WAG Payment Solutions Plc (EWG) AI Stock Analysis

• Market Cap: £650.88M
• Dividend Yield: N/A
• Average Volume (3M): 2.51M
• Price to Earnings (P/E): 71.2
• Beta (1Y): -0.20
• Revenue Growth: -0.85%
• EPS Growth: N/A
• Country: UK
• Employees: 1,900
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.03
• Shares Outstanding: 692,428,160
• 10 Day Avg. Volume: 470,372
• 30 Day Avg. Volume: 2,513,010
• PEG Ratio: -2.33
• Price to Book (P/B): 2.55
• Price to Sales (P/S): 0.30
• P/FCF Ratio: 8.05
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £113.00
• Price Target Upside: 19.96% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: 102.00p ▲(8.28% Upside)

The overall stock score of 61 reflects a mixed financial performance with strong cash flow generation but challenges in profitability and high leverage. Technical analysis indicates a short-term upward trend, though momentum indicators suggest caution. The high P/E ratio points to potential overvaluation, and the lack of a dividend yield may deter income investors.

Positive Factors

Cash Generation

Positive free cash flow indicates strong cash generation, enhancing liquidity and financial flexibility, crucial for long-term sustainability.

Revenue Growth

Revenue growth reflects successful business expansion and increased market demand, supporting long-term growth prospects.

Operational Efficiency

Improved gross profit margin indicates better cost management and operational efficiency, enhancing profitability potential.

Negative Factors

High Debt Levels

High debt levels can strain financial resources and limit strategic flexibility, posing risks to long-term financial health.

Low Profitability

Low return on equity indicates challenges in generating profits from shareholder investments, potentially affecting investor confidence.

Net Profit Margin

A low net profit margin suggests difficulties in converting revenue into profit, which may impact long-term financial performance.

WAG Payment Solutions Plc Business Overview & Revenue Model

Company Description

W.A.G payment solutions plc operates integrated payments and mobility platform that focuses on the commercial road transportation industry in Europe. It offers fuel and energy services, such as acceptance network, standard fuels, alternative fuels, and emobility; payment services, including fuel card, visa card, mobile payment, and protection payment; toll services; and financial services comprise TAX refund, excise duty refund, invoice currency exchange, and insurance. It also provides fleet management services, as well as roadside services, posted drivers registration, and freight ferry booking. The company was founded in 1995 and is based in London, the United Kingdom.

How the Company Makes Money

WAG Payment Solutions Plc primarily generates revenue through transaction fees charged to merchants for processing payments. Each time a customer makes a purchase using a card or mobile payment solution, WAG collects a percentage of the transaction value as a fee. In addition to transaction fees, the company also earns revenue from subscription services for its POS systems and software solutions, which may include monthly or annual fees for ongoing support and updates. Furthermore, WAG has established strategic partnerships with financial institutions and technology providers, enhancing its service offerings and contributing to its revenue through co-branded solutions and referral agreements. These partnerships allow WAG to expand its market reach and leverage additional revenue streams through bundled offerings and shared services.

WAG Payment Solutions Plc Financial Statement Overview

Summary

WAG Payment Solutions Plc has shown a commendable recovery in financial performance for 2024, with improvements in revenue growth, operational efficiency, and cash flow generation. However, the company still faces challenges with profitability margins and a relatively high debt level. Continued focus on cost control and debt management could further strengthen its financial position.

Income Statement

WAG Payment Solutions Plc shows a strong recovery in revenue with a positive growth rate from 2023 to 2024. The gross profit margin improved significantly in 2024 to 13.08%, up from 12.29% in 2023. Additionally, the EBIT and EBITDA margins turned positive in 2024, reflecting better operational efficiency. However, the net profit margin remains low at 0.12%, indicating potential challenges in cost control or high interest expenses affecting net income.

Balance Sheet

The company's debt-to-equity ratio decreased in 2024, showing reduced leverage compared to 2023, but remains relatively high at 1.54, indicating significant reliance on debt financing. The equity ratio improved to 23.46%, reflecting a moderate increase in financial stability. Return on equity remains low at 1.03% in 2024, suggesting limited profitability relative to shareholder investments.

