Summary of Nayax (NYAX) FY Conference June 04, 2025 Company Overview - **Company Name**: Nayax (NYAX) - **Founded**: February 2005 - **Public Listing**: Israel in 2021, U.S. in 2022 - **Industry**: Fintech and payment solutions, focusing on unattended retail market [3][2] Key Financial Metrics - **2024 Revenue**: $314 million, with a year-over-year growth of 30-35% since going public [5][6] - **Recurring Revenue**: Approximately 70% of total revenue is recurring, indicating strong predictability [6][14] - **Gross Margins**: 45% in 2024, with significant margin expansion [8][6] - **Net Retention Rate**: 129%, indicating strong customer loyalty and low churn [6][10] - **Q1 2025 Revenue**: $81 million, with a margin of 49% [8] Business Model - **Revenue Streams**: - Hardware sales (one-time) - SaaS (monthly fees per device) - Transaction processing fees [12][19] - **Average Revenue Per User (ARPU)**: $215, with over 50% gross margins on recurring revenue [19][20] - **Customer Base**: 100,000 customers, primarily small businesses with 1-15 devices [9][10] Market Strategy - **Target Market**: Small merchants and nano merchants, making up 75% of revenue [16] - **Global Presence**: Operations in over 20 countries, with significant revenue from North America (40%) and Europe [10][11] - **Distribution Channels**: 2,400 OEM partners, 900 resellers, and 50 financial partners [17][18] Growth Strategy - **Organic Growth**: Expected to be 25%+ for the year, with a focus on expanding into new verticals like EV charging and parking [24] - **Inorganic Growth**: Plans to acquire 2-3 companies annually for customer acquisition and distributor consolidation [23] - **Emerging Markets**: Focus on Latin America, particularly Brazil, with acquisitions of VM Technologia and UpPay to enhance market presence [50][51] Product Innovations - **Embedded Payment Solutions**: Introduction of the UNO Mini, a cost-effective payment solution for OEMs, aimed at enhancing the EV charging market [29][38] - **EV Charging Strategy**: Comprehensive payment solutions for EV charging, including card present and card not present payments, addressing integration challenges [32][34] Industry Trends - **Market Potential**: Anticipated growth from 45 million to 60 million devices in the unattended retail space by 2029 [46][47] - **Shift to Cashless**: Focus on converting existing cash-accepting devices to cashless solutions [47] Conclusion Nayax is positioned as a leader in the unattended payment solutions market, with a robust business model characterized by high recurring revenue, strong customer retention, and a strategic focus on growth through both organic and inorganic means. The company is actively expanding its product offerings and geographic reach, particularly in the emerging EV charging sector.

Core Insights - Visa Inc. has launched an innovative debit card in partnership with Klarna, designed to enhance payment flexibility for customers [1][9] - The Klarna Card offers immediate debit payments, Pay in 4, and Pay Later options, along with an FDIC-insured wallet [1][9] - The card is currently in trial in the United States, with plans for a broader launch in the U.S. and Europe later this year [2][9] Industry Trends - The buy now pay later (BNPL) market is trending among Gen Z and millennials, with a projected annual growth rate of 12.4% in Europe, reaching $191.3 billion by 2025 [4] - By integrating BNPL features into a Visa-powered debit card, Visa aims to attract new customers and increase transaction volumes [5] Company Performance - Visa's payment volume increased by 8% year over year in the fiscal second quarter, driven by growth in the U.S., Europe, CEMEA, and LAC regions [5] - The cross-border volume for Visa rose by 13% year over year in the same quarter [5] - Over the past year, Visa's stock has increased by 33.2%, outperforming the industry growth of 27.1% [6]

