Usio Inc (USIO)
NASDAQ:USIO
Want to see USIO full AI Analyst Report?
Top Page
Usio
(NASDAQ:USIO)
Select Model
Select Model
Rating:58Neutral
Price Target:
$1.50
▲(22.95% Upside)
Action:Reiterated
Date:06/11/26
USIO’s score is driven primarily by improving fundamentals (strong revenue growth and low leverage) but held back by inconsistent profitability and negative TTM free cash flow. The latest earnings call was a clear positive with reiterated growth/EBITDA guidance and multiple record operational metrics, while technical signals are mixed and valuation support is limited due to negative earnings and no stated dividend yield.
Positive Factors
Top-line & volume growth
Sustained revenue and record processing-volume growth demonstrate durable demand for Usio's payments platform. Higher transaction dollars and counts expand fee revenue, improve unit economics and create cross-sell opportunities, supporting longer-term revenue scalability and platform stickiness.
Negative Factors
Inconsistent profitability
Erratic earnings (profitability in 2024, losses in 2025 and TTM) and a negative TTM net margin indicate unstable operating leverage. This volatility constrains reinvestment, increases sensitivity to revenue mix and interest income, and makes sustainable earnings recovery uncertain.
Read all positive and negative factors
Positive Factors
Negative Factors
Top-line & volume growth
Sustained revenue and record processing-volume growth demonstrate durable demand for Usio's payments platform. Higher transaction dollars and counts expand fee revenue, improve unit economics and create cross-sell opportunities, supporting longer-term revenue scalability and platform stickiness.
Read all positive factors
Usio (USIO) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$49.95M
Dividend YieldN/A
Average Volume (3M)46.99K
Price to Earnings (P/E)―
Beta (1Y)0.43
Revenue Growth5.81%
EPS Growth-165.27%
CountryUS
Employees107
SectorTechnology
Sector Strength88
IndustryInformation Technology Services
Share Statistics
EPS (TTM)-0.08
Shares Outstanding27,595,995
10 Day Avg. Volume22,046
30 Day Avg. Volume46,994
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 Cap0.81
Enterprise Value/Revenue0.45
Enterprise Value/Gross Profit2.08
Enterprise Value/Ebitda194.88
Forecast
1Y Price Target
$5.13Price Target Upside320.08% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering4
EPS Forecast (FY)>-0.01
Revenue Forecast (FY)$95.15M
Usio Business Overview & Revenue Model
Company Description
Usio, Inc., established in 1998 and headquartered in San Antonio, Texas, is a company specializing in delivering comprehensive electronic payment solutions to a diverse client base of merchants and enterprises throughout the United States. The com...
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:May 13, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 19, 2026
Earnings Call Sentiment Positive
The call conveyed a strongly positive operational and top-line performance with multiple record metrics (revenue +16%, payment dollars +28%, transactions +22%) and broad-based business unit growth (ACH +25%, card +23%, Output accelerating). The company achieved profitability, positive operating cash flow, and demonstrated meaningful product and cross-sell momentum (PayFac dominance, RTP growth, PostCredit rollout). Headwinds include gross margin pressure from lower interest income and product mix, a modestly higher YoY overhead, and some segments (card issuing) down this quarter with ongoing implementation/execution risk. On balance, the positive achievements, record volumes, and strategic progress materially outweigh the noted issues.Positive Updates
Record Quarter: Revenue and Volume Growth
Total revenue increased 16% year-over-year to the highest quarterly revenue in company history; total payment dollars processed were up 28% and total payment transactions processed increased 22% (record processing and transaction volumes).
Negative Updates
Gross Margin Pressure from Lower Interest Income and Mix
Margins were somewhat lower YoY driven in part by a decrease in top-line interest income (which historically carried 100% gross margin) and by revenue mix; management noted this pulled down gross margin in the quarter and expects to recover toward a ~23%–25% range in the short term.
Read all updates
Q1-2026 Updates
Positive
Negative
Record Quarter: Revenue and Volume Growth
Total revenue increased 16% year-over-year to the highest quarterly revenue in company history; total payment dollars processed were up 28% and total payment transactions processed increased 22% (record processing and transaction volumes).
