Repay Holdings Corp (RPAY)
NASDAQ:RPAY
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Repay Holdings
(NASDAQ:RPAY)
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Rating:51Neutral
Price Target:
$2.50
▼(-18.57% Downside)
Action:ReiteratedDate:04/09/26
The score is primarily held back by inconsistent profitability despite solid cash generation (financial performance) and a weak technical setup with the stock below major moving averages. These are partially offset by a constructive 2026 guide with strong adjusted margin and free-cash-flow conversion targets, but valuation support is limited given losses and no dividend.
Positive Factors
Reliable cash generation and high FCF conversion
Repay has produced positive operating and free cash flow across the period, with FCF notably higher in 2024–2025 and management targeting >45% FCF/adjusted EBITDA for 2026. Durable cash generation supports reinvestment, M&A, buybacks or debt reduction and underpins financial flexibility even amid earnings volatility.
Negative Factors
Volatile and inconsistent profitability
Repay’s earnings profile has been uneven, with margins fluctuating and net results moving from profit to multi-year losses. Persistent volatility undermines return metrics and investor predictability, complicates reinvestment decisions, and raises the bar for sustained operational improvements required to convert strong gross margins into stable net profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Reliable cash generation and high FCF conversion
Repay has produced positive operating and free cash flow across the period, with FCF notably higher in 2024–2025 and management targeting >45% FCF/adjusted EBITDA for 2026. Durable cash generation supports reinvestment, M&A, buybacks or debt reduction and underpins financial flexibility even amid earnings volatility.
Read all positive factors
Repay Holdings (RPAY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$271.99M
Dividend YieldN/A
Average Volume (3M)1.37M
Price to Earnings (P/E)―
Beta (1Y)1.00
Revenue Growth-0.58%
EPS Growth-57.43%
CountryUS
Employees465
SectorTechnology
Sector Strength88
IndustrySoftware - Infrastructure
Share Statistics
EPS (TTM)0.19
Shares Outstanding82,169,930
10 Day Avg. Volume1,799,223
30 Day Avg. Volume1,365,884
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)0.64
Price to Sales (P/S)1.01
P/FCF Ratio3.43
Enterprise Value/Market Cap2.17
Enterprise Value/Revenue1.91
Enterprise Value/Gross Profit2.54
Enterprise Value/Ebitda-3.59
Forecast
1Y Price Target
$6.00Price Target Upside95.44% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering6
EPS Forecast (FY)0.89
Revenue Forecast (FY)$341.22M
Repay Holdings Business Overview & Revenue Model
Company Description
Repay Holdings Corporation provides integrated payment processing solutions to industry-oriented markets. The company's payment processing solutions enable consumers and businesses to make payments using electronic payment methods. It also offers ...
How the Company Makes Money
Repay primarily makes money by charging fees tied to the volume and type of payments it processes and by monetizing payment-enabled software relationships. Its key revenue streams generally include: (1) Transaction-based payment processing revenue...
Repay Holdings Earnings Call Summary
Earnings Call Date:Mar 09, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 13, 2026
Earnings Call Sentiment Positive
The call emphasized improving momentum with solid normalized revenue growth, strong adjusted EBITDA margins (~41%) and meaningful Business Payments acceleration (Q4 normalized revenue +41%, gross profit +73%). Product and AI investments, partner expansion and a constructive 2026 guide (10–12% reported growth, ~40% adjusted EBITDA margin, >45% FCF conversion target) are positive. Material negatives include a large $138.9M goodwill impairment that depressed reported earnings, increased pro forma leverage after a $110M revolver draw, and near-term implementation timing headwinds that may pressure Q1. On balance, the company’s strong adjusted financial performance, clear operational improvements and confident guidance outweigh the short-term and noncash negatives, but leverage and implementation timing are risks to monitor.Positive Updates
Normalized Q4 Revenue and Gross Profit Growth
Q4 2025 normalized revenue growth of 10% year-over-year and normalized gross profit growth of 9% YoY (excludes 2024 political media contributions); reported revenue was $78.6M and reported gross profit was $58.3M.
Negative Updates
Large Noncash Goodwill Impairment
A $138.9M noncash goodwill impairment charge related to the Consumer Payments segment materially impacted reported net income in Q4; adjusted net income was $16.8M or $0.19 per share but reported results reflect the impairment.
Read all updates
Q4-2025 Updates
Positive
Negative
Normalized Q4 Revenue and Gross Profit Growth
Q4 2025 normalized revenue growth of 10% year-over-year and normalized gross profit growth of 9% YoY (excludes 2024 political media contributions); reported revenue was $78.6M and reported gross profit was $58.3M.
