Shift4 Payments, Inc. (FOUR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Shift4 Payments, Inc.

Why is Shift4 Payments, Inc. ?

The company has declared negative results in Mar'2025 after 16 consecutive positive quarters

INTEREST COVERAGE RATIO(Q) Lowest at 459.9
NET PROFIT(Q) At USD 43.36 MM has Fallen at -66.21%
INTEREST(Q) Highest at USD 39.4 MM

Below par performance in long term as well as near term

Along with generating -32.22% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Miscellaneous)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Shift4 Payments, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Shift4 Payments, Inc.

-55.87%

-0.12

48.05%

S&P 500

22.93%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

40.38%

EBIT Growth (5y)

53.16%

EBIT to Interest (avg)

2.26

Debt to EBITDA (avg)

3.11

Net Debt to Equity (avg)

1.74

Sales to Capital Employed (avg)

0.92

Tax Ratio

100.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

7.20%

ROE (avg)

24.98%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.15

EV to EBIT

18.51

EV to EBITDA

9.14

EV to Capital Employed

1.66

EV to Sales

1.86

PEG Ratio

Dividend Yield

ROCE (Latest)

8.98%

ROE (Latest)

15.55%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 671.4 MM

NET SALES(HY)

At USD 2,310 MM has Grown at 33.14%

RAW MATERIAL COST(Y)

Fallen by -12.69% (YoY

-25What is not working for the Company

ROCE(HY)

Lowest at 9.45%

INTEREST COVERAGE RATIO(Q)

Lowest at 320

DEBT-EQUITY RATIO (HY)

Highest at 202.84 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0 times

INTEREST(Q)

Highest at USD 65 MM

PRE-TAX PROFIT(Q)

Lowest at USD 11 MM

NET PROFIT(Q)

At USD 38 MM has Fallen at -22.76%

EPS(Q)

Lowest at USD -0.01

Here's what is working for Shift4 Payments, Inc.

Operating Cash Flow

Highest at USD 671.4 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Sales

At USD 2,310 MM has Grown at 33.14%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Raw Material Cost

Fallen by -12.69% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 135 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Shift4 Payments, Inc.

Pre-Tax Profit

At USD 11 MM has Fallen at -85.33%

over average net sales of the previous four periods of USD 75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Interest Coverage Ratio

Lowest at 320

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at USD 65 MM

in the last five periods and Increased by 6.56% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Pre-Tax Profit

Lowest at USD 11 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 38 MM has Fallen at -22.76%

over average net sales of the previous four periods of USD 49.2 MM

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Debt-Equity Ratio

Highest at 202.84 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio