Shift4 Payments (NYSE:FOUR) Announces Earnings Results

Shift4 Payments (NYSE:FOUR) released its earnings results on Thursday. The company reported $1.32 EPS for the quarter, topping analysts’ consensus estimates of $1.26 by $0.06, Briefing.com reports. The firm had revenue of $1.29 billion during the quarter, compared to analyst estimates of $615.18 million. Shift4 Payments had a net margin of 2.20% and a return on equity of 28.40%. The business’s quarterly revenue was up 50.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.10 EPS. Shift4 Payments updated its FY 2026 guidance to 5.150-5.350 EPS.

Here are the key takeaways from Shift4 Payments’ conference call:

• Strong Q2 performance exceeded guidance: Gross revenue less network fees rose 51% year over year to $624 million, adjusted EBITDA increased 39% to $284 million at a 46% margin, and adjusted free cash flow reached $21 million versus the $10 million forecast.
• International payments-based revenue less network fees grew 53%, with Shift4 One now live in 12 countries and Shift4 Dine launched in Spain and Australia. Management expects international expansion and cross-selling across Global Blue’s merchant base to become a more meaningful growth driver in 2027.
• Management characterized the underlying business as resilient, with Americas payments growth of 19% and same-store sales trends in restaurants and lodging slightly better than expected. However, the full-year outlook assumes no material recovery in same-store sales during the second half.
• Travel disruption related to the Middle East conflict remains a significant headwind, including an estimated $25 million impact to Q3 and approximately $20 million of foreign-exchange translation pressure in the full-year outlook. The company consequently expects growth near the low end of its original range, with FX-neutral GRLNF growth now forecast at 24%–27%.
• Shift4 raised $1 billion of Term Loan B primarily to pre-fund its August 2027 convertible maturity, extending funded debt maturities into 2031–2032. Pro forma net leverage was 3.7x, prompting conservative Q2 buybacks, although management expects leverage to return to the low 3x range by year-end.

Shift4 Payments Stock Performance

Shares of FOUR opened at $41.13 on Friday. The firm has a market cap of $3.26 billion, a P/E ratio of 68.55, a PEG ratio of 0.48 and a beta of 1.40. Shift4 Payments has a twelve month low of $34.56 and a twelve month high of $92.79. The company has a debt-to-equity ratio of 2.59, a quick ratio of 1.22 and a current ratio of 1.21. The firm’s 50 day moving average price is $46.40 and its two-hundred day moving average price is $48.22.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on the company. Raymond James Financial set a $51.00 price target on Shift4 Payments in a research report on Friday. Truist Financial upped their price objective on Shift4 Payments from $46.00 to $50.00 and gave the company a “hold” rating in a report on Friday, July 24th. Loop Capital began coverage on Shift4 Payments in a research note on Wednesday, June 24th. They issued a “hold” rating and a $40.00 target price on the stock. Stephens cut Shift4 Payments from an “overweight” rating to an “equal weight” rating and set a $50.00 target price on the stock. in a report on Friday, April 17th. Finally, BTIG Research decreased their target price on Shift4 Payments from $70.00 to $60.00 and set a “buy” rating for the company in a research report on Thursday. Nine equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Shift4 Payments presently has an average rating of “Hold” and an average price target of $60.15.

Insider Activity

In related news, major shareholder Jared Isaacman acquired 193,000 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The shares were acquired at an average cost of $40.66 per share, for a total transaction of $7,847,380.00. Following the completion of the acquisition, the insider directly owned 1,787,455 shares in the company, valued at approximately $72,677,920.30. The trade was a 12.10% increase in their position. The purchase was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 1.54% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Shift4 Payments

Large investors have recently added to or reduced their stakes in the company. Wasatch Advisors LP lifted its holdings in shares of Shift4 Payments by 10.1% in the fourth quarter. Wasatch Advisors LP now owns 6,778,925 shares of the company’s stock valued at $426,869,000 after purchasing an additional 621,797 shares in the last quarter. Durable Capital Partners LP grew its holdings in shares of Shift4 Payments by 12.6% during the second quarter. Durable Capital Partners LP now owns 6,665,443 shares of the company’s stock worth $660,612,000 after buying an additional 745,650 shares in the last quarter. Darlington Partners Capital Management LP raised its position in Shift4 Payments by 2.1% in the 3rd quarter. Darlington Partners Capital Management LP now owns 5,071,725 shares of the company’s stock valued at $392,552,000 after buying an additional 105,320 shares during the last quarter. Ensign Peak Advisors Inc raised its position in Shift4 Payments by 7.7% in the 4th quarter. Ensign Peak Advisors Inc now owns 2,643,829 shares of the company’s stock valued at $166,482,000 after buying an additional 188,594 shares during the last quarter. Finally, Spyglass Capital Management LLC lifted its stake in Shift4 Payments by 36.7% in the 4th quarter. Spyglass Capital Management LLC now owns 1,697,920 shares of the company’s stock valued at $106,918,000 after acquiring an additional 455,707 shares in the last quarter. Institutional investors own 98.87% of the company’s stock.

Trending Headlines about Shift4 Payments

Here are the key news stories impacting Shift4 Payments this week:

• Positive Sentiment: Shift4 reported second-quarter adjusted earnings of $1.32 per share, exceeding analysts’ estimates of approximately $1.19–$1.25. Revenue rose 50.9% year over year to roughly $1.29 billion–$1.30 billion, far above the reported consensus estimate of $615.18 million. Shift4 Payments Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: BTIG Research reduced its price target to $60 from $70 but maintained a Buy rating, implying substantial potential upside from recent trading levels. Benzinga

About Shift4 Payments

Shift4 Payments is a U.S.-based provider of integrated payment processing and technology solutions, serving merchants across the hospitality, retail, e-commerce, gaming and lodging industries. The company’s platform enables businesses to accept in-store, online and mobile payments through a combination of point-of-sale hardware, payment gateway services and back-office software. By centralizing transaction processing and reporting, Shift4 aims to simplify payments, enhance security and streamline operations for its merchant customers.

The company’s core offerings include encrypted point-of-sale terminals, cloud-based payment gateways, and developer-friendly APIs for online and mobile checkouts.