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Wise PLC Class A (GB:WISE)
LSE:WISE
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Wise PLC Class A
(LSE:WISE)
Rating:79Outperform
Price Target:―
Positive Factors
Market Listing
The rationale for moving the primary listing to the US is driven by access to better liquidity and increased brand visibility.
Revenue Growth
The company remains committed to driving revenue and gross margin upside back into lowering prices.
Technology
Meetings underscored the strength of Wise’s technology stack and its competitive differentiation.
Negative Factors
Earnings Revisions
Limited earnings revisions are expected to break recent share momentum.
Foreign Exchange
Driven by higher FX headwinds (USD), estimates were trimmed and price target lowered.
Marketing Expenses
Marking expenses grew 78% year over year in H2.
Wise PLC Class A (WISE) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£13.10B
Dividend YieldN/A
Average Volume (3M)1.91M
Price to Earnings (P/E)25.5
Beta (1Y)1.26
Revenue Growth34.39%
EPS Growth94.35%
CountryUK
Employees6,000
SectorTechnology
Sector Strength87
IndustryInformation Technology Services
Share Statistics
EPS (TTM)0.20
Shares Outstanding1,025,000,200
10 Day Avg. Volume1,363,994
30 Day Avg. Volume1,906,856
Financial Highlights & Ratios
PEG Ratio2.67
Price to Book (P/B)30.68
Price to Sales (P/S)0.00
P/FCF Ratio4.27
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£1,220.11Price Target Upside18.11% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering10
Wise PLC Class A Business Overview & Revenue Model
Company DescriptionWise plc provides cross-border money transfer services for personal and business customers in the United Kingdom, rest of Europe, the Asia-Pacific, North America, and internationally. The company's transfer infrastructure includes Wise Account for international people who need to move and manage money across borders; Wise Business for international businesses need; and Wise Platform that allows businesses and banks to offer their own customers international payments. It also offers online currency exchange services, as well as engages in the investment activities. The company was formerly known as 456 Newco plc and changed its name to Wise plc in June 2021. Wise plc was founded in 2010 and is based in London, the United Kingdom.
How the Company Makes MoneyWise PLC makes money primarily through fees charged on cross-border money transfers. The company offers a competitive exchange rate and charges a transparent, upfront fee that is typically lower than those charged by traditional banks. Key revenue streams include individual customer transfers, business payments, and partnerships with banks and financial institutions that integrate Wise's services into their platforms. Additionally, Wise offers multi-currency accounts that allow users to hold and manage funds in multiple currencies, generating revenue through various account-related fees and foreign exchange services.
Wise PLC Class A Earnings Call Summary
Earnings Call Date:Jun 05, 2025
(Q4-2025)
| % Change Since: 9438.32%|
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Positive
The earnings call reflects a positive outlook with significant growth in customer base, transaction volumes, and strategic partnerships, despite some challenges in business customer onboarding and regional revenue discrepancies.Q4-2025 Updates
Positive Updates
Strong Customer and Volume Growth
Active customers increased by 21% year-on-year, with over 15.6 million people and businesses served, and cross-border volume grew by 23% to GBP145 billion.
Successful Strategic Initiatives
Integration into payment systems in the Philippines and ongoing work in Brazil and Japan. Notable partnerships with major banks like Itau and Raiffeisen on Wise Platform.
Impressive Financial Performance
Underlying income grew by 19%, reaching GBP1.4 billion, and underlying profit before tax increased by 17%.
Wise Account Adoption
Customer holdings grew 33% to GBP21.6 billion, with strong growth in Wise account usage and asset management.
Efficient Cost Management
Cost of sales increased only by 5%, significantly lower than the underlying income growth of 16%, expanding the gross profit margin to 75%.
Negative Updates
Business Customer Onboarding Challenges
Growth in business active customers was 11%, recovering from an onboarding pause in 2024.
Price Reductions Impact Revenue Growth
Cross-border revenue growth was slower at 6% due to price reductions to maintain competitiveness.
Geographic Revenue Discrepancies
Softer revenue performance in North America in the second half of the year compared to expectations.
