Payoneer (PAYO) AI Stock Analysis

• Market Cap: $2.50B
• Dividend Yield: N/A
• Average Volume (3M): 3.44M
• Price to Earnings (P/E): 26.4
• Beta (1Y): 1.41
• Revenue Growth: 13.02%
• EPS Growth: -2.57%
• Country: US
• Employees: 2,407
• Sector: Technology
• Sector Strength: 87
• Industry: Software - Infrastructure
• EPS (TTM): 0.05
• Shares Outstanding: 360,315,550
• 10 Day Avg. Volume: 2,889,132
• 30 Day Avg. Volume: 3,442,173
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.86
• Enterprise Value/Revenue: 2.11
• Enterprise Value/Gross Profit: 2.53
• Enterprise Value/Ebitda: 11.87
• 1Y Price Target: $10.50
• Price Target Upside: 51.08% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 77 Outperform
• Price Target: $8.00 ▲(15.11% Upside)

Payoneer's strong financial performance and positive earnings call are the most significant factors contributing to the stock's score. While technical analysis and valuation present a more neutral outlook, the company's strategic initiatives and robust cash flow generation support a favorable long-term growth trajectory.

Positive Factors

Financial Performance

PAYO's 2Q results came in above expectations driven by continued adoption of the company's higher value products as well as solid volume growth and better transaction margins.

Guidance

PAYO reinstated its guidance after suspending it due to the April tariffs and increased macro uncertainty, raising revenue, EBITDA, and transaction margins above consensus and estimates.

Technology Implementation

Payoneer is implementing blockchain/stablecoin technology, which could improve Treasury functions and provide more payment options.

Negative Factors

Investor Concerns

Investor concerns about the pace of volume growth in key verticals B2B and ecommerce marketplaces contributed to the pullback in Payoneer's share price.

Revenue Headwinds

PAYO shares are down 39% year-to-date as investors are concerned about the revenue headwinds associated with lower interest rates and the impact of tariffs.

Tariff Impact

The evolving tariff situation reduces visibility, with potential impact estimated at about $50 million to total revenues in the second half of 2025.

Payoneer Business Overview & Revenue Model

Company Description

Payoneer Inc. (PAYO) is a financial services company that provides online money transfer and digital payment services. It operates in the financial technology (fintech) sector, offering a platform that enables businesses, professionals, and freelancers to send and receive payments globally. Payoneer's core services include cross-border payments, global account solutions, and working capital offerings, which facilitate seamless international transactions and financial operations for its users.

How the Company Makes Money

Payoneer makes money primarily through transaction fees, currency conversion fees, and account maintenance fees. When users send or receive payments across borders, Payoneer charges a transaction fee, which is a percentage of the amount transferred. Additionally, the company earns revenue from currency conversion fees when transactions involve different currencies. Payoneer also generates income through interest on working capital solutions provided to businesses. Key partnerships with marketplaces, e-commerce platforms, and financial institutions enhance its revenue streams by expanding its user base and integrating its services into diverse ecosystems.

Payoneer Financial Statement Overview

Summary

Payoneer demonstrates strong financial health with consistent revenue growth, improving profitability, and robust cash flow generation. The company maintains low leverage, enhancing its financial stability. While the balance sheet shows high liabilities, effective cash flow management and profitability are key strengths that support its financial sustainability.

Income Statement

Payoneer shows strong financial performance with a consistent revenue growth trend, growing from $345.6M in 2020 to $996.15M in TTM 2025. The gross profit margin has remained robust, showing effective cost management, and the company has turned profitable with a net profit margin of 11.32% in TTM 2025. The EBIT and EBITDA margins have also improved considerably, indicating enhanced operational efficiency.

Balance Sheet

The balance sheet reflects a solid equity base with a debt-to-equity ratio of 0.03 in TTM 2025, indicating low leverage. The equity ratio stands at approximately 9.94%, suggesting a reasonable level of equity financing. However, the company's liquidity could be a concern with a high proportion of liabilities relative to assets.

Cash Flow

Payoneer's cash flow performance is commendable, with positive free cash flow growth and a healthy operating cash flow to net income ratio of 1.69 in TTM 2025. The free cash flow to net income ratio is also strong at 1.37, demonstrating efficient cash management and a solid ability to generate cash from operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.02B	977.72M	831.10M	627.62M	473.40M	345.59M
Gross Profit	849.32M	825.61M	708.81M	517.46M	371.93M	248.55M
EBITDA	180.86M	196.33M	131.42M	-8.23M	-7.14M	1.20M
Net Income	99.82M	121.16M	93.33M	-11.97M	-33.95M	-23.60M
Balance Sheet
Total Assets	8.11B	7.93B	7.28B	6.59B	5.08B	3.67B
Cash, Cash Equivalents and Short-Term Investments	497.14M	497.47M	617.02M	543.30M	465.93M	102.99M
Total Debt	45.88M	21.38M	43.42M	24.50M	13.66M	40.02M
Total Liabilities	7.34B	7.21B	6.62B	6.05B	4.59B	3.65B
Stockholders Equity	770.90M	724.79M	664.27M	545.26M	487.07M	24.30M
Cash Flow
Free Cash Flow	195.40M	168.74M	111.70M	55.13M	-1.32M	-4.51M
Operating Cash Flow	220.41M	176.93M	159.49M	83.96M	19.58M	9.53M
Investing Cash Flow	-1.43B	-1.96B	-44.25M	5.73M	10.16M	-66.85M
Financing Cash Flow	873.49M	427.77M	511.95M	1.46B	1.40B	1.67B

Payoneer Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PAYO, the sentiment is Positive. The current price of 6.95 is above the 20-day moving average (MA) of 6.78, above the 50-day MA of 6.76, and below the 200-day MA of 8.18, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 54.79 is Neutral, neither overbought nor oversold. The STOCH value of 65.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PAYO.

Payoneer Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAYO	77 Outperform	$2.50B	26.40	13.86%	―	13.02%	-2.57%
DLO	77 Outperform	$4.13B	34.72	26.10%	―	14.70%	-18.45%
PAGS	73 Outperform	$2.95B	7.20	14.59%	1.54%	0.09%	5.38%
PAYS	69 Neutral	$282.06M	42.74	19.65%	―	27.84%	-13.78%
RELY	66 Neutral	$3.82B	296.96	2.10%	―	35.12%	―
Sector *	61 Neutral	$35.48B	7.63	-10.11%	1.88%	8.73%	-9.23%
MQ	61 Neutral	$2.85B	56.63	-6.51%	―	17.47%	-544.72%

Payoneer Corporate Events

Payoneer Confirms Director Elections and Key Proposals

On June 10, 2025, Payoneer Global Inc. held its annual meeting of stockholders, where several key proposals were addressed. The election of Class I directors was confirmed, with Barak Eilam and Rich Williams taking on significant roles within the Board. Additionally, the appointment of Kesselman & Kesselman as the independent registered public accounting firm for 2025 was ratified. The meeting also saw approval of executive compensation on a non-binding basis, but voting on proposals to amend the Certificate of Incorporation was adjourned to allow more time for decision-making.