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PSFE Stock: The Disappointing Digital Wallet News That Has Paysafe Shares Plunging

Paysafe (NYSE:PSFE) stock isn’t doing so hot today as negative digital wallet news from its most recent earnings report hammers shares.

Paysafe Card Iphone Display with Keyboard Mouse and Red Pen representing PSFE Stock.

Source: Sulastri Sulastri / Shutterstock.com

Included in the company’s Q3 earnings report is a breakdown of its revenue for the period. Overall, the company didn’t meet expectations with revenue coming in at $353.59 million. That misses Wall Street’s estimate of $370.63 million. That’s a roughly 1% decrease from the same time last year.

Looking deep into that news, digital wallet revenue for the quarter came in at $83.66 million. That’s a real blow to PSFE stock considering it represents a 15.1% decline compared to the $98.54 million reported in Q3 2020.

The poor revenue results for the third quarter of the year also have Paysafe revising its outlook for 2021. Among that is expectations for Q4 revenue to range from $355 million to $365 million. That would have it missing Wall Street’s estimate of $417.74 for the quarter.

Of course, Paysafe new guidance for 2021 isn’t helping out PSFE stock today, either. The company expects revenue for the year to come in between $14.7 billion and $1.48 billion. Yet again, this would have it failing to reach analysts’ 2021 revenue estimate of $1.55 billion.

Philip McHugh, CEO of Paysafe, said the following in the most recent earnings report.

“In the third quarter we reported Adjusted EBITDA in line with our expectations, despite softer than expected revenue, reflecting both market and performance challenges within the digital wallet business. While the recent trend will drive an adjusted financial outlook, we continue to see strong momentum across the business.”

PSFE stock is down 40% as of Thursday morning and is down 69.8% since the start of the year.

Investors looking for more stock market news today will want to keep reading!

There’s plenty of stock coverage for traders to dive into today. That includes everything investors need to know about Beyond Meat (NASDAQ:BYND), Fossil (NASDAQ:FOSL), and Lucid Group (NASDAQ:LCID) shares today. You can find all of that available at the links below!

More Thursday Stock Market News

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

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Article printed from InvestorPlace Media, https://investorplace.com/2021/11/psfe-stock-the-disappointing-digital-wallet-news-that-has-paysafe-shares-plunging/.

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