Paya Holdings Inc. Fundamental Analysis
Paya Holdings Inc. (PAYA) shows weak financial fundamentals with a PE ratio of 149.62, profit margin of 2.92%, and ROE of 3.31%. The company generates $0.3B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 31.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze PAYA's fundamental strength across five key dimensions:
Efficiency Score
WeakPAYA struggles to generate sufficient returns from assets.
Valuation Score
ModeratePAYA shows balanced valuation metrics.
Growth Score
ModeratePAYA shows steady but slowing expansion.
Financial Health Score
ExcellentPAYA maintains a strong and stable balance sheet.
Profitability Score
WeakPAYA struggles to sustain strong margins.
Key Financial Metrics
Is PAYA Expensive or Cheap?
P/E Ratio
PAYA trades at 149.62 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, PAYA's PEG of 0.11 indicates potential undervaluation.
Price to Book
The market values Paya Holdings Inc. at 4.81 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 19.48 times EBITDA. This signals the market has high growth expectations.
How Well Does PAYA Make Money?
Net Profit Margin
For every $100 in sales, Paya Holdings Inc. keeps $2.92 as profit after all expenses.
Operating Margin
Core operations generate 8.92 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.31 in profit for every $100 of shareholder equity.
ROA
Paya Holdings Inc. generates $1.11 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Paya Holdings Inc. produces operating cash flow of $47.47M, showing steady but balanced cash generation.
Free Cash Flow
Paya Holdings Inc. generates strong free cash flow of $33.64M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.25 in free cash annually.
FCF Yield
PAYA converts 2.50% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
149.62
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.81
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.56
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.95
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.71
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How PAYA Stacks Against Its Sector Peers
| Metric | PAYA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 149.62 | 36.36 | Worse (Expensive) |
| ROE | 3.31% | 980.00% | Weak |
| Net Margin | 2.92% | 5969454258.00% | Weak |
| Debt/Equity | 0.95 | 0.36 | Weak (High Leverage) |
| Current Ratio | 1.71 | 5.04 | Neutral |
| ROA | 1.11% | -298400.00% (disorted) | Weak |
PAYA outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Paya Holdings Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta