Usio (USIO)
NASDAQ:USIO
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Usio
(NASDAQ:USIO)
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Rating:51Neutral
Price Target:
$1.00
▼(-15.25% Downside)
Action:ReiteratedDate:03/24/26
The score is driven mainly by mixed fundamentals: solid revenue growth and manageable leverage, but unstable profitability and volatile free cash flow. Technicals are notably weak (below major moving averages with negative MACD and oversold momentum), which pressures near-term outlook. Earnings commentary and recent updates are moderately positive on volume growth and cash generation, partially offset by segment headwinds and softer EBITDA.
Positive Factors
Revenue & payment volume growth
Sustained double-digit payment volume and transaction growth reflects stronger platform adoption and scale in core processing. Higher volumes improve take-rate leverage, support fee revenue growth across rails, and create durable operating scale that can strengthen unit economics over multiple quarters.
Negative Factors
Inconsistent profitability and thin margins
Thin gross margins and a reversion to net losses undermine sustainable profitability and limit free cash generation under stress. Persistent margin pressure reduces the cushion for investments and makes long-term returns sensitive to pricing, mix shifts, and cost execution.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & payment volume growth
Sustained double-digit payment volume and transaction growth reflects stronger platform adoption and scale in core processing. Higher volumes improve take-rate leverage, support fee revenue growth across rails, and create durable operating scale that can strengthen unit economics over multiple quarters.
Read all positive factors
Usio (USIO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$32.74M
Dividend YieldN/A
Average Volume (3M)48.49K
Price to Earnings (P/E)―
Beta (1Y)0.30
Revenue Growth3.24%
EPS Growth-115.15%
CountryUS
Employees107
SectorTechnology
Sector Strength88
IndustryInformation Technology Services
Share Statistics
EPS (TTM)-0.05
Shares Outstanding27,746,208
10 Day Avg. Volume30,509
30 Day Avg. Volume48,486
Financial Highlights & Ratios
PEG Ratio0.08
Price to Book (P/B)2.04
Price to Sales (P/S)0.43
P/FCF Ratio33.95
Enterprise Value/Market Cap0.89
Enterprise Value/Revenue0.34
Enterprise Value/Gross Profit1.48
Enterprise Value/Ebitda-97.85
Forecast
1Y Price Target
$4.00Price Target Upside238.98% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
EPS Forecast (FY)-0.04
Revenue Forecast (FY)$93.97M
Usio Business Overview & Revenue Model
Company Description
Usio, Inc., together with its subsidiaries, provides integrated electronic payment processing services to merchants and businesses in the United States. The company offers various types of automated clearing house (ACH) processing; and credit, pre...
How the Company Makes Money
Usio primarily makes money by earning fees tied to the processing, enablement, and facilitation of electronic payments for its customers. Key revenue streams generally include: (1) payment processing fees from handling transactions across payment ...
Usio Earnings Call Summary
Earnings Call Date:Nov 12, 2025
(Q3-2025)
| % Change Since: |
Next Earnings Date:May 20, 2026
Earnings Call Sentiment Positive
The earnings call highlighted strong operational metrics, including record transaction volumes and significant growth in key segments like ACH and PayFac. The company maintained positive cash flow and continues to invest in future growth and innovation. However, there were challenges in card issuing and a decrease in adjusted EBITDA, as well as slower-than-desired customer implementations.Positive Updates
Record Processing and Transaction Volumes
Seven quarterly processing volume records were set, including a record quarterly overall transaction volume of 16,200,000, up 8% year over year.
Negative Updates
Weakness in Card Issuing and Interest Income
Total revenues were relatively unchanged from the year-ago quarter due to continued weakness in card issuing and a decline in interest income.
Read all updates
Q3-2025 Updates
Positive
Negative
Record Processing and Transaction Volumes
Seven quarterly processing volume records were set, including a record quarterly overall transaction volume of 16,200,000, up 8% year over year.