Company Guidance
During the FY 2025 results presentation, Wise outlined several key metrics reflecting its growth and strategic developments. The company reported a 21% increase in active customers, reaching 15.6 million, while cross-border volumes grew by 23% to GBP 145 billion. Customer holdings rose by 33% to GBP 21.6 billion, emphasizing the increasing traction of the Wise account. The underlying income increased by 19%, totaling GBP 1.4 billion, with an underlying profit before tax growing by 17%. Wise also achieved a take rate of 0.53% by the end of Q4 2025, with 65% of transactions being completed in less than 20 seconds. The company's Wise Platform showed promising growth, accounting for 4% of cross-border volume, with expectations to reach 10% in the midterm. Additionally, Wise announced plans for a dual listing in the U.S., aiming to enhance market presence and liquidity.Wise PLC Class A Financial Statement Overview
Summary
Wise PLC demonstrates strong financial health with high scores across the income statement, balance sheet, and cash flow metrics. The company has shown robust revenue and profit growth, efficient operational management, and strong cash flow generation, indicating financial stability and growth potential.Income Statement
Wise PLC has shown impressive growth in its income statement metrics. The company achieved a high gross profit margin and net profit margin in the most recent year, indicating robust profitability. Revenue growth has been strong, with a significant increase from the previous year. The EBIT and EBITDA margins are healthy, reflecting efficient operational management.92
Very Positive
Balance Sheet
The balance sheet reveals a strong equity position with a solid equity ratio, indicating low financial leverage. The debt-to-equity ratio is quite favorable, suggesting prudent financial management. Return on Equity (ROE) is high, illustrating effective use of equity to generate profits.85
Very Positive
Cash Flow
Wise PLC exhibits a strong cash flow profile with impressive growth in free cash flow. The operating cash flow to net income ratio is very high, indicating efficient conversion of income to cash. The free cash flow to net income ratio further underscores the company's ability to generate substantial free cash flow relative to its earnings.88
Very Positive
| Breakdown | TTM | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 | Mar 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.56B | 1.41B | 986.30M | 563.80M | 421.00M | 302.60M |
| Gross Profit | 1.26B | 1.10B | 638.20M | 369.10M | 260.50M | 188.10M |
| EBITDA | 575.40M | 520.00M | 166.90M | 62.90M | 60.90M | 35.60M |
| Net Income | 431.30M | 354.60M | 114.00M | 32.90M | 30.90M | 15.00M |
Balance Sheet | ||||||
| Total Assets | 16.51B | 15.14B | 11.90B | 7.56B | 4.30B | 2.38B |
| Cash, Cash Equivalents and Short-Term Investments | 1.06B | 1.06B | 11.48B | 7.25B | 1.62B | 2.19B |
| Total Debt | 52.40M | 224.20M | 249.90M | 78.50M | 78.60M | 49.20M |
| Total Liabilities | 15.34B | 14.16B | 11.33B | 7.16B | 4.02B | 2.18B |
| Stockholders Equity | 1.17B | 979.90M | 576.90M | 409.20M | 285.30M | 196.80M |
Cash Flow | ||||||
| Free Cash Flow | 3.49B | 3.24B | 3.91B | 3.13B | 2.05B | 1.17B |
| Operating Cash Flow | 3.51B | 3.25B | 3.92B | 3.14B | 2.07B | 1.19B |
| Investing Cash Flow | 250.00M | -142.60M | -2.59B | -490.40M | -671.80M | -20.90M |
| Financing Cash Flow | -372.30M | -125.60M | 153.90M | -1.30M | 24.80M | 31.20M |
Wise PLC Class A Technical Analysis
Positive
1033.00
Price Trends
10.59
Negative
10.13
Positive
9.51
Positive
Market Momentum
-0.04
Positive
49.41
Neutral
43.65
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:WISE, the sentiment is Positive. The current price of 1033 is above the 20-day moving average (MA) of 10.53, above the 50-day MA of 10.59, and above the 200-day MA of 9.51, indicating a neutral trend. The MACD of -0.04 indicates Positive momentum. The RSI at 49.41 is Neutral, neither overbought nor oversold. The STOCH value of 43.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:WISE.
Wise PLC Class A Peers Comparison
Overall Rating
UnderperformOutperform
Sector (69)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | £13.10B | 25.46 | 35.22% | ― | 34.39% | 94.35% | |
69 Neutral | ¥229.24B | 14.26 | 7.64% | 2.72% | 9.14% | 8.60% | |
67 Neutral | £2.40B | 14.80 | 19.50% | 4.14% | 0.61% | -9.17% | |
65 Neutral | £237.78M | 11.58 | 28.48% | 5.75% | -22.84% | -49.60% | |
62 Neutral | £3.30B | 26.35 | 47.63% | 0.54% | 10.75% | 10.61% | |
57 Neutral | £195.60M | 315.38 | 1.06% | 3.87% | 3.57% | ― | |
56 Neutral | £541.25M | ― | -11.89% | ― | -22.83% | -350.82% |
* Technology Sector Average
Performance Comparison
GB:WISE
Wise PLC Class A
10.54
3.10
41.67%
GB:CCC
Computacenter
22.86
-5.41
-19.14%
GB:FDM
FDM Group (Holdings)
2.14
-1.62
-43.09%
GB:FDP
FD Technologies
24.45
10.05
69.79%
GB:RCN
Redcentric
1.23
-0.06
-4.65%
GB:SCT
Softcat
16.76
0.87
5.48%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.