RPAY Stock Forecast & Price Target

Repay Holdings Corp's Consumer Payments segment demonstrated a year-over-year revenue increase of 4%, totaling $71.7 million and constituting 86% of the company's revenue for the period, indicating solid performance in a core area of the business. The anticipation of higher growth in 2026 is bolstered by factors such as the anniversary of customer losses and expected increases in political media spending, which will positively impact the Business Payments segment. Furthermore, a 59% year-over-year expansion in Repay's accounts payable supplier network to approximately 524 reinforces the company's capacity to drive future revenue growth, leveraging the rising consumer shift towards electronic payment solutions.

Repay Holdings Corp has experienced a concerning decline in adjusted EBITDA, which fell 11% year-over-year to $31.2 million, reflecting both a shortfall against internal forecasts and broader consensus expectations. Despite reporting a marginal revenue increase of 1% above forecast for 3Q, the overall revenue dipped 2% year-over-year, highlighting a trend of stagnation in financial growth. Additionally, the company's elevated financial leverage, coupled with a broader negative sentiment toward payments companies, particularly those that went public via SPAC mergers, raises concerns for its projected revenues going forward.