Priority Technology Holdings (PRTH) AI Stock Analysis

• Market Cap: $554.63M
• Dividend Yield: N/A
• Average Volume (3M): 427.36K
• Price to Earnings (P/E): 18.6
• Beta (1Y): 1.46
• Revenue Growth: 9.51%
• EPS Growth: N/A
• Country: US
• Employees: 1,005
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.28
• Shares Outstanding: 79,917,920
• 10 Day Avg. Volume: 381,507
• 30 Day Avg. Volume: 427,364
• PEG Ratio: -0.75
• Price to Book (P/B): -5.49
• Price to Sales (P/S): 1.04
• P/FCF Ratio: 14.34
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $10.80
• Price Target Upside: 121.77% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: $5.00 ▲(2.67% Upside)

Priority Technology Holdings faces significant financial risks due to negative equity and high leverage, which weigh heavily on the overall score. Despite strong cash flow growth and positive developments in certain business segments, the stock is under bearish technical pressure. Valuation is fair, but not compelling enough to offset financial concerns. The earnings call provided some positive insights, but challenges remain, particularly in the Merchant Solutions segment.

Positive Factors

Revenue Growth

Consistent revenue growth indicates robust demand for PRTH's payment solutions, enhancing long-term market position and financial stability.

Strategic Acquisitions

Strategic acquisitions expand service offerings and customer base, strengthening competitive edge and supporting sustainable growth.

Segment Performance

Strong performance in key segments demonstrates effective business strategy and potential for continued margin expansion and profitability.

Negative Factors

Debt Levels and Leverage

High debt levels and leverage ratios pose risks to financial flexibility, potentially impacting future investment and growth opportunities.

Revised Revenue Guidance

Lowered revenue guidance reflects challenges in the Merchant Solutions segment, indicating potential headwinds in achieving growth targets.

Operating Expenses

Rising operating expenses could pressure margins and profitability, challenging the company's ability to maintain cost efficiency.

Priority Technology Holdings Business Overview & Revenue Model

Company Description

Priority Technology Holdings, Inc. (PRTH) is a leading provider of integrated payment processing and technology solutions, serving a diverse range of sectors including e-commerce, retail, and financial services. The company specializes in delivering innovative payment technologies, mobile point-of-sale solutions, and other value-added services designed to enhance the payment experience for merchants and consumers alike. With a robust platform that supports multiple payment methods and channels, PRTH aims to simplify transactions while providing secure and efficient payment processing solutions.

How the Company Makes Money

Priority Technology Holdings generates revenue primarily through its payment processing services, which include transaction fees charged to merchants for processing credit and debit card transactions. The company also earns income through value-added services such as fraud prevention, data analytics, and customer loyalty programs. Additionally, PRTH has established partnerships with various financial institutions and technology providers, which contribute to its revenue by expanding its service offerings and customer base. Key revenue streams include fees from transaction processing, subscription fees for value-added services, and commissions from referral partnerships, all of which are supported by the increasing demand for digital payment solutions in an evolving marketplace.

Priority Technology Holdings Financial Statement Overview

Summary

Priority Technology Holdings demonstrates moderate revenue growth and profitability, but faces significant financial risks due to negative equity and high leverage. The company shows strong cash flow growth, which is a positive sign for liquidity. However, improving financial stability and equity position should be a priority to enhance overall financial health.

Income Statement

Priority Technology Holdings shows a moderate revenue growth rate of 1.57% TTM, indicating steady expansion. The gross profit margin of 33.58% and EBIT margin of 15.18% TTM reflect decent profitability, though slightly below industry leaders. The net profit margin of 4.09% TTM is modest, suggesting room for improvement in cost management and efficiency.

Balance Sheet

The company has a concerning negative stockholders' equity, leading to a high and negative debt-to-equity ratio of -6.31 TTM, indicating financial instability. Return on equity is also negative, reflecting challenges in generating returns for shareholders. The equity ratio is not available due to negative equity, highlighting potential financial risk.

Cash Flow

The cash flow statement shows a strong free cash flow growth rate of 32.69% TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio of 0.06 TTM suggests limited cash conversion efficiency, but the free cash flow to net income ratio of 0.68 TTM is healthy, reflecting good cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	932.95M	879.70M	755.61M	663.64M	514.90M	404.34M
Gross Profit	317.23M	328.08M	275.31M	226.89M	155.02M	126.97M
EBITDA	143.88M	184.27M	151.66M	126.57M	82.31M	167.57M
Net Income	54.59M	24.02M	-1.31M	-2.15M	1.39M	71.06M
Balance Sheet
Total Assets	2.22B	1.83B	1.62B	1.37B	1.35B	417.83M
Cash, Cash Equivalents and Short-Term Investments	56.98M	58.60M	39.60M	18.45M	20.30M	9.24M
Total Debt	10.00M	930.39M	638.68M	605.13M	610.30M	377.31M
Total Liabilities	2.33B	1.99B	1.50B	1.24B	1.21B	516.39M
Stockholders Equity	-108.51M	-166.84M	110.89M	131.54M	145.92M	-98.56M
Cash Flow
Free Cash Flow	63.32M	63.92M	60.00M	51.64M	-49.80M	34.05M
Operating Cash Flow	86.92M	85.61M	81.26M	70.52M	9.38M	47.07M
Investing Cash Flow	-162.71M	-35.55M	-55.75M	-36.50M	-451.03M	166.40M
Financing Cash Flow	351.50M	147.58M	210.10M	8.50M	871.63M	-175.81M

