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Psq Holdings, Inc. (PSQH)
:PSQH
US Market
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PSQ Holdings (PSQH) AI Stock Analysis

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PSQH

PSQ Holdings

(NYSE:PSQH)

Rating:48Neutral
Price Target:
$1.50
▼(-6.83% Downside)
PSQ Holdings faces significant challenges with profitability and cash flow, reflected in a low valuation score. However, positive earnings call developments and strategic corporate events provide some optimism for future growth.
Positive Factors
Capital Position
Following a $36.2M capital raise, the company has sufficient capital to fund operations and growth going forward.
Growth Opportunities
The bold move to focus exclusively on fintech is welcomed, given the significant growth opportunities and the company’s clear vision and strong execution, particularly in its payments business.
Strategic Transformation
The plan to sell EveryLife and either sell or repurpose the Marketplace segment to focus exclusively on its fintech segment is seen as a transformational shift.
Negative Factors
Financial Performance
PSQH reported 2Q25 results with revenue and adjusted EBITDA both below expectations.
Monetization Challenges
Revenue forecast for 1Q25 was lowered to better account for the cadence of FinTech monetization efforts, indicating potential challenges in achieving initial targets.

PSQ Holdings (PSQH) vs. SPDR S&P 500 ETF (SPY)

PSQ Holdings Business Overview & Revenue Model

Company DescriptionPSQ Holdings, Inc. (PSQH) is a company engaged in providing technology-driven solutions and services across various sectors. The company specializes in offering innovative software, data analytics, and digital transformation services that cater to a diverse range of industries, enhancing operational efficiency and business performance.
How the Company Makes MoneyPSQ Holdings generates revenue primarily through its portfolio of technology solutions and services. The company earns income by licensing its software products, providing subscription-based services, and offering consulting and implementation services to its clients. Key revenue streams include long-term service contracts, software-as-a-service (SaaS) offerings, and customized technology solutions. Partnerships with other technology firms and industry leaders also play a significant role in expanding PSQH's market reach and enhancing its service offerings, contributing to its overall earnings.

PSQ Holdings Earnings Call Summary

Earnings Call Date:Aug 12, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Positive
The earnings call highlighted PublicSquare's strong revenue growth, successful cost reductions, and strategic focus on fintech and AI-driven improvements. However, challenges such as declining gross margins, cash flow issues, and delays in merchant onboarding were noted. Overall, the positive developments in revenue and operational efficiency suggest an optimistic outlook.
Q2-2025 Updates
Positive Updates
Revenue Growth
PublicSquare reported net revenue of $7.1 million for Q2 2025, marking an 18% year-over-year increase from $6 million in Q2 2024.
Financial Technology Segment Performance
The Financial Technology segment, which includes PSQ Payments and Credova, saw a 15.6% increase in revenue year-over-year. PSQ Payments revenue increased by over 80% from Q1 2025.
Operating Expense Reduction
Total costs and operating expenses declined by 13% or $4.8 million year-over-year, contributing to a 46% improvement in net loss for the first half of 2025.
Successful Operational Reorganization
The company has already realized $9 million of the expected $11 million in annualized savings from its reorganization efforts, ahead of schedule.
AI-Driven Credit Portfolio Improvement
AI-driven underwriting and machine learning have decreased first payment default rates by 74.8% over the last 9 months.
Negative Updates
Decline in Gross Margin
Gross margin decreased from 67% in Q2 2024 to 53% in Q2 2025 due to revenue mix changes.
Cash Flow Challenges
Net cash from operating activities decreased by $5.7 million during the first half of 2025 compared to the same period of the prior year.
Delayed Merchant Onboarding
Onboarding of payment customers has taken longer than anticipated, delaying expected revenue ramp-up in the second half of the year.
Company Guidance
During the PublicSquare Second Quarter 2025 Earnings Conference Call, the company reported a net revenue of $7.1 million for the quarter, reflecting an 18% year-over-year increase. Financial Technology, including PSQ Payments and Credova, generated $3.4 million in revenue, with a 15.6% increase from the previous year. PSQ Payments alone saw a revenue of $1 million, marking an 80% increase from Q1 2025. Brands, driven by EveryLife, earned $3.3 million, a 45.5% rise year-over-year. The company achieved significant operating expense reductions, decreasing total costs by 13% year-over-year, while net loss improved by 46%, from $23.8 million to $12.8 million. Moreover, gross margin stood at 53%, compared to 67% in Q2 2024. PublicSquare also reported holding $20.6 million in cash as of June 30, 2025. The company announced a strategic shift to focus on financial technology by monetizing non-core segments like EveryLife and Marketplace, aiming to enhance long-term shareholder value through fintech innovations and a streamlined operational focus.

