Pitney Bowes (PBI) AI Stock Analysis

• Market Cap: $1.97B
• Dividend Yield: 2.28%
• Average Volume (3M): 3.93M
• Price to Earnings (P/E): 20.2
• Beta (1Y): 1.78
• Revenue Growth: -39.89%
• EPS Growth: N/A
• Country: US
• Employees: 7,200
• Sector: Industrials
• Sector Strength: 72
• Industry: Integrated Freight & Logistics
• EPS (TTM): 0.27
• Shares Outstanding: 172,123,000
• 10 Day Avg. Volume: 3,382,064
• 30 Day Avg. Volume: 3,928,871
• 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: 1.88
• Enterprise Value/Revenue: 1.88
• Enterprise Value/Gross Profit: 3.50
• Enterprise Value/Ebitda: 19.71
• 1Y Price Target: $11.00
• Price Target Upside: -3.59% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 52 Neutral
• Price Target: $11.00 ▼(-3.59% Downside)

Pitney Bowes' overall stock score is driven by financial challenges, including declining revenues and high leverage, which weigh heavily on the score. Technical indicators suggest a lack of strong momentum, while valuation metrics are moderate. The earnings call and corporate events provide some positive outlooks, particularly with strategic initiatives and leadership changes, but are not enough to offset the financial concerns.

Positive Factors

Cash Flow Management

Strong cash flow management indicates the company's ability to generate cash, supporting its operations and strategic initiatives despite profitability challenges.

Leadership Changes

New leadership with experienced executives could drive strategic initiatives and improve financial governance, potentially enhancing long-term business performance.

SaaS Business Growth

Strong growth in the SaaS segment reflects successful adaptation to digital trends, potentially boosting future revenue and market competitiveness.

Negative Factors

Revenue Decline

Ongoing revenue decline suggests challenges in maintaining market share and competitiveness, potentially impacting long-term growth and profitability.

High Leverage

High leverage and negative equity position raise concerns about financial stability, limiting flexibility for investments and strategic initiatives.

Presort Customer Losses

Loss of key customers in the Presort segment could weaken revenue streams and market position, posing a risk to long-term business sustainability.

Pitney Bowes Business Overview & Revenue Model

Company Description

Pitney Bowes Inc. (PBI) is a global technology company that provides solutions in the areas of shipping, mailing, and e-commerce. Founded in 1920, it operates primarily in two segments: Digital Commerce and Presort Services. The company offers a range of products and services including shipping and tracking solutions, postage meters, mailing systems, and software for managing mailing logistics. Pitney Bowes also provides data management and analytics services to help businesses optimize their operations and improve customer engagement.

How the Company Makes Money

Pitney Bowes generates revenue through multiple streams, primarily from its Digital Commerce segment, which includes shipping solutions, software, and data analytics. This segment capitalizes on the growth of e-commerce by offering solutions that help businesses manage their shipping and logistics more efficiently. The Presort Services segment contributes to revenue by providing mail sorting and delivery services, allowing businesses to save on postage costs. Additionally, Pitney Bowes earns income from leasing mailing equipment and software subscriptions. Key partnerships with shipping carriers and integration with e-commerce platforms further enhance its offerings and revenue potential. The company's diverse product portfolio and focus on innovation in logistical solutions are significant factors contributing to its earnings.

Pitney Bowes Financial Statement Overview

Summary

Pitney Bowes faces challenges in maintaining revenue growth and profitability, with negative net income and declining revenues. The balance sheet reveals significant leverage and a negative equity position, raising concerns about financial stability. Despite positive free cash flow, the company's cash conversion efficiency is limited by ongoing losses.

Income Statement

Pitney Bowes has experienced a declining revenue trend over recent periods, with the TTM revenue decreasing to $1.97 billion from $2.03 billion in the previous year and $3.27 billion two years ago. The gross profit margin is relatively strong at approximately 54.38% for TTM, but the net profit margin is negative due to ongoing losses, reflecting profitability challenges. The EBIT margin is 15.75% for TTM, indicating some operational efficiency, but overall performance is constrained by negative net income.

Balance Sheet

The company faces significant financial leverage, with a negative stockholders' equity of -$536.809 million, resulting in an undefined debt-to-equity ratio. The equity ratio is negative due to this negative equity position, indicating a critical financial stability issue. The return on equity is also undefined due to negative equity, highlighting the company's inability to generate positive returns for shareholders.