Read all positive updates
Company Guidance
Usio reiterated 2026 guidance calling for 10%–12% revenue growth and continued positive adjusted EBITDA, while maintaining a goal of roughly flat cash SG&A for the balance of the year; management pointed to a record Q1 as evidence (Q1 revenue +16% YoY, card revenue +23% to $9.7M, ACH revenue +25%, Output Solutions revenue growth accelerated to 19% from 8% last quarter, business-unit growth excluding interest +17%), record processing (payment dollars processed +28%, transactions +22%), positive GAAP net income (~$130k) and positive operating cash flow with operating cash >$7.7M (up ~$300k since year-end), overhead down nearly $700k sequentially to $4.4M, prepaid card loads >$80M in Q1 and expected prepaid and card-issuing growth (including potential >$1B in state voucher disbursements), strong RTP adoption (from 2k transactions in January to >200k in April), and plans to improve margins toward ~23%–25% as mix shifts to higher‑margin RTP and digital Output while rolling out PostCredit in coming months.Usio Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
67
Positive
Cash Flow
55
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 88.85M | 85.39M | 82.93M | 82.59M | 69.43M | 61.94M |
| Gross Profit | 19.33M | 19.69M | 19.61M | 18.60M | 14.59M | 15.63M |
| EBITDA | 206.53K | -1.22K | 3.00M | 1.90M | -2.46M | 2.50M |
| Net Income | -2.15M | -2.51M | 3.31M | -475.10K | -5.48M | -321.63K |
Balance Sheet | ||||||
| Total Assets | 120.19M | 134.89M | 107.21M | 106.93M | 97.91M | 133.68M |
| Cash, Cash Equivalents and Short-Term Investments | 7.73M | 7.43M | 8.06M | 7.16M | 5.71M | 7.26M |
| Total Debt | 3.55M | 3.89M | 3.87M | 3.38M | 3.03M | 3.11M |
| Total Liabilities | 102.05M | 116.98M | 88.05M | 91.87M | 83.98M | 115.01M |
| Stockholders Equity | 18.14M | 17.91M | 19.16M | 15.07M | 13.93M | 18.67M |
Cash Flow | ||||||
| Free Cash Flow | -535.95K | 1.08M | 1.90M | 2.67M | -17.85M | 28.51M |
| Operating Cash Flow | 1.09M | 1.51M | 2.90M | 3.51M | -17.04M | 29.78M |
| Investing Cash Flow | -1.84M | -1.54M | -944.38K | -834.96K | -812.24K | -1.27M |
| Financing Cash Flow | 8.07M | 28.72M | -5.14M | 6.06M | -1.40M | 887.46K |
Usio Technical Analysis
Positive
1.22
Price Trends
1.37
Positive
1.33
Positive
1.38
Positive
Market Momentum
0.08
Negative
70.06
Negative
88.72
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For USIO, the sentiment is Positive. The current price of 1.22 is below the 20-day moving average (MA) of 1.58, below the 50-day MA of 1.37, and below the 200-day MA of 1.38, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 70.06 is Negative, neither overbought nor oversold. The STOCH value of 88.72 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for USIO.
Usio Risk Analysis
Usio disclosed 42 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 |
|---|---|---|---|---|---|---|---|
74 Outperform | $2.66B | 35.85 | 13.47% | ― | 33.01% | 44.89% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
61 Neutral | $117.76M | -60.30 | -16.25% | ― | 10.04% | 4.16% | |
58 Neutral | $49.95M | -23.31 | -11.73% | ― | 5.81% | -165.27% | |
52 Neutral | $363.90M | -1.82 | -28.61% | ― | 3.26% | -39594.38% | |
45 Neutral | $28.85M | -4.27 | -11.94% | ― | 8.43% | -395.99% | |
41 Neutral | $4.79M | -0.03 | -64.09% | ― | -23.99% | -65.39% |
* Technology Sector Average
USIO
Usio
1.81
0.43
31.16%
WYY
Widepoint
11.91
8.72
273.35%
CLPS
Clps
0.97
-0.05
-4.90%
PSFE
Paysafe
7.10
-5.42
-43.29%
NOTE
FiscalNote Holdings
0.18
-6.06
-97.13%
PAY
Paymentus Holdings
21.12
-12.39
-36.97%
Usio Corporate Events
Business Operations and StrategyExecutive/Board ChangesRegulatory Filings and ComplianceShareholder Meetings
Usio Tightens Bylaws and Confirms Board, Auditor Votes
Positive
Jun 10, 2026
On June 10, 2026, Usio, Inc. amended and restated its bylaws to introduce stricter advance notice procedures for shareholder proposals and director nominations, aligning its governance framework with the SEC’s universal proxy rules. The chan...
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.