Florida Pension Fund invests in Payoneer Global as Fintech continues to gain traction in the investment world.

The State Board of Trustees of the Florida Retirement System set the investment world abuzz on May 22, 2023, when it was revealed that the firm had purchased a new stake in Payoneer Global Inc. (NASDAQ:PAYO). The purchase totaled 42,840 shares of the company’s stock and cost approximately $234,000. This move represents a significant bet by the pension fund on the future of Payoneer Global.

Payoneer Global is a payment and commerce enabling platform that helps facilitate marketplaces, platforms and online stores worldwide. It offers a comprehensive range of services such as cross-border payments, B2B suppliers/receivables, multi-currency accounts, physical and virtual Mastercards, working capital, merchant services, risk management for tax compliance.

On May 9 this year, Payoneer Global (NASDAQ:PAYO) released its quarterly earnings report which revealed that the company had failed analysts’ expectations. Earnings per share for the quarter came in at 0.02 cents per share, missing the consensus estimate of 0.03 cents. Despite this shortfall in earnings, revenue for the period was still impressive, reaching $192 million compared to analyst estimates of $185.61 million. Revenues rose sharply from 137 million dollars compared to the same period last year.

A key concern for analysts is Payoneer Global’s negative return on equity which currently stands at -4.8% while its net margin stands at -3.55%. Although these figures may seem frightening to investors looking at potential targets to invest in in the long term, one must be aware that growth rates seen in recent times indicate that future earnings are likely to increase significantly in the years ahead.

Future prospects look very promising for Payoneer Global as global markets begin to expand again after years of economic turbulence following pandemic-related shutdowns implemented in many regions during 2020-2022. The firm’s strong revenue performance in recent years has served to underpin its market position as it continues to gain traction in emerging markets from Asia, Europe to Latin America.

This new investment by the State Board of Administration of Florida Retirement System marks a significant development in an ongoing trend of large pension funds increasing their stakes in fintech companies. Payoneer Global definitely offers investors an alternative way to play on the growth trends seen in the global e-commerce and fintech industry that looks set to continue expanding at a rapid pace over the coming decades.

Payoneer Global Inc. sees increase in institutional investment

Payoneer Global Inc., a payments and commerce enabling platform, has seen an increase in its holdings by several hedge funds and institutional investors. According to recent reports, Advisors Asset Management Inc., Zurcher Kantonalbank Zurich Cantonalbank, New York State Common Retirement Fund, FMR LLC and Barclays PLC have all changed their stakes in the company. Together, institutional investors and hedge funds own 93.89% of Payoneer Global’s shares.

The stock opened at $4.45 on Monday with a market cap of $1.58 billion and a beta of 0.93. The fifty day moving average is $5.60 with the two hundred day moving average set at $5.71. The company’s current ratio is 1:10 while the debt ratio remains at 0.03.

Payoneer Global offers a range of services including cross-border payments, B2B suppliers/accounts receivable, multi-currency accounts, physical and virtual Mastercards, merchant services, tax compliance and risk mitigation among others.

Recent research conducted by Jefferies Financial Group initiated coverage of Payoneer Global with a “buy” rating along with a target price of $7 per share, while Citigroup raised the price target from $11 to $9 based on recent performance indicators for the platform during the last quarter.

In related news, Payoneer CEO Scott H. Galit sold 12,857 shares valued at an average price of $5.70 in May, for a total of approximately $73,284, while in February Senior VP Itai Perry sold 6,420 shares worth about $35,759.

According to Bloomberg’s data analysis, the consensus shows that five research analysts have rated the stock as “buy”. As of today, Payoneer Global has an average rating of “Buy” according to Bloomberg culminating in a consensus price target of approximately $8.08 for the company’s stock.