Financial Performance - Total Processing Volume (TPV) reached $98 billion, a year-over-year increase of 33% from $74 billion in Q3 2024[2][6] - Net Revenue for Q3 2025 was $163 million, reflecting a 28% increase year-over-year, driven by higher volumes[2][6] - Gross Profit increased by 27% year-over-year to $115 million, with a Gross Margin of 70%[2][7] - Net Loss for the quarter was $4 million, a significant improvement from a loss of $29 million in the same period last year[2][8] - Adjusted EBITDA was $30 million, up 236% year-over-year, with an Adjusted EBITDA Margin of 19%[2][8] - Net revenue for Q3 2025 reached $163.3 million, a 27.6% increase from $128.0 million in Q3 2024[18] - Gross profit for Q3 2025 was $114.6 million, up 27.1% from $90.1 million in Q3 2024[18] - Net loss for Q3 2025 was $3.6 million, compared to a net loss of $28.6 million in Q3 2024[18] - Adjusted EBITDA for Q3 2025 was $30.31 million, a significant increase of 236% compared to $9.02 million in Q3 2024[33] - Net Loss for Q3 2025 was $3.62 million, a reduction of 87% compared to a loss of $28.64 million in Q3 2024[26] Operating Expenses - The company reported a 48% increase in Total Operating Expenses year-over-year, totaling $355 million for the nine months ended September 30, 2025[5] - Total operating expenses decreased to $124.9 million in Q3 2025 from $132.4 million in Q3 2024, a reduction of 5.5%[18] - Total Operating Expenses decreased by 6% to $124.93 million in Q3 2025 from $132.36 million in Q3 2024[26] Cash Flow and Assets - Cash and cash equivalents as of September 30, 2025, were $747.2 million, down from $923.0 million at the end of 2024[21] - Total assets increased to $1.49 billion as of September 30, 2025, compared to $1.46 billion at the end of 2024[21] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $109.3 million, significantly higher than $33.4 million in the same period of 2024[23] - The company reported a significant increase in cash flows from investing activities, totaling $258.2 million for the nine months ended September 30, 2025, compared to $37.0 million in 2024[23] - Cash and cash equivalents as of September 30, 2025, totaled $747.25 million, a decrease of 16% from $886.42 million a year earlier[26] - Total Assets increased by 4% to $1.49 billion in Q3 2025 from $1.44 billion in Q3 2024[26] Strategic Developments - Marqeta signed a global Fortune 500 company for electronic supplier payments, enhancing its market presence[4] - The company expanded its relationship with an expense management customer into Europe, leveraging the TransactPay acquisition[4] - The company plans to continue investing in technology and product development to drive future growth[18] Future Outlook - The company expects Q4 2025 Net Revenue growth of 22-24% and Gross Profit growth of 17-19%[9] - Marqeta's platform processed nearly $300 billion in annual payments volume in 2024, demonstrating its scalability[15] - The accumulated deficit as of September 30, 2025, was $810.4 million, compared to $797.9 million at the end of 2024[21] - Stockholders' equity decreased by 23% to $839.23 million in Q3 2025 from $1.10 billion in Q3 2024[26]

Industry Overview - Mobile payments are transforming financial transactions, moving from physical cash to digital transactions through smartphones, tablets, and wearables, creating a dynamic financial ecosystem [2][3] - The global mobile payments market is projected to grow from $3.84 trillion in 2024 to $26.53 trillion by 2032, reflecting a 27% CAGR, indicating strong momentum in the sector [6] Technological Advancements - Emerging technologies like blockchain and artificial intelligence are enhancing transparency, fraud detection, and transaction speeds, while "super apps" are integrating messaging and shopping into seamless financial experiences [3][4] - Companies are leveraging advanced technologies such as Near Field Communication (NFC) and QR codes to facilitate mobile payments [2] Key Players - Capital One is enhancing its mobile payments leadership with a digital-first banking ecosystem, integrating its mobile app with digital wallets and offering a comprehensive financial hub [8][9][10] - NCR Voyix is innovating in mobile payments for retail and restaurants, introducing solutions like Aloha Pay-At-Table, which improves transaction speed and customer experience [11][12][13] - Affirm is expanding its mobile payments presence through its Buy Now, Pay Later platform, integrating with digital wallets and planning international expansion [14][15][16] - Marqeta is powering mobile payments with its card-issuing platform and has seen a 29% year-over-year increase in total payments volume, while also bridging crypto and fiat transactions [17][18][19] Market Dynamics - The rise of e-commerce and improved digital infrastructure are driving the adoption of modern payment platforms, which serve as comprehensive financial dashboards [5] - Regulatory initiatives are evolving to enhance security, data privacy, and financial inclusion, keeping pace with the rapid growth of mobile payments [6]

Marqeta Inc. (NASDAQ:MQ) is one of the best NASDAQ stocks under $5 to buy now. On October 23, Citi analyst Bryan Keane initiated coverage of Marqeta with a Neutral rating and a $5 price target. The firm sees low visibility into the company sustaining its H2 2025 revenue growth rates in 2026. Earlier on October 13, Goldman Sachs downgraded Marqeta to Sell from Neutral with a price target of $5, which was down from $7.50. Marqeta (MQ) Gets Neutral Initiation from Citi on Growth, Customer Concentration Conc ...

