Stock Analysis

Euronet Worldwide (EEFT): Evaluating the Stock’s Valuation After Recent Share Price Declines

Euronet Worldwide (EEFT) stock has slipped a bit lately, with shares down 7% over the past month and about 19% in the past 3 months. Investors may be weighing recent financial results and broader market trends to gauge what comes next for the payments specialist.

See our latest analysis for Euronet Worldwide.

Despite a tough patch for Euronet Worldwide’s share price recently, zooming out reveals momentum has faded compared to early-year strength. The 1-year total return sits at -15.4% and the 3-year total return at 9.6%, signaling periods of both pressure and longer-term outperformance.

If you’re curious which stocks might have stronger momentum, this could be an ideal time to broaden your search and discover fast growing stocks with high insider ownership

With shares trading well below analyst price targets, the question becomes whether the recent declines offer an undervalued entry point or if the market is simply anticipating slower future growth for Euronet Worldwide. Is there a real buying opportunity here, or has the market already priced in what is to come?

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Most Popular Narrative: 34.9% Undervalued

Shares of Euronet Worldwide last closed at $83.11, while the most widely followed narrative sets fair value significantly higher. The gap reveals a valuation story driven by ambitious digital expansion and earnings momentum. Here is what is fueling that target.

The acquisition of CoreCard, a scalable and proven credit card processing platform, alongside Euronet's Ren platform, positions the company to rapidly expand digital payments processing and credit issuing capabilities, particularly in large and high-growth regions like Europe and Asia; this is expected to drive substantial increases in revenue and improve operating margins due to the higher profitability of software-based, digital payment solutions.

Read the complete narrative.

Want to know why this ambitious growth forecast leads to such a big discount against today’s share price? There is a bold bet on recurring revenue, fatter margins, and a future profit multiple that would put even established financial giants on notice. Curious which key numbers justify this narrative’s aggressive valuation? Go deeper and uncover what is really driving Euronet Worldwide’s fair value.

Result: Fair Value of $127.71 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, stiffer competition from larger tech players and new regulatory hurdles in global money transfers could limit Euronet Worldwide’s future growth story.

Find out about the key risks to this Euronet Worldwide narrative.

Build Your Own Euronet Worldwide Narrative

If you would rather dig into the details or think a different story can be told, try building your own thesis on Euronet Worldwide in just a couple of minutes. Do it your way

A good starting point is our analysis highlighting 5 key rewards investors are optimistic about regarding Euronet Worldwide.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Valuation is complex, but we're here to simplify it.

Discover if Euronet Worldwide might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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About NasdaqGS:EEFT

Euronet Worldwide

Provides payment and transaction processing and distribution solutions to financial institutions, retailers, service providers, and individual consumers worldwide.

Undervalued with excellent balance sheet.

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