PSQ Holdings Financial Statement Overview

Summary
PSQ Holdings shows revenue growth but struggles with profitability and cash flow. Improved leverage management is a positive, but negative net profit margins and cash flow issues highlight significant financial challenges.
Income Statement
35
Negative
PSQ Holdings shows a consistent increase in revenue, with a TTM revenue growth rate of 4.15%. However, the company is struggling with profitability, as indicated by negative net profit margins (-1.69% TTM) and EBIT margins (-1.30% TTM). The gross profit margin has improved to 66.94% TTM, but the overall profitability remains a concern due to high operating losses.
Balance Sheet
40
Negative
The company's debt-to-equity ratio has improved to 0.22 TTM from 1.21 in the previous year, indicating better leverage management. However, the return on equity remains negative (-234.23% TTM), reflecting ongoing losses. The equity ratio is relatively stable, suggesting a balanced asset structure, but the negative ROE highlights the need for improved profitability.
Cash Flow
30
Negative
PSQ Holdings faces challenges with negative operating cash flow and free cash flow, although the free cash flow to net income ratio is close to 1, indicating efficient cash usage relative to net losses. The free cash flow growth rate is negative, suggesting cash flow issues that need addressing to support future growth.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue27.58M23.20M5.69M475.18K8.84K
Gross Profit16.23M14.07M1.89M-241.00K-116.13K
EBITDA-38.41M-52.13M-30.06M-6.20M-2.17M
Net Income-46.69M-57.69M-53.33M-6.98M3.73M
Balance Sheet
Total Assets65.45M74.89M25.25M4.22M1.02M
Cash, Cash Equivalents and Short-Term Investments24.94M36.32M16.45M2.33M399.40K
Total Debt33.28M32.51M327.37K299.04K0.00
Total Liabilities43.00M48.04M14.81M814.25K155.81K
Stockholders Equity22.45M26.85M10.43M3.40M860.50K
Cash Flow
Free Cash Flow-33.68M-34.13M-29.26M-7.59M-973.48K
Operating Cash Flow-34.60M-34.13M-25.76M-6.03M-973.48K
Investing Cash Flow-9.58M-3.02M-3.32M-1.55M-172.50M
Financing Cash Flow49.31M57.29M43.20M9.52M174.31M

PSQ Holdings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.61
Price Trends
50DMA
2.02
Negative
100DMA
2.04
Negative
200DMA
2.69
Negative
Market Momentum
MACD
-0.12
Positive
RSI
41.54
Neutral
STOCH
20.43
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PSQH, the sentiment is Negative. The current price of 1.61 is below the 20-day moving average (MA) of 1.78, below the 50-day MA of 2.02, and below the 200-day MA of 2.69, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 41.54 is Neutral, neither overbought nor oversold. The STOCH value of 20.43 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PSQH.

PSQ Holdings Risk Analysis

PSQ Holdings disclosed 100 risk factors in its most recent earnings report. PSQ Holdings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

PSQ Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$35.09B8.26-10.59%1.90%8.56%-9.51%
59
Neutral
$103.22M-30.88%14.85%-460.91%
54
Neutral
$81.43M-208.78%-12.09%62.51%
48
Neutral
$73.92M-269.26%93.83%23.31%
46
Neutral
$958.28M-46.05%926.05%68.96%
44
Neutral
$90.05M-137.76%-24.89%-72.84%
33
Underperform
$29.13M-150.70%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PSQH
PSQ Holdings
1.65
-1.05
-38.89%
ALTS
ALT5 Sigma Corporation
4.49
2.30
105.02%
LPSN
Liveperson
0.89
-0.24
-21.24%
UPLD
Upland Software
2.72
0.60
28.30%
RSSS
Research Solutions
3.28
0.67
25.67%
CSAI
Cloudastructure, Inc. Class A
1.39
-24.02
-94.53%

