Evertec (NYSE:EVTC) Trading Down 11.1% Following Weak Earnings

Shares of Evertec, Inc. (NYSE:EVTC) dropped 11.1% on Thursday following a dissappointing earnings announcement. The stock traded as low as $25.47 and last traded at $25.0340. Approximately 92,845 shares were traded during trading, a decline of 78% from the average daily volume of 427,322 shares. The stock had previously closed at $28.16.

The business services provider reported $0.90 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.91 by ($0.01). The company had revenue of $247.92 million during the quarter, compared to analyst estimates of $248.99 million. Evertec had a net margin of 13.95% and a return on equity of 31.40%. The firm’s revenue was up 8.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.87 earnings per share. Evertec has set its FY 2026 guidance at 3.860-3.980 EPS.

Evertec Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, June 5th. Stockholders of record on Monday, May 11th will be paid a $0.05 dividend. This represents a $0.20 annualized dividend and a dividend yield of 0.8%. The ex-dividend date is Monday, May 11th. Evertec’s dividend payout ratio (DPR) is presently 9.66%.

Wall Street Analysts Forecast Growth

EVTC has been the topic of several analyst reports. Wall Street Zen cut Evertec from a “buy” rating to a “hold” rating in a research note on Saturday. Zacks Research cut Evertec from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 20th. Raymond James Financial restated an “outperform” rating and issued a $34.00 price target on shares of Evertec in a research note on Thursday. Finally, Weiss Ratings restated a “hold (c-)” rating on shares of Evertec in a research note on Friday, March 27th. Two analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $34.00.

Institutional Trading of Evertec

Hedge funds and other institutional investors have recently made changes to their positions in the company. Richardson Financial Services Inc. increased its position in shares of Evertec by 132.6% during the third quarter. Richardson Financial Services Inc. now owns 763 shares of the business services provider’s stock worth $26,000 after purchasing an additional 435 shares in the last quarter. Kestra Advisory Services LLC acquired a new stake in shares of Evertec during the fourth quarter worth about $31,000. Hantz Financial Services Inc. increased its position in shares of Evertec by 189.7% during the fourth quarter. Hantz Financial Services Inc. now owns 1,072 shares of the business services provider’s stock worth $31,000 after purchasing an additional 702 shares in the last quarter. Clearstead Advisors LLC increased its position in shares of Evertec by 194.5% during the fourth quarter. Clearstead Advisors LLC now owns 1,240 shares of the business services provider’s stock worth $36,000 after purchasing an additional 819 shares in the last quarter. Finally, Global Retirement Partners LLC increased its position in shares of Evertec by 53.1% during the fourth quarter. Global Retirement Partners LLC now owns 1,471 shares of the business services provider’s stock worth $43,000 after purchasing an additional 510 shares in the last quarter. Institutional investors and hedge funds own 96.80% of the company’s stock.

Evertec Price Performance

The stock has a 50-day moving average price of $28.63 and a 200 day moving average price of $28.81. The company has a debt-to-equity ratio of 1.56, a current ratio of 1.97 and a quick ratio of 2.07. The firm has a market cap of $1.48 billion, a price-to-earnings ratio of 11.62, a PEG ratio of 0.88 and a beta of 0.80.

Evertec Company Profile

Evertec, Inc (NYSE: EVTC) is a leading full?service transaction processor in Puerto Rico, Latin America and the Caribbean. The company delivers integrated technology solutions for electronic payments, providing financial institutions, merchants and governments with secure and scalable platforms to accept, process and settle transactions across card, ATM, debit and digital channels. Headquartered in San Juan, Puerto Rico, Evertec supports both domestic and cross?border payment flows, enabling clients to streamline operations and expand their digital commerce capabilities.

Evertec’s suite of services includes merchant acquiring, payment gateway connectivity, ATM and point?of?sale network management, and fraud prevention solutions.