Paymentus Positioned Well Despite Conservative Guidance, Wedbush Says

MT Newswires Live02-25 00:38

Paymentus (PAY) delivered strong Q4 results but issued cautious guidance for fiscal 2026, reflecting a more measured outlook amid broader uncertainty across the fintech sector, Wedbush Securities said in a Tuesday note.

Paymentus reported Q4 revenue of $330.5 million, up 28% year over year and above expectations, Wedbush said, driven by higher transaction volumes from new and existing billers. Total transactions reached 192.7 million, while adjusted earnings before interest, taxes, depreciation and amortization of $39.9 million also beat estimates.

Despite the strong results, the company guided fiscal 2026 revenue to $1.39 billion to $1.41 billion, slightly below analyst estimates, while adjusted EBITDA of $157 million to $167 million was largely in line with expectations. Analysts surveyed by FactSet expect $1.41 billion in revenue.

Wedbush said Paymentus remains well positioned to benefit from the ongoing shift toward digital bill payments and expanding adoption among large enterprise customers.

The firm maintained its outperform rating on the stock but lowered its price target to $32 from $40.

Shares of the company were down 2% in recent trading.

Price: 23.97, Change: -0.43, Percent Change: -1.78

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