Flywire (NASDAQ:FLYW) Releases Quarterly Earnings Results, Beats Estimates By $105.56 EPS

Flywire (NASDAQ:FLYW) issued its earnings results on Tuesday. The company reported $105.55 earnings per share for the quarter, beating the consensus estimate of ($0.01) by $105.56, reports. Flywire had a return on equity of 2.79% and a net margin of 2.17%.The company had revenue of $157.54 million during the quarter, compared to analysts’ expectations of $144.96 million. During the same period in the prior year, the business posted ($0.12) EPS. Flywire’s quarterly revenue was up 34.0% compared to the same quarter last year.

Here are the key takeaways from Flywire’s conference call:

• Flywire delivered a strong Q4 and full-year 2025: $152.7M revenue (32.6% FX‑neutral growth), adjusted gross profit of $93.7M, adjusted EBITDA margin of 16.6%, GAAP net income of $13.5M, and $62M free cash flow, with a $200M net cash position and $118M of share buybacks executed.
• The business emphasizes durable, enterprise‑anchored revenue: ~90% of education and >70% of travel revenue come from enterprise clients, over 100 ERP/vertical integrations, and revenue churn below 1%, supporting long‑term expansion and retention.
• Management expects temporary gross margin pressure in 2026 (roughly 200–300 basis points) driven by early‑stage payment‑processing ramps (e.g., Cleveland Clinic, B2B invoice cross‑sells and Sertifi), though gross profit dollars should still grow and margins are expected to normalize in 2027.
• Guidance targets continued profitable growth: 2026 FX‑neutral revenue growth of ~15–21%, mid‑teens gross profit dollar growth at spot rates, adjusted EBITDA margin around 22.5% midpoint for 2026 and a target of 24–25% for 2027, supported by AI/data investments and platform consolidation.
• Capital allocation is focused and shareholder friendly — disciplined M&A appetite for strategic workflow+software+payments targets but prioritizing opportunistic share repurchases (≈$180M remaining authorization) given current valuation dislocation.

Flywire Stock Up 2.7%

Flywire stock traded up $0.34 during trading hours on Thursday, hitting $12.86. 689,526 shares of the stock traded hands, compared to its average volume of 1,478,915. Flywire has a one year low of $8.20 and a one year high of $15.25. The firm’s 50-day moving average price is $13.05 and its two-hundred day moving average price is $13.23. The company has a current ratio of 1.53, a quick ratio of 1.53 and a debt-to-equity ratio of 0.02. The company has a market cap of $1.57 billion, a PE ratio of 128.36, a PEG ratio of 1.29 and a beta of 1.28.

Key Headlines Impacting Flywire

Here are the key news stories impacting Flywire this week:

• Positive Sentiment: Q4 beat and strong guidance — Flywire reported Q4 revenue up 34% to $157.5M, delivered break‑even EPS vs. a loss a year ago, and issued FY‑2026 and Q1 revenue guidance above Street expectations; management outlined 15%–21% FX‑neutral revenue growth while scaling EBITDA margins. Flywire Reports Fourth-Quarter and Fiscal-Year 2025 Financial Results
• Positive Sentiment: Analyst upgrade/raise — RBC raised its price target to $20 (outperform), signaling bullish conviction from at least one major bank and supporting further upside potential. Benzinga
• Neutral Sentiment: Investor outreach — Flywire will attend upcoming investor conferences, increasing management access for investors and potential for further disclosures. Flywire to Attend Upcoming Investor Conferences
• Neutral Sentiment: Earnings materials posted — The company made the earnings press release, slide deck and call transcript available, useful for digging into revenue mix, margins and forward assumptions. Earnings — MarketBeat
• Negative Sentiment: Analyst downgrades / target cuts — Goldman Sachs cut its target to $15 (neutral) and UBS trimmed to $14 (neutral), introducing headwinds from large sell‑side desks and reducing upside implied by prior estimates. Benzinga
• Negative Sentiment: Options activity — Unusually large put buying (≈3,805 puts, ~653% above average) suggests some investors are hedging or speculating on a near‑term downside move. (No article link available.)
• Negative Sentiment: New policy risk flagged — Flywire disclosed a risk that a wave of U.S. 2025 policy proposals could reduce international student flows, which would pressure its education payments revenue stream — a structural risk for a meaningful vertical of its business. TipRanks — Policy Risk

