Nayax (NYAX) AI Stock Analysis

• Market Cap: 6.30B
• Dividend Yield: N/A
• Average Volume (3M): 61.08K
• Price to Earnings (P/E): 76.7
• Beta (1Y): 0.58
• Revenue Growth: 20.86%
• EPS Growth: N/A
• Country: IL
• Employees: 1,100
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 29.02
• Shares Outstanding: 36,607,407
• 10 Day Avg. Volume: 55,479
• 30 Day Avg. Volume: 61,082
• PEG Ratio: 2.71
• Price to Book (P/B): 6.15
• Price to Sales (P/S): 3.24
• P/FCF Ratio: 56.66
• 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: 15,774.41
• Price Target Upside: -15.60% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: 18,834.00 ▲(0.77% Upside)

The score is primarily supported by improving fundamentals (growth, margin turnaround, and stronger free cash flow) and bullish technical trends (price above major moving averages with positive MACD). This is meaningfully offset by a high P/E valuation, which raises the bar for continued execution.

Positive Factors

Recurring Revenue

A growing base of recurring revenue from payment processing and subscription software increases predictable, high-margin cash flows. This structural revenue mix improves long-term margin sustainability, supports reinvestment and valuation of the platform over the next several years.

Free Cash Flow Improvement

Material FCF improvement and healthy operating cash to net income conversion demonstrate stronger cash generation capacity. Durable cash flow provides flexibility to fund organic growth, acquisitions like Lynkwell, and deleverage, reducing refinancing risk and supporting strategic execution.

Strategic EV Charging Expansion

The Lynkwell acquisition extends Nayax into EV charging operations and management, broadening TAM and embedding its payments platform into critical infrastructure. Integration with Lynkwell’s approved utility contracts and fleet clients can create durable cross-sell and recurring service opportunities.

Negative Factors

Reliance on M&A for Growth

Management targets accelerated growth partly via inorganic deals; delays reduce near-term revenue contribution and introduce timing and execution risk. Dependence on M&A makes multi-year growth and margin targets vulnerable to integration issues, regulatory hurdles, and market timing.

Moderate Leverage & Historical Profitability

A D/E of 0.80 is manageable but indicates reliance on debt; past negative ROE highlights historical profitability weakness. In downturns or if growth requires more capital, leverage can constrain flexibility, increase interest burden, and elevate execution risk for long-term targets.

Execution Risk in Hardware Sales

A Q3 revenue shortfall versus consensus and management’s note that enterprise hardware sales timing drives results shows reliance on lumpy hardware cycles. Hardware-driven volatility can impair revenue predictability, compress margins and complicate achievement of sustained multi-year targets.

Nayax Business Overview & Revenue Model

Company Description

Nayax Ltd., a fintech company, operates system and payment platform worldwide. The company offers VPOS TOUCH that provides contactless and contact payment options; VPOS FUSION, a cashless payment card reader; ONYX, a contactless card reader and telemetry device; AMIT 3.0, a M2M vending telemetry solution; NOVA 156, a points of sale(POS)-handheld smart POS terminal; NOVA 125,a combined dual interface product with a printer and a barcode scanner; NOVA 55, an android-based that enables clearing payments using swipe, contactless, and contact payment methods, as well as accepting alternative payment methods, such as digital wallets and tap on pay; and NOVA 45 and NOVA 40, a handheld mini smart terminals for attended POS. It also provides electric vehicle charging stations; and Monyx Wallet, a digital wallet app installed on the consumer's mobile phone that enables cashless payments using only the mobile phone. In addition, the company provides cashless payments systems; telemetry services, including remote management, monitoring, and control of the unattended POS and service; closed-circuit prepaid card solutions; and management software for unattended machines. Further, it operates marketing, loyalty, and consumer engagement platform. The company sells its products directly, as well as through resellers and distributors. It serves various verticals, including snacks and drinks automatic vending machines, coffee machines, kiddie and amusement rides, massage chairs, laundromats, machines for selling non-prescription drugs, car wash, parking, tourist, fueling, and ticket machines, as well as kiosks, public restrooms, photo booth, donations, AIR/VAC, and ice cream vending machines. The company was incorporated in 2005 and is based in Herzliya, Israel.