Cash Flow

The free cash flow turned positive in 2024, demonstrating strong cash generation capabilities. The operating cash flow improved significantly, supporting the company's liquidity position. The operating cash flow to net income ratio indicates robust cash flow relative to net income, suggesting efficient cash management. The free cash flow to net income ratio also highlights the company's ability to generate cash in excess of net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.24B	2.09B	2.37B	1.65B	1.25B
Gross Profit	292.54M	256.53M	123.64M	97.47M	87.20M
EBITDA	101.13M	38.01M	49.52M	32.84M	44.15M
Net Income	2.70M	-45.64M	16.63M	9.15M	21.24M
Balance Sheet
Total Assets	1.12B	1.14B	915.41M	802.86M	586.26M
Cash, Cash Equivalents and Short-Term Investments	107.43M	93.77M	149.85M	226.86M	118.50M
Total Debt	402.21M	429.44M	156.58M	171.05M	180.60M
Total Liabilities	854.47M	881.50M	598.85M	518.11M	522.15M
Stockholders Equity	261.94M	256.45M	312.28M	275.86M	29.99M
Cash Flow
Free Cash Flow	82.78M	-19.10M	36.97M	-14.79M	83.44M
Operating Cash Flow	128.95M	30.92M	44.24M	-9.57M	86.66M
Investing Cash Flow	-55.54M	-333.72M	-104.29M	-43.08M	-23.21M
Financing Cash Flow	-56.14M	247.14M	-18.18M	187.78M	5.44M

WAG Payment Solutions Plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 94.20
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:EWG, the sentiment is Positive. The current price of 94.2 is above the 20-day moving average (MA) of 93.90, below the 50-day MA of 94.21, and above the 200-day MA of 78.26, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 51.88 is Neutral, neither overbought nor oversold. The STOCH value of 43.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:EWG.

WAG Payment Solutions Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BKS	74 Outperform	£173.54M	58.16	7.35%	―	26.09%	32.43%
BOKU	73 Outperform	£676.72M	65.90	9.64%	―	22.19%	78.35%
BGO	69 Neutral	£76.98M	-37.74	-10.50%	―	6.40%	70.78%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
EWG	61 Neutral	£650.88M	71.21	3.98%	―	-0.85%	―
FNX	61 Neutral	£181.83M	16.31	104.98%	6.29%	-4.35%	5.34%
PAY	54 Neutral	£423.95M	23.12	16.31%	6.06%	1.58%	-57.55%

WAG Payment Solutions Plc Corporate Events

Eurowag Announces Total Voting Rights Update

Eurowag announced that its total issued ordinary share capital as of 31 October 2025 consists of 692,428,147 ordinary shares, each with one voting right. This information is crucial for shareholders to determine their notification requirements under the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:EWG) stock is a Hold with a £102.00 price target. To see the full list of analyst forecasts on WAG Payment Solutions Plc stock, see the GB:EWG Stock Forecast page.

Eurowag Grants LTIP Award to CFO Oskar Zahn

Eurowag announced the granting of a Super Long Term Incentive Plan (LTIP) award to Chief Financial Officer Oskar Zahn, allowing him to acquire over 3 million shares. This move aligns with the company’s new Directors’ Remuneration Policy and is expected to strengthen its leadership’s commitment to long-term growth, impacting its market positioning positively.

The most recent analyst rating on (GB:EWG) stock is a Hold with a £110.00 price target. To see the full list of analyst forecasts on WAG Payment Solutions Plc stock, see the GB:EWG Stock Forecast page.

Eurowag Announces Total Voting Rights as of September 2025

Eurowag has announced that its total issued ordinary share capital as of September 30, 2025, consists of 692,248,440 ordinary shares, each with one voting right. This information is crucial for shareholders to determine their notification requirements under the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:EWG) stock is a Hold with a £110.00 price target. To see the full list of analyst forecasts on WAG Payment Solutions Plc stock, see the GB:EWG Stock Forecast page.

Eurowag Announces Total Voting Rights for Shareholders

Eurowag has announced its total issued ordinary share capital as of June 30, 2025, which comprises 692,248,440 ordinary shares, each with one voting right. This figure is crucial for shareholders to determine their notification requirements under financial regulations, impacting their interest calculations in the company.

The most recent analyst rating on (GB:EWG) stock is a Hold with a £110.00 price target. To see the full list of analyst forecasts on WAG Payment Solutions Plc stock, see the GB:EWG Stock Forecast page.