Read all positive updates
Company Guidance
Repay guided to full‑year 2026 revenue of $340–346 million (10–12% reported growth; ~7–9% normalized growth excluding an expected $8–10 million of political media revenue, ~3 percentage points of reported growth), adjusted EBITDA of $136.5–141.5 million (~40% margin), and a free cash flow conversion target above 45% (FCF/adjusted EBITDA); expected interest expense is about $15 million. Management said Q1 growth will be below the full‑year pace due to implementation timing and prior churn with a rebound to strong double‑digit normalized growth in H2, and noted a $15 million TRA payment in Q1. Capital allocation priorities for 2026 are organic OpEx for growth, strategic M&A/partnerships, prudent product/technology CapEx, up to $23 million remaining for share repurchases, and potential debt reduction; post‑January pro forma liquidity and leverage metrics were ~ $79 million pro forma cash, $398 million pro forma debt, ~$219 million total liquidity (including $140 million undrawn revolver) and ~2.5x pro forma net leverage.Repay Holdings Financial Statement Overview
Summary
Income Statement
35
Negative
Balance Sheet
55
Neutral
Cash Flow
64
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 309.26M | 313.04M | 296.63M | 279.23M | 219.26M |
| Gross Profit | 232.02M | 241.41M | 226.92M | 214.40M | 163.77M |
| EBITDA | -160.96M | 100.66M | 58.48M | 127.04M | 35.26M |
| Net Income | -256.72M | -10.16M | -110.49M | 12.84M | -50.08M |
Balance Sheet | |||||
| Total Assets | 1.20B | 1.57B | 1.52B | 1.63B | 1.69B |
| Cash, Cash Equivalents and Short-Term Investments | 115.69M | 189.53M | 118.10M | 64.89M | 50.05M |
| Total Debt | 436.88M | 508.51M | 443.04M | 461.88M | 459.57M |
| Total Liabilities | 717.97M | 798.74M | 689.04M | 698.51M | 772.80M |
| Stockholders Equity | 484.43M | 761.27M | 815.13M | 894.56M | 874.00M |
Cash Flow | |||||
| Free Cash Flow | 91.11M | 105.24M | 39.25M | 34.68M | 29.82M |
| Operating Cash Flow | 91.11M | 150.09M | 103.61M | 74.22M | 53.33M |
| Investing Cash Flow | -41.98M | -44.85M | -24.09M | -39.54M | -397.33M |
| Financing Cash Flow | -130.19M | -12.67M | -28.94M | -17.46M | 313.84M |
Repay Holdings Technical Analysis
Positive
3.07
Price Trends
2.96
Positive
3.25
Negative
4.14
Negative
Market Momentum
>-0.01
Negative
56.34
Neutral
81.05
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RPAY, the sentiment is Positive. The current price of 3.07 is above the 20-day moving average (MA) of 2.81, above the 50-day MA of 2.96, and below the 200-day MA of 4.14, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 56.34 is Neutral, neither overbought nor oversold. The STOCH value of 81.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RPAY.
Repay Holdings Risk Analysis
Repay Holdings disclosed 46 risk factors in its most recent earnings report. Repay 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
Repay Holdings Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $316.21M | 37.12 | 17.19% | ― | 32.61% | -8.26% | |
71 Outperform | $1.66B | 27.73 | 9.84% | ― | 10.58% | -45.52% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
60 Neutral | $634.81M | 308.05 | 0.58% | ― | -23.69% | -95.61% | |
58 Neutral | $395.79M | 7.81 | -43.23% | ― | 9.51% | ― | |
51 Neutral | $271.99M | -1.22 | -17.60% | ― | -0.58% | -57.43% | |
47 Neutral | $266.50M | -0.40 | -139.50% | ― | 101.97% | 58.61% |
* Technology Sector Average
RPAY
Repay Holdings
3.07
-1.35
-30.54%
IIIV
I3 Verticals
21.43
-3.48
-13.97%
PAYS
PaySign
5.72
3.57
166.05%
PRTH
Priority Technology Holdings
4.93
-1.92
-28.03%
PAYO
Payoneer
4.97
-1.46
-22.71%
BKKT
Bakkt Holdings, Inc. Class A
8.98
0.55
6.52%
Repay Holdings Corporate Events
Business Operations and Strategy
Repay Holdings Adopts Stockholder Rights Plan to Deter Takeovers
Neutral
Apr 14, 2026
On April 13, 2026, Repay Holdings’ board declared a dividend of one preferred share purchase right for each outstanding Class A common share and adopted a limited-duration stockholder rights plan in response to significant recent accumulatio...
Business Operations and StrategyFinancial Disclosures
Repay Holdings Reports 2025 Results and Sets 2026 Outlook
Positive
Mar 9, 2026
On March 9, 2026, Repay Holdings reported fourth-quarter and full-year 2025 results showing flat reported revenue at $78.6 million and a 2% decline in gross profit, reflecting tough comparisons to 2024 political media volumes. The company posted a...
Business Operations and StrategyExecutive/Board Changes
Repay Holdings Sets 2026 Executive Bonus Plan Framework
Neutral
Feb 25, 2026
On February 19, 2026, Repay Holdings’ compensation committee set the 2026 annual cash bonus framework for executive officers, tying individual targets to 50%–100% of base salary. For the performance period from January 1 to December 31...
Business Operations and StrategyExecutive/Board Changes
Repay Holdings Announces Co‑Founder and President’s Departure
Neutral
Feb 12, 2026
Repay Holdings Corporation, a provider of integrated payment processing solutions for specialized industry verticals, operates a proprietary technology platform designed to reduce the complexity of electronic transactions. The company focuses on e...
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.