Wall Street Analyst Weigh In

Several analysts have weighed in on FLYW shares. Stephens upgraded Flywire from an “equal weight” rating to an “overweight” rating and boosted their price objective for the company from $17.00 to $19.00 in a research report on Friday, January 16th. Wall Street Zen cut shares of Flywire from a “buy” rating to a “hold” rating in a research report on Sunday, January 25th. Morgan Stanley initiated coverage on shares of Flywire in a research note on Tuesday. They set an “equal weight” rating and a $15.00 price objective for the company. Weiss Ratings reissued a “sell (d)” rating on shares of Flywire in a research note on Thursday, January 22nd. Finally, Zacks Research upgraded Flywire from a “strong sell” rating to a “hold” rating in a report on Wednesday, November 19th. Five investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Flywire currently has an average rating of “Hold” and a consensus target price of $15.67.

Insider Activity

In related news, Director Phillip John Riese sold 16,612 shares of Flywire stock in a transaction that occurred on Wednesday, January 7th. The stock was sold at an average price of $15.08, for a total transaction of $250,508.96. Following the sale, the director directly owned 234,493 shares in the company, valued at $3,536,154.44. The trade was a 6.62% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, General Counsel Peter Butterfield sold 13,327 shares of the company’s stock in a transaction on Wednesday, January 7th. The stock was sold at an average price of $15.01, for a total value of $200,038.27. Following the completion of the sale, the general counsel directly owned 374,933 shares in the company, valued at approximately $5,627,744.33. The trade was a 3.43% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders bought 251,112 shares of company stock worth $3,477,834 and sold 38,426 shares worth $567,215. 4.40% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. Wellington Management Group LLP boosted its holdings in Flywire by 43.8% in the fourth quarter. Wellington Management Group LLP now owns 4,828,197 shares of the company’s stock worth $68,367,000 after acquiring an additional 1,470,011 shares in the last quarter. Marshall Wace LLP boosted its stake in Flywire by 32.8% in the 3rd quarter. Marshall Wace LLP now owns 1,851,327 shares of the company’s stock worth $25,067,000 after purchasing an additional 456,783 shares in the last quarter. Primecap Management Co. CA grew its position in Flywire by 1.8% during the 4th quarter. Primecap Management Co. CA now owns 1,572,500 shares of the company’s stock valued at $22,267,000 after purchasing an additional 27,260 shares during the last quarter. Franklin Resources Inc. grew its position in Flywire by 1.6% during the 3rd quarter. Franklin Resources Inc. now owns 1,388,639 shares of the company’s stock valued at $18,802,000 after purchasing an additional 22,188 shares during the last quarter. Finally, Millennium Management LLC increased its stake in Flywire by 15.1% during the 1st quarter. Millennium Management LLC now owns 1,330,971 shares of the company’s stock valued at $12,644,000 after purchasing an additional 175,007 shares in the last quarter. Hedge funds and other institutional investors own 95.90% of the company’s stock.

Flywire Company Profile

Flywire Corp (NASDAQ: FLYW) is a global payments enablement and software company that specializes in facilitating complex cross-border transactions. Its cloud-based platform streamlines receivables and payer workflows across key verticals including education, healthcare, travel and hospitality, and commercial services. Flywire’s technology integrates with institutional systems to automate payment posting, reconciliation and reporting, aiming to improve the payer experience and accelerate cash flow for its clients.

Founded in 2009 by entrepreneur Iker Marcaide as peerTransfer, the company rebranded as Flywire in 2015.