Yahoo Finance Breakeven Is Near for Payoneer Global Inc. (NASDAQ:PAYO)
With the business potentially at an important milestone, we thought we'd take a closer look at Payoneer Global Inc.'s (NASDAQ:PAYO) future prospects. Payoneer Global Inc. operates a payment and commerce-enabling platform worldwide. The US$1.5b market-cap company posted a loss in its most recent financial year of US$12m and a latest trailing-twelve-month loss of US$24m leading to an even wider gap between loss and breakeven. The most pressing concern for investors is Payoneer Global's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts’ expectations for the company.
See our latest analysis for Payoneer Global
Payoneer Global is bordering on breakeven, according to the 8 American Diversified Financial analysts. They expect the company to post a final loss in 2022, before turning a profit of US$48m in 2023. So, the company is predicted to breakeven approximately a year from now or less! We calculated the rate at which the company must grow to meet the consensus forecasts predicting breakeven within 12 months. It turns out an average annual growth rate of 53% is expected, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.
We're not going to go through company-specific developments for Payoneer Global given that this is a high-level summary, though, bear in mind that generally a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.
Before we wrap up, there’s one aspect worth mentioning. The company has managed its capital judiciously, with debt making up 3.0% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.
Next Steps:
There are too many aspects of Payoneer Global to cover in one brief article, but the key fundamentals for the company can all be found in one place – Payoneer Global's company page on Simply Wall St. We've also put together a list of pertinent aspects you should further examine:
Historical Track Record: What has Payoneer Global's performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Payoneer Global's board and the CEO’s background.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
