Euronet Worldwide (NASDAQ:EEFT) Shares Gap Down on Disappointing Earnings

Euronet Worldwide, Inc. (NASDAQ:EEFT)’s share price gapped down before the market opened on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $83.67, but opened at $77.05. Euronet Worldwide shares last traded at $75.86, with a volume of 201,703 shares.

The business services provider reported $2.82 EPS for the quarter, missing the consensus estimate of $2.97 by ($0.15). Euronet Worldwide had a return on equity of 28.37% and a net margin of 7.15%.The firm had revenue of $1.11 billion for the quarter, compared to analysts’ expectations of $1.14 billion. During the same quarter in the previous year, the firm posted $2.56 earnings per share. The firm’s revenue for the quarter was up 3.2% compared to the same quarter last year.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on EEFT shares. Weiss Ratings raised shares of Euronet Worldwide from a “hold (c-)” rating to a “hold (c)” rating in a research note on Tuesday. Needham & Company LLC reissued a “buy” rating and issued a $85.00 price target on shares of Euronet Worldwide in a research note on Friday, May 22nd. Finally, DA Davidson restated a “buy” rating and set a $102.00 price target on shares of Euronet Worldwide in a research report on Friday, July 10th. Three equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $95.00.

Insider Activity at Euronet Worldwide

In related news, Director Thomas A. Mcdonnell acquired 3,000 shares of Euronet Worldwide stock in a transaction that occurred on Tuesday, May 26th. The shares were purchased at an average price of $66.87 per share, for a total transaction of $200,610.00. Following the completion of the transaction, the director owned 100,219 shares in the company, valued at $6,701,644.53. This represents a 3.09% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 12.19% of the company’s stock.

Institutional Trading of Euronet Worldwide

Several large investors have recently added to or reduced their stakes in EEFT. Johnson Financial Group Inc. acquired a new stake in shares of Euronet Worldwide in the 3rd quarter worth $26,000. Danske Bank A S acquired a new position in shares of Euronet Worldwide during the 3rd quarter valued at about $26,000. Geneos Wealth Management Inc. grew its holdings in shares of Euronet Worldwide by 48.4% in the first quarter. Geneos Wealth Management Inc. now owns 334 shares of the business services provider’s stock valued at $36,000 after purchasing an additional 109 shares during the period. Kestra Advisory Services LLC purchased a new stake in shares of Euronet Worldwide in the fourth quarter valued at about $38,000. Finally, 1620 Investment Advisors Inc. increased its position in Euronet Worldwide by 123.1% during the fourth quarter. 1620 Investment Advisors Inc. now owns 589 shares of the business services provider’s stock worth $45,000 after purchasing an additional 325 shares during the last quarter. 91.60% of the stock is currently owned by hedge funds and other institutional investors.

Euronet Worldwide Trading Down 8.9%

The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 1.29. The company’s 50-day moving average is $72.49 and its 200-day moving average is $71.56. The stock has a market capitalization of $2.90 billion, a price-to-earnings ratio of 10.94, a PEG ratio of 0.65 and a beta of 0.83.

Euronet Worldwide Company Profile

Euronet Worldwide, Inc is a global financial technology company specializing in electronic payment services and transaction processing. Through its three primary business segments—Electronic Funds Transfer (EFT) Network Services, epay® Prepaid and Payment Services, and Money Transfer—Euronet provides end-to-end solutions that enable secure, efficient and convenient payments for consumers, financial institutions and retailers worldwide.

In its EFT Network Services arm, Euronet operates one of the world’s largest ATM and point-of-sale (POS) terminal networks, offering deployment, management and connectivity services.