DA Davidson reiterates Buy rating on Euronet Worldwide stock with $130 target

Investing.com - DA Davidson has reiterated its Buy rating on Euronet Worldwide (NASDAQ:EEFT) with a price target of $130.00 ahead of the company’s upcoming second-quarter earnings report, scheduled for July 23. According to InvestingPro analysis, the stock appears undervalued, trading at an attractive P/E ratio of 14x.

The financial services firm expects Euronet to report second-quarter results within the next three weeks and anticipates the company will meet or modestly exceed both DA Davidson’s forecasts and consensus estimates.

DA Davidson has fine-tuned its financial model for Euronet to account for an increased foreign exchange tailwind based on current spot rates, according to its research note.

The firm expects Euronet management will affirm its previous forecast for 12%-16% year-over-year growth in adjusted earnings per share for 2025 when it releases second-quarter results.

Euronet Worldwide operates electronic payment and transaction processing solutions for financial institutions, retailers, service providers, and individual consumers worldwide. The company maintains strong financial health with liquid assets exceeding short-term obligations. Discover more insights and 6 additional ProTips with a subscription to InvestingPro.

In other recent news, Euronet Worldwide has reported strong financial results for the first quarter of 2025, surpassing earnings expectations. The company achieved an adjusted earnings per share (EPS) of $1.13, exceeding the forecast of $1.09, and reported revenues of $916 million, slightly above the anticipated $912.44 million. This performance marks a significant milestone as it represents the highest first-quarter revenue in the company’s history. In addition to these financial achievements, Euronet Worldwide’s shareholders elected three Class I directors and approved executive compensation during the company’s annual meeting. The meeting also confirmed the appointment of KPMG LLP as the independent auditor for the fiscal year 2025.

William Blair reiterated its Outperform rating on Euronet Worldwide shares, with analyst Cristopher Kennedy highlighting the company’s modest valuation multiples and diverse international operations. Kennedy suggested that increased investor understanding of Euronet’s business mix could lead to an expansion of the company’s valuation multiples. These developments reflect positively on Euronet’s governance and strategic direction, reinforcing investor confidence in the company’s growth potential.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.