Nucor earnings beat by $0.08, revenue fell short of estimates
Investing.com - Keefe, Bruyette & Woods reiterated its Outperform rating and EUR1,900.00 price target on Adyen NV (AS:ADYEN) (OTC:ADYYF) on Thursday, following a 4-5% drop in the payment processor’s shares on Wednesday.
The stock decline was primarily attributed to investor concerns about the end of the de minimis tax exemption in early May. Previously, online retailers using Adyen’s services, including some Chinese merchants selling into the U.S., were exempt from tariffs for low-value goods under $800, but these items are now subject to either a 30% or $25 tax.
KBW estimates the potential net revenue headwind from the ending of the tax exemption at less than 50 basis points, which it considers relatively immaterial to Adyen’s constant currency growth expectations of approximately mid-20% range for net revenue in 2025.
The research firm noted that Adyen’s revenue exposure would be limited to the U.S.-China corridor across the online retailer vertical. Foreign exchange movements are also likely to be a slight headwind to Adyen’s reported net revenues.
KBW indicated that despite tariffs and other macro factors posing some risk, the company continues to make progress on wallet share gains that should limit potential downside.
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