Read all positive updates
Company Guidance
During the Usio Third Quarter Fiscal 2025 Earnings Conference Call, the company reported several positive metrics despite some challenges. Usio set seven quarterly processing volume records, including a record overall transaction volume of 16.2 million, marking an 8% increase year-over-year. ACH was a standout performer with a 30% revenue increase compared to the previous year. Revenue saw a $1.2 million sequential increase, although total revenues remained relatively unchanged from the previous year due to weakness in card issuing and a decline in interest income. Adjusted EBITDA was $368,000, down from $500,000 in the second quarter, while operating cash flow was strong at $1.4 million. Cash reserves increased by over $200,000, reaching over $7.8 million, allowing for potential strategic acquisitions. Usio also repurchased $60,000 worth of shares, bringing total repurchases to $750,000. The company anticipates continued growth, propelled by a strong pipeline of opportunities, new product launches, and technological upgrades.Usio Financial Statement Overview
Summary
Income Statement
46
Neutral
Balance Sheet
63
Positive
Cash Flow
52
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 85.39M | 82.93M | 82.59M | 69.43M | 61.94M |
| Gross Profit | 19.69M | 19.61M | 18.60M | 14.59M | 15.63M |
| EBITDA | -298.38K | 3.00M | 1.90M | -2.46M | 2.50M |
| Net Income | -2.51M | 3.31M | -475.10K | -5.48M | -321.63K |
Balance Sheet | |||||
| Total Assets | 134.89M | 107.21M | 106.93M | 97.91M | 133.68M |
| Cash, Cash Equivalents and Short-Term Investments | 7.43M | 8.06M | 7.16M | 5.71M | 7.26M |
| Total Debt | 3.89M | 3.87M | 3.38M | 3.03M | 3.11M |
| Total Liabilities | 116.98M | 88.05M | 91.87M | 83.98M | 115.01M |
| Stockholders Equity | 17.91M | 19.16M | 15.07M | 13.93M | 18.67M |
Cash Flow | |||||
| Free Cash Flow | 1.08M | 1.90M | 2.67M | -17.85M | 28.51M |
| Operating Cash Flow | 1.51M | 2.90M | 3.51M | -17.04M | 29.78M |
| Investing Cash Flow | -1.54M | -944.38K | -834.96K | -812.24K | -1.27M |
| Financing Cash Flow | 28.72M | -5.14M | 6.06M | -1.40M | 887.46K |
Usio Technical Analysis
Neutral
1.18
Price Trends
1.28
Negative
1.33
Negative
1.43
Negative
Market Momentum
-0.03
Negative
46.65
Neutral
68.71
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For USIO, the sentiment is Neutral. The current price of 1.18 is above the 20-day moving average (MA) of 1.17, below the 50-day MA of 1.28, and below the 200-day MA of 1.43, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 46.65 is Neutral, neither overbought nor oversold. The STOCH value of 68.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for USIO.
Usio Risk Analysis
Usio disclosed 44 risk factors in its most recent earnings report. Usio 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
Usio Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | $3.14B | 61.03 | 12.67% | ― | 44.34% | 45.96% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
53 Neutral | $47.29M | ― | -22.36% | ― | 9.62% | 26.59% | |
51 Neutral | $32.74M | -14.58 | -13.52% | ― | 3.24% | -115.15% | |
51 Neutral | $29.74M | 70.02 | -11.94% | ― | 15.17% | -172.09% | |
50 Neutral | $291.22M | -2.58 | -24.06% | ― | -0.95% | -456.64% | |
42 Neutral | $4.26M | -0.32 | -64.09% | ― | -17.90% | -67.81% |
* Technology Sector Average
USIO
Usio
1.18
-0.18
-13.24%
WYY
Widepoint
4.79
2.03
73.55%
CLPS
Clps
1.00
<0.01
0.91%
PSFE
Paysafe
7.34
-6.85
-48.27%
NOTE
FiscalNote Holdings
0.22
-7.72
-97.23%
PAY
Paymentus Holdings
24.96
-1.51
-5.70%
Usio Corporate Events
Business Operations and StrategyFinancial Disclosures
Usio Reports Record 2025 Payment Volumes, Eyes 2026 Growth
Positive
Jan 27, 2026
On January 21, 2026, Usio published its 2025 annual shareholder letter, highlighting a year of record operational metrics driven by its diversified payments platform despite certain business headwinds. Preliminary 2025 data showed payment volume r...
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.