Core Insights - Goldman Sachs downgraded Marqeta, Inc. from Neutral to Sell and reduced its price target from $7.50 to $5.00 due to changes in its relationship with Block, Inc. and potential loss of processing share for new accounts [1][2] - Concerns include delayed contract renewals, which could lead to a 4% gross profit headwind in 2026, and a potential 2% headwind to gross profit due to the new issuing partner [1][2] - Marqeta is recognized as a leading outsourced card issuance platform, particularly for cloud-based fintechs, but faces challenges from premium pricing and increasing competition [3] Company Overview - Marqeta, Inc. is a financial technology company that offers a modern open API platform for businesses to issue cards and process payments [4]

Summary of Key Points Core Viewpoint - Goldman Sachs analyst Will Nance downgraded PayPal Holdings, Inc. and Marqeta, Inc. due to downside risks to their 2026 forecasts, with increasing investor caution as the fourth quarter approaches [1][2]. PayPal Holdings, Inc. (PYPL) - PYPL shares are under pressure due to tougher year-end comparisons following last year's spending surge, renewed pressure on lower-income consumers, and a rotation from cyclical sectors to large-cap tech [2]. - Nance downgraded PayPal to Sell from Neutral with a price forecast of $70, indicating that management commentary suggests branded checkout growth is unlikely to improve soon [3]. - The analyst forecasts approximately 3% total margin growth in 2026, which is below the ~5% consensus, and anticipates ongoing valuation pressure amid competitive challenges in online commerce [4]. Marqeta, Inc. (MQ) - Marqeta was also downgraded to Sell from Neutral, with concerns over its heavy reliance on Block, which could lead to a 2% reduction in gross profit next year [5]. - The change highlights broader total addressable market (TAM) pressures as fintechs internalize processing and competition from Stripe and slow modernization by banks [6].

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Marqeta, Inc. due to a class action lawsuit alleging that the company made false or misleading statements regarding its business outlook and regulatory challenges [1][2]. Group 1: Lawsuit Details - The class action complaint was filed on December 9, 2024, covering a Class Period from May 7, 2024, to November 4, 2024 [1]. - Allegations include that Marqeta understated regulatory challenges, leading to a necessary cut in guidance for Q4 2024, and that public statements made by the defendants were materially false or misleading [2]. Group 2: Next Steps for Investors - Long-term stockholders of Marqeta are encouraged to contact Bragar Eagel & Squire for more information regarding their rights and the ongoing investigation [3]. Group 3: About the Law Firm - Bragar Eagel & Squire, P.C. is a nationally recognized law firm with a focus on representing individual and institutional investors in complex litigation across various courts [4].

Core Viewpoint - Marqeta Inc. is highlighted as a promising tech stock under $10, with a current Hold rating and a price target of $6.50 maintained by analyst Sanjay Sakhrani from Keefe, Bruyette & Woods [1][2] Leadership Changes - Marqeta appointed Mike Milotich as the permanent CEO on September 8, 2025, after he served as interim CEO since February 2025 and has been CFO since 2022 [2][3] - The Board of Directors emphasized Milotich's contributions to enhancing Marqeta's operations and financial performance over the past year, leveraging his experience from Visa, PayPal, and American Express [3] Financial Performance - Under Milotich's leadership, Marqeta's stock has experienced a significant rally of nearly 42% this year [3] - The company operates a card-issuing platform that provides infrastructure and tools for payment solutions, enabling businesses to create customized debit, credit, and prepaid card programs [4]

Core Insights - Fintech companies are actively hiring and promoting executives to establish strategic partnerships and drive revenue growth [1][3] Company Developments - Marqeta appointed Mike Milotich as its new CEO after he served as interim CEO following the exit of the former CEO [2][3] - Marqeta is currently searching for a new CFO to support its growth initiatives [3] Executive Appointments - Extend hired Francois Horikawa, a former PayPal executive, as its first CFO to help the company achieve profitability [4] - Sunbit appointed Shai Terem as its CFO, who brings extensive experience in leading public companies through growth phases [5] - Pipe named Vijay Vachani as its chief revenue officer to oversee global partnerships and merchant sales, enhancing its global expansion efforts [5][6]

Core Viewpoint - Marqeta, Inc. will host a conference call and webcast to discuss its third quarter 2025 financial results on November 5, 2025, at 4:30 pm ET [1] Company Information - The call will be hosted by Mike Milotich, who serves as both the Chief Executive Officer and Chief Financial Officer of Marqeta [1] - A press release detailing the third quarter 2025 financial results will be issued after the market closes on the same day [1]

Group 1 - Marqeta Inc. has appointed Mike Milotich as the new CEO and Director, effective immediately, after serving as Interim CEO since February 2025 [1][2] - The Board believes Milotich's extensive knowledge of the business, strong customer connections, and proven leadership make him the ideal choice to execute Marqeta's strategy [2] - Milotich has been with Marqeta as CFO since February 2022, overseeing financial planning, corporate development, accounting, and investor relations [3] Group 2 - Prior to joining Marqeta, Milotich held significant roles at Visa, PayPal, and American Express, enhancing his qualifications for the CEO position [3] - Marqeta operates a cloud-based open API platform for card issuing and transaction processing services, positioning itself in a growing fintech sector [3]