PSQ Holdings Corporate Events

Legal Proceedings
PSQ Holdings Closes CFPB Investigation on Credova
Positive
Aug 20, 2025

On August 19, 2025, PSQ Holdings, Inc. announced the closure of a politically motivated investigation by the Consumer Financial Protection Bureau (CFPB) into its subsidiary, Credova Financial LLC. The investigation, which began in February 2021, was deemed biased and aimed at suppressing Credova’s activities related to the Second Amendment. The closure is seen as a victory for PublicSquare, affirming its commitment to liberty and the constitutional rights of its stakeholders.

Business Operations and StrategyFinancial Disclosures
PublicSquare Reports Q2 Revenue Growth and Fintech Focus
Positive
Aug 12, 2025

On August 12, 2025, PublicSquare reported its financial results for the second quarter of 2025, highlighting an 18% increase in net revenue compared to the previous year and a strategic repositioning to boost its fintech segment. The company plans to focus on fintech growth by offering bundled financial solutions, monetize its non-core segments, and implement cryptocurrency and decentralized finance solutions. These initiatives aim to drive scalable growth, improve capital efficiency, and enhance shareholder value, with anticipated proceeds from monetization efforts supporting further fintech innovation.

Executive/Board ChangesBusiness Operations and Strategy
PSQ Holdings Appoints Caitlin Long to Board
Positive
Jul 30, 2025

On July 28, 2025, PSQ Holdings appointed Caitlin Long to its board of directors as an independent Class I director. Ms. Long, a renowned expert in Bitcoin and crypto finance, brings over 30 years of experience in financial services, including her role as Founder and CEO of Custodia Bank. Her appointment aligns with PublicSquare’s strategic focus on enhancing its fintech capabilities, particularly in digital asset treasury management and payment infrastructure. This move follows the company’s May 2025 announcement to develop a Digital Asset Treasury Strategy, which includes integrating stablecoins into its ecosystem to advance payment solutions.

Executive/Board ChangesShareholder Meetings
PSQ Holdings Elects New Directors at Annual Meeting
Neutral
Jun 3, 2025

On May 29, 2025, PSQ Holdings, Inc. held its annual meeting of stockholders where two key proposals were presented. The first proposal involved the election of Blake Masters and Dusty Wunderlich as Class II directors until the 2028 annual meeting, both of whom were elected with significant support. The second proposal was the ratification of UHY LLP as the company’s independent registered public accounting firm for the fiscal year ending December 31, 2025, which was also approved by the stockholders.

Business Operations and Strategy
PSQ Holdings Explores Digital Asset Treasury Strategy
Positive
May 27, 2025

On May 27, 2025, PSQ Holdings announced its plan to explore a Digital Asset Treasury Strategy as part of its fintech roadmap. This strategy involves potentially allocating a portion of its treasury into digital assets like Bitcoin and stablecoins to diversify reserves and enhance capital efficiency. The company aims to integrate stablecoins into its ecosystem to transform payment systems and boost its fintech offerings. This move positions PublicSquare as a leader in financial innovation, aligning with the growing trend of institutional adoption of digital assets.

Executive/Board ChangesPrivate Placements and Financing
PSQ Holdings Announces $50M At-Market Offering
Positive
May 23, 2025

On May 23, 2025, PSQ Holdings, Inc. announced an At the Market Offering Agreement with Roth Capital Partners and Texas Capital Securities, allowing the company to sell shares of its Class A common stock up to $50 million. This strategic move is expected to provide financial flexibility and support the company’s growth initiatives. Additionally, the company appointed James Rinn as Chief Financial Officer, effective June 1, 2025, succeeding Brad Searle. Rinn brings over 30 years of financial leadership experience, which is anticipated to strengthen the company’s financial management and strategic positioning.

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.Date of analysis: Aug 21, 2025