Euronet Worldwide
Market Cap
US$7.3b
Last Updated
2021/01/17 23:05 UTC
Data Sources
Company Financials +
Executive Summary
Euronet Worldwide, Inc. provides payment and transaction processing and distribution solutions to financial institutions, retailers, service providers, and individual consumers worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has Euronet Worldwide's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EEFT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: EEFT's weekly volatility (8%) has been stable over the past year.
Market Performance
7 Day Return
-6.1%
EEFT
-4.2%
US IT
-1.0%
US Market
1 Year Return
-15.6%
EEFT
20.7%
US IT
19.6%
US Market
Return vs Industry: EEFT underperformed the US IT industry which returned 20.7% over the past year.
Return vs Market: EEFT underperformed the US Market which returned 19.6% over the past year.
Shareholder returns
| EEFT | Industry | Market | |
|---|---|---|---|
| 7 Day | -6.1% | -4.2% | -1.0% |
| 30 Day | -4.1% | -3.3% | 2.3% |
| 90 Day | 47.8% | 8.5% | 13.1% |
| 1 Year | -15.6%-15.6% | 21.9%20.7% | 22.3%19.6% |
| 3 Year | 45.4%45.4% | 86.1%79.0% | 45.3%35.7% |
| 5 Year | 88.6%88.6% | 207.8%186.5% | 124.8%99.8% |
Long-Term Price Volatility Vs. Market
How volatile is Euronet Worldwide's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Euronet Worldwide's (NASDAQ:EEFT) 102% Share Price Increase Well Justified?3 weeks ago | Simply Wall St
Here's Why Euronet Worldwide's (NASDAQ:EEFT) Statutory Earnings Are Arguably Too Conservative1 month ago | Simply Wall St
How Does Euronet Worldwide's (NASDAQ:EEFT) CEO Pay Compare With Company Performance?Valuation
Is Euronet Worldwide undervalued compared to its fair value and its price relative to the market?
27.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: EEFT ($138.61) is trading below our estimate of fair value ($191.02)
Significantly Below Fair Value: EEFT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: EEFT is poor value based on its PE Ratio (224.3x) compared to the US IT industry average (36.9x).
PE vs Market: EEFT is poor value based on its PE Ratio (224.3x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: EEFT is poor value based on its PEG Ratio (1.9x)
Price to Book Ratio
PB vs Industry: EEFT is overvalued based on its PB Ratio (5.6x) compared to the US IT industry average (4.9x).
Next Steps
Future Growth
How is Euronet Worldwide forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
116.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EEFT's forecast earnings growth (116.4% per year) is above the savings rate (2%).
Earnings vs Market: EEFT's earnings (116.4% per year) are forecast to grow faster than the US market (21.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: EEFT's revenue (14% per year) is forecast to grow faster than the US market (10.3% per year).
High Growth Revenue: EEFT's revenue (14% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EEFT's Return on Equity is forecast to be low in 3 years time (18.8%).
Next Steps
Past Performance
How has Euronet Worldwide performed over the past 5 years?
11.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EEFT has a large one-off loss of $106.0M impacting its September 30 2020 financial results.
Growing Profit Margin: EEFT's current net profit margins (1.3%) are lower than last year (11.1%).
Past Earnings Growth Analysis
Earnings Trend: EEFT's earnings have grown by 11.6% per year over the past 5 years.
Accelerating Growth: EEFT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: EEFT had negative earnings growth (-89.1%) over the past year, making it difficult to compare to the IT industry average (4.2%).
Return on Equity
High ROE: EEFT's Return on Equity (2.5%) is considered low.
Next Steps
Financial Health
How is Euronet Worldwide's financial position?
Financial Position Analysis
Short Term Liabilities: EEFT's short term assets ($2.7B) exceed its short term liabilities ($1.4B).
Long Term Liabilities: EEFT's short term assets ($2.7B) exceed its long term liabilities ($1.4B).
Debt to Equity History and Analysis
Debt Level: EEFT's debt to equity ratio (86.8%) is considered high.
Reducing Debt: EEFT's debt to equity ratio has increased from 57.7% to 86.8% over the past 5 years.
Debt Coverage: EEFT's debt is well covered by operating cash flow (31.8%).
Interest Coverage: EEFT's interest payments on its debt are well covered by EBIT (6x coverage).
Balance Sheet
Next Steps
Dividend
What is Euronet Worldwide current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate EEFT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate EEFT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if EEFT's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if EEFT's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of EEFT's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
10.0yrs
Average management tenure
CEO
Mike Brown (63 yo)
27yrs
Tenure
US$8,415,773
Compensation
Mr. Michael J. Brown, also known as Mike, MSc founded Euronet Worldwide, Inc. in 1994 and has been its Chief Executive Officer since 1996 and President since December 10, 2014. Mr. Brown has 30 years of ex...
CEO Compensation Analysis
Compensation vs Market: Mike's total compensation ($USD8.42M) is above average for companies of similar size in the US market ($USD6.21M).
Compensation vs Earnings: Mike's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 27yrs | US$8.42m | 3.47% $ 251.5m | |
| Executive VP | 18.17yrs | US$8.74m | 0.18% $ 13.4m | |
| Executive VP and CEO of epay | 6.08yrs | US$7.15m | 0.14% $ 10.3m | |
| Executive VP & CEO of Money Transfer Segment | no data | US$7.27m | 0.0080% $ 577.9k | |
| Executive VP and CEO of EFT Europe | no data | US$7.55m | 0.037% $ 2.7m | |
| Senior VP & Chief Technology Officer | 7yrs | no data | 0.030% $ 2.2m | |
| Director of Financial Planning & IR | 10yrs | no data | no data | |
| Deputy General Counsel | no data | no data | no data | |
| General Counsel & Secretary | no data | no data | no data | |
| Senior VP | no data | no data | no data | |
| Managing Director of Payments Software | no data | no data | no data | |
| Chief Regulatory Officer | no data | no data | no data |
10.0yrs
Average Tenure
54.5yo
Average Age
Experienced Management: EEFT's management team is seasoned and experienced (10 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 27yrs | US$8.42m | 3.47% $ 251.5m | |
| Lead Independent Director | 6.33yrs | US$255.00k | 0.15% $ 10.9m | |
| Independent Director | 17.33yrs | US$240.00k | 0.13% $ 9.2m | |
| Director | 0.58yr | no data | 0.0038% $ 273.4k | |
| Independent Director | 18.67yrs | US$225.00k | 0.019% $ 1.4m | |
| Independent Director | 19.83yrs | US$245.00k | 0.088% $ 6.4m | |
| Independent Director | 17.67yrs | US$225.00k | 0.098% $ 7.1m | |
| Independent Director | 6.33yrs | US$225.00k | 0.032% $ 2.3m |
17.5yrs
Average Tenure
71yo
Average Age
Experienced Board: EEFT's board of directors are seasoned and experienced ( 17.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: EEFT insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Euronet Worldwide, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Euronet Worldwide, Inc.
- Ticker: EEFT
- Exchange: NasdaqGS
- Founded: 1994
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$7.251b
- Shares outstanding: 52.31m
- Website: https://www.euronetworldwide.com
Number of Employees
Location
- Euronet Worldwide, Inc.
- 3500 College Boulevard
- Leawood
- Kansas
- 66211
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| EEFT | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Mar 1997 |
| EEF | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Mar 1997 |
| EEFT * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Mar 1997 |
Biography
Euronet Worldwide, Inc. provides payment and transaction processing and distribution solutions to financial institutions, retailers, service providers, and individual consumers worldwide. The company’s Ele...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/17 23:05 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.