Priority Technology Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.87
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PRTH, the sentiment is Negative. The current price of 4.87 is below the 20-day moving average (MA) of 6.90, below the 50-day MA of 7.20, and below the 200-day MA of 7.85, indicating a bearish trend. The MACD of -0.40 indicates Positive momentum. The RSI at 24.97 is Positive, neither overbought nor oversold. The STOCH value of 15.57 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PRTH.

Priority Technology Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CCSI	59 Neutral	$544.64M	7.16	―	―	-0.44%	-7.23%
PRTH	58 Neutral	$554.63M	18.64	―	―	9.51%	―
BAND	52 Neutral	$435.24M	―	-3.20%	―	7.42%	34.42%
DAVA	52 Neutral	$482.97M	19.44	3.37%	―	7.13%	23.63%
RPAY	48 Neutral	$336.93M	―	-15.33%	―	1.45%	-28.78%
REKR	44 Neutral	$272.88M	―	-128.83%	―	7.05%	19.75%

Priority Technology Holdings Corporate Events

Priority Technology Holdings Reports Strong Q3 2025 Results

On November 6, 2025, Priority Technology Holdings announced its third quarter 2025 financial results, highlighting a 6.3% increase in revenue to $241.4 million and a 10.2% rise in adjusted gross profit to $94.8 million compared to the same quarter in 2024. The company achieved significant operational milestones, such as launching a residual financing facility, activating card acquiring in Canada, and acquiring assets from Boom Commerce and Dealer Merchant Services, which contributed to its strong performance and reinforced its platform’s strength.

The most recent analyst rating on (PRTH) stock is a Hold with a $7.50 price target. To see the full list of analyst forecasts on Priority Technology Holdings stock, see the PRTH Stock Forecast page.

Priority Technology Completes Dealer Merchant Services Acquisition

On October 1, 2025, Priority Technology Holdings, Inc. completed the acquisition of Dealer Merchant Services’ assets, a reseller in the auto and truck dealership sector, for $35 million in cash and additional earnout payments. This strategic acquisition is expected to enhance Priority’s offerings in the automotive dealership arena and contribute approximately $3 million in incremental revenue and over $1 million in adjusted EBITDA in Q4 2025.

The most recent analyst rating on (PRTH) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Priority Technology Holdings stock, see the PRTH Stock Forecast page.

Priority Technology Holdings Acquires Boom Commerce Assets

On August 18, 2025, Priority Technology Holdings, Inc. announced the acquisition of Boom Commerce’s payment processing assets and secured a $50 million financing facility. The acquisition is expected to enhance Priority’s direct sales channel and provide approximately $5 million in incremental revenue in 2025. The financing facility will support Priority’s expansion into alternative financing solutions, offering flexibility to its reseller base and reinforcing its market positioning.

The most recent analyst rating on (PRTH) stock is a Hold with a $8.50 price target. To see the full list of analyst forecasts on Priority Technology Holdings stock, see the PRTH Stock Forecast page.

Priority Technology Holdings Reports Strong Q2 2025 Earnings

Priority Technology Holdings’ recent earnings call showcased a robust performance, marked by significant growth in key financial metrics and strategic initiatives. Despite facing challenges in the SMB segment and increased operating expenses, the company’s highlights, including refinancing and increased revenue guidance, significantly outweighed the lowlights.

Priority Technology Holdings Reports Strong Q2 Growth

Priority Technology Holdings, Inc., a company specializing in payments and banking solutions, has reported a strong financial performance for the second quarter of 2025, driven by its Unified Commerce Platform. The company, which operates in the financial services sector, focuses on streamlining financial operations for businesses through its comprehensive platform.

Priority Technology Holdings Reports Strong Q2 2025 Results

On August 7, 2025, Priority Technology Holdings announced its second quarter 2025 financial results, highlighting a strong year-over-year revenue growth of 9.1% and a 13% increase in adjusted gross profit. The company reported significant growth in its B2B and Enterprise segments and raised its full-year revenue guidance to a range of $970 million to $990 million. The results reflect Priority’s successful positioning in the market and its ability to provide comprehensive payment and banking solutions, with a notable increase in recurring revenue contributing to 62% of total adjusted gross profit.

The most recent analyst rating on (PRTH) stock is a Buy with a $10.00 price target. To see the full list of analyst forecasts on Priority Technology Holdings stock, see the PRTH Stock Forecast page.