Cash Flow

Pitney Bowes shows some strength in cash flow management, with a positive operating cash flow of $243.55 million and a free cash flow of $182.01 million for TTM. The free cash flow growth rate is positive compared to the previous period. However, the operating cash flow to net income ratio is negative due to negative net income, and the company's ability to convert earnings into cash remains a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.97B	2.03B	3.27B	3.54B	3.67B	3.55B
Gross Profit	1.06B	1.06B	1.02B	1.08B	1.17B	1.20B
EBITDA	187.63M	172.25M	230.85M	294.23M	312.91M	83.01M
Net Income	-110.45M	-203.60M	-385.63M	36.94M	3.51M	-180.38M
Balance Sheet
Total Assets	3.24B	3.40B	4.27B	4.74B	4.96B	5.22B
Cash, Cash Equivalents and Short-Term Investments	300.78M	486.10M	623.22M	681.15M	746.92M	940.42M
Total Debt	2.02B	2.05B	2.48B	2.52B	2.56B	2.78B
Total Liabilities	3.78B	3.98B	4.64B	4.68B	4.85B	5.15B
Stockholders Equity	-536.81M	-578.43M	-368.58M	60.65M	112.63M	70.62M
Cash Flow
Free Cash Flow	182.01M	156.77M	-23.41M	51.14M	117.47M	196.99M
Operating Cash Flow	243.55M	229.17M	79.47M	175.98M	301.51M	301.97M
Investing Cash Flow	-95.44M	-49.06M	-122.83M	-24.27M	-155.25M	-75.69M
Financing Cash Flow	-453.14M	-305.45M	-31.27M	-198.08M	-330.37M	-235.37M

Pitney Bowes Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 11.41
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PBI, the sentiment is Neutral. The current price of 11.41 is below the 20-day moving average (MA) of 11.83, below the 50-day MA of 11.64, and above the 200-day MA of 9.56, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 44.57 is Neutral, neither overbought nor oversold. The STOCH value of 11.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for PBI.

Pitney Bowes Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FDX	73 Outperform	$53.99B	13.42	14.68%	2.47%	0.27%	-2.64%
EXPD	72 Outperform	$16.74B	19.80	39.01%	1.21%	23.70%	31.33%
UPS	69 Neutral	$71.75B	12.58	34.96%	7.77%	0.94%	9.62%
LSTR	67 Neutral	$4.59B	27.21	17.47%	2.66%	-2.10%	-22.19%
JBHT	64 Neutral	$13.69B	24.89	14.33%	1.24%	-2.24%	-5.43%
Sector *	63 Neutral	$10.84B	15.52	7.44%	2.00%	2.86%	-14.57%
PBI	52 Neutral	$1.97B	20.22	35.20%	2.28%	-39.89%	―

Pitney Bowes Corporate Events

Pitney Bowes Issues Form 8-K on Financial Obligations

Pitney Bowes has issued a Current Report on Form 8-K, which includes forward-looking statements about the company’s future cash flows and capital allocation strategies. These statements are subject to risks and uncertainties that could cause actual results to differ materially, as outlined in the company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024.

Pitney Bowes Completes $230M Convertible Notes Offering

On August 8, 2025, Pitney Bowes completed a $230 million offering of 1.50% Convertible Senior Notes due 2030, raising approximately $221.4 million after expenses. The company used part of the proceeds for capped call transactions to mitigate stock dilution and repurchased shares, with the remainder intended for strategic investments and debt management, potentially impacting its leverage and borrowing costs.

Pitney Bowes Announces Leadership Changes and Financial Results

On July 28, 2025, Pitney Bowes announced significant leadership changes, with Paul Evans appointed as EVP, Chief Financial Officer, and Treasurer, effective July 29, 2025. Concurrently, Brent Rosenthal was named Chair of the Audit Committee, and Peter Brimm was appointed as a director of the Board. These changes are expected to impact the company’s strategic direction and governance. Additionally, Pitney Bowes disclosed strong financial results for Q2 2025, with improvements in GAAP EPS, adjusted EPS, and net income year over year. The company also increased its share repurchase authorization and adjusted its full-year revenue and EPS guidance, reflecting ongoing strategic initiatives and market positioning.