit Agreement with Powerscourt Investments 50, LP and other parties, which has been amended multiple times since its inception on March 27, 2024. The most recent amendment on August 18, 2025, allows for interim financing to address the company’s immediate working capital needs, indicating a strategic move to stabilize its financial operations.

The most recent analyst rating on (FPAY) stock is a Sell with a $0.50 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper Enters Forbearance Agreement Amid Financial Challenges

FlexShopper 2, LLC, a subsidiary of FlexShopper, faced financial challenges as it received a Notice of Events of Default on August 12, 2025, due to misrepresentations in financial statements and false information provided to its lenders. In response, FlexShopper entered into a Forbearance Agreement on August 18, 2025, with its administrative agent and lenders, agreeing to refrain from exercising rights and remedies under the Credit Agreement until August 22, 2025, while exploring long-term financing solutions.

The most recent analyst rating on (FPAY) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper Appoints New Chief Restructuring Officer

On August 6, 2025, FlexShopper‘s Board of Directors terminated the employment of their CEO and CFO, H. Russell Heiser Jr., with John Davis assuming the role of principal executive officer. Subsequently, on August 11, 2025, FlexShopper engaged North Country Capital LLC for interim management and restructuring advisory services, appointing Matthew A. Doheny as Chief Restructuring Officer. Doheny brings extensive financial and restructuring expertise, with a history of leading significant restructurings and serving in various high-level financial positions.

The most recent analyst rating on (FPAY) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper CEO Suspended, New Executive Officer Appointed

On July 31, 2025, FlexShopper, through its subsidiary Flex Revolution LLC, entered into a Forbearance and Fourth Amendment to its Credit Agreement with BP Fundco, LLC. This amendment allows the company to delay the delivery of required financial statements and extends the draw period under the credit facility until August 30, 2025. Additionally, on the same date, the company’s Board of Directors suspended H. Russell Heiser Jr. as CEO and CFO, with John Davis assuming the role of principal executive officer.

The most recent analyst rating on (FPAY) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper Appoints Steven Varner to Board Amid Changes

On July 27, 2025, Denis Echtchenko resigned from the Board of Directors of FlexShopper, Inc., with the company disagreeing with his reasons for stepping down. Echtchenko’s resignation was followed by the appointment of Steven Varner, a seasoned executive with extensive experience in financial and operational roles, as his successor. Varner’s appointment aligns with the Investor Rights Agreement with B2 FIE, which allows them to nominate a director as long as they maintain a certain ownership percentage. This change in the board is expected to help FlexShopper navigate its current challenges.

The most recent analyst rating on (FPAY) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.

FlexShopper Appoints John Davis as President

On July 8, 2025, FlexShopper‘s Board of Directors appointed John Davis, the current Chief Operating Officer, to the additional role of President. Mr. Davis has been with the company since November 2020 and has an extensive background in the consumer credit and finance industry, having held leadership roles at various companies. This appointment is part of an ongoing employment agreement, and no related party transactions or familial ties exist between Mr. Davis and other executives.

The most recent analyst rating on (FPAY) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on FlexShopper stock, see the FPAY Stock Forecast page.