Update shared on 21 Oct 2025
Fair value Increased 6.45%Analysts have increased their price target for PayPoint from £8.85 to £9.42 per share, citing modest adjustments in fair value estimates and refinements to financial model assumptions.
What's in the News
- PayPoint and International Distribution Services (IDS) will invest £43.9 million in Collect+, acquiring a 49% ownership stake and valuing Collect+ at £90 million (Key Developments).
- As part of the Collect+ investment, PayPoint announced a special dividend of 50.0 pence per share, subject to shareholder approval. A share consolidation of 12 for 13 has also been proposed (Key Developments).
- A Special General Meeting is scheduled for 17 October 2025 at company headquarters for shareholders to approve the dividend and consolidation (Key Developments).
- PayPoint will partner with Lloyds Banking Group to offer cash deposits at over 30,000 UK locations starting 26 August 2025. This will enhance access to cash services for Lloyds, Halifax, and Bank of Scotland customers (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from £8.85 to £9.42 per share.
- Discount Rate has decreased marginally, moving from 8.13% to 8.02%.
- Revenue Growth projections remain effectively unchanged at around negative 9.66%.
- Net Profit Margin is stable, holding at approximately 36.75%.
- Future P/E ratio has declined modestly from 8.75x to 8.71x.
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