How the Company Makes Money

Nayax generates revenue through several key streams. Primarily, the company earns money by providing payment processing services, charging transaction fees for cashless payments made through its systems. Additionally, Nayax offers subscription-based services for its software solutions, which include telemetry and inventory management, allowing clients to monitor and manage their machines effectively. The company also generates revenue from hardware sales, including payment terminals and other devices used in vending operations. Significant partnerships with payment networks and financial institutions enhance its service offerings and market reach, contributing to its overall earnings.

Nayax Financial Statement Overview

Summary

Nayax shows a positive growth trajectory with improving profitability and cash flow metrics. The transition to positive net income and strong gross profit margin are highlights. However, increased leverage and the need for better cash flow alignment with earnings are areas to monitor.

Income Statement

Nayax has shown a consistent revenue growth trajectory, with a TTM revenue growth rate of 5.29%. The company has improved its profitability, evidenced by a positive net profit margin of 1.96% in the TTM, compared to negative margins in previous years. Gross profit margin remains strong at 45.50%, indicating effective cost management. However, the EBIT margin is relatively low at 4.57%, suggesting room for operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio has increased to 0.82 in the TTM, indicating a higher reliance on debt financing compared to previous years. Return on equity has improved to 3.88%, reflecting better profitability. The equity ratio stands at 31.81%, showing a moderate level of financial stability. While the balance sheet shows improvement, the increased leverage poses a potential risk.

Cash Flow

Nayax's free cash flow has grown by 15.98% in the TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.19, suggesting that cash flows are not fully aligned with reported earnings. The free cash flow to net income ratio is 0.37, highlighting a need for better cash conversion. Overall, cash flow metrics show positive trends but require further alignment with profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	371.46M	314.01M	235.49M	173.51M	119.13M	78.78M
Gross Profit	175.19M	141.53M	88.29M	60.04M	48.16M	37.18M
EBITDA	62.33M	23.70M	458.00K	-26.71M	-15.54M	1.26M
Net Income	24.04M	-5.63M	-15.89M	-37.51M	-24.76M	-6.25M
Balance Sheet
Total Assets	635.71M	432.89M	323.86M	230.49M	216.01M	92.75M
Cash, Cash Equivalents and Short-Term Investments	263.39M	92.46M	39.66M	33.96M	87.38M	8.28M
Total Debt	166.48M	54.90M	75.10M	29.52M	19.96M	31.09M
Total Liabilities	428.24M	267.65M	226.27M	125.85M	84.33M	80.25M
Stockholders Equity	207.45M	165.25M	97.59M	104.64M	131.68M	12.50M
Cash Flow
Free Cash Flow	24.58M	17.93M	-7.76M	-42.77M	-21.50M	-1.37M
Operating Cash Flow	48.86M	42.90M	8.80M	-27.55M	-12.81M	6.49M
Investing Cash Flow	-36.21M	-45.91M	-36.83M	-26.54M	-22.64M	-8.57M
Financing Cash Flow	92.20M	50.84M	31.55M	6.21M	114.14M	6.05M

Nayax Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 18690.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:NYAX, the sentiment is Positive. The current price of 18690 is above the 20-day moving average (MA) of 16148.00, above the 50-day MA of 14991.00, and above the 200-day MA of 15071.10, indicating a bullish trend. The MACD of 803.28 indicates Negative momentum. The RSI at 78.78 is Negative, neither overbought nor oversold. The STOCH value of 88.57 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:NYAX.

Nayax Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FORTY	73 Outperform	8.14B	31.73	―	2.68%	1.94%	-8.81%
NYAX	69 Neutral	6.30B	76.65	―	―	20.86%	―
MLTM	62 Neutral	3.05B	30.06	―	―	11.90%	13.57%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%