Core Viewpoint - Flywire has been appointed to the PCI Security Standards Council (PCI SSC) 2025-2027 Board of Advisors, marking its second consecutive term, which underscores its commitment to enhancing payment security standards and protocols [1][2][3] Group 1: Company Representation and Expertise - Flywire's CTO, David King, and CIO/CISO, Barbara Cousins, will represent the company on the PCI SSC Board, leveraging their extensive experience in security and payments [1][2] - David King was part of the original team that drafted the initial version of PCI DSS 1.0, bringing valuable insights to the Board [2] Group 2: Commitment to Security and Compliance - Flywire is PCI DSS Level 1 certified, the highest level for credit card data security, and undergoes annual SOC II Type II audits to ensure strong information management processes [3] - The company actively manages global regulatory requirements, including comprehensive Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) programs, and complies with various data protection laws such as GDPR, CCPA, PIPEDA, HIPAA, and FERPA [3] Group 3: Client Trust and Security Differentiation - Flywire's security capabilities are a key differentiator for its global clients, as evidenced by Nordic Visitor's decision to select Flywire for its international payments due to robust security and compliance features [4] - The company emphasizes that being a leader in security and compliance is about building trust with clients and their customers, not just meeting regulatory requirements [5] Group 4: Industry Collaboration - The PCI SSC Board of Advisors provides industry expertise that influences the development of PCI security standards and programs, highlighting the collaborative effort to enhance payment data security globally [5][6]

Core Viewpoint - Nayax Ltd. is set to present at the William Blair Growth Conference, highlighting its role as a global commerce enablement and payments platform aimed at helping merchants scale their businesses through simplified payments and enhanced loyalty [1]. Company Overview - Nayax is a global commerce enablement, payments, and loyalty platform designed to assist merchants in scaling their businesses. The company provides a comprehensive solution that includes localized cashless payment acceptance, a management suite, and loyalty tools, enabling merchants to conduct commerce anytime and anywhere [3]. - As of March 31, 2025, Nayax operates 11 global offices and employs approximately 1,100 individuals. The company has established connections with over 80 merchant acquirers and payment method integrations, being recognized globally as a payment facilitator [3]. Upcoming Events - Sagit Manor, Chief Financial Officer, and Aaron Greenberg, Chief Strategy Officer, will lead a presentation at the William Blair Growth Conference in Chicago on June 4, 2025, at 8:00 AM Chicago Time. They will also engage in one-on-one meetings throughout the day [1].

Summary of Key Points from the Conference Call on Stablecoins and Banking Industry Industry Overview - The increasing adoption of stablecoins poses a long-term risk to bank deposit economics, with legislative efforts in the US Congress likely to accelerate this trend [1][8] - The full impact of digital assets and blockchain technology on industry profitability is still uncertain, as the sector is in the early stages of this technological shift [1] Core Insights on Banking and Stablecoins - Current concerns about banks retaining deposits are less significant; however, future value creation related to deposits and payments may occur outside the banking sector, particularly in private credit and direct lending [2] - Major banks are actively exploring stablecoin initiatives, with reports of a joint stablecoin project among the largest US banks [3] - Regulatory frameworks, such as the GENIUS Act and STABLE Act, are essential for stablecoin adoption, addressing interoperability and consumer payment ecosystems [4][12] Legislative Developments - The GENIUS Act aims to establish a regulatory framework for stablecoins, requiring issuers to maintain reserves and be authorized by federal or state regulators [12] - The STABLE Act focuses on transparency and accountability for stablecoin issuers, mandating regular reporting and reserve disclosures [12] - The SEC has clarified that stablecoins are not classified as securities, which may facilitate their adoption [16] Market Dynamics and Risks - The potential for stablecoins to draw deposits away from banks could lead to increased volatility in the US Treasury market, with a projected $0.90 demand for T-bills for every $1 that leaves traditional banks [11][65] - The shift towards stablecoins could pressure bank margins and alter the balance sheet composition, as traditional payment providers face competition from blockchain-based solutions [49][50] Expert Insights - Mike Cagney, CEO of Figure Technologies, discussed the transformative potential of blockchain in capital markets and the risks stablecoins pose to traditional revenue streams [5][8] - The development of blockchain infrastructure could diminish the economic value offered by traditional payment providers, threatening the existing payment model [10] Adoption Challenges - Barriers to widespread stablecoin adoption include the need for a clear regulatory framework and consumer preferences for existing payment systems, such as credit card rewards [4] - The integration of stablecoins into the financial system is expected to accelerate, but banks must not underestimate the risks to their existing revenue streams [8][31] Future Outlook - The potential introduction of yield-bearing stablecoins could further disrupt the banking sector, with significant implications for deposit flows and competition among financial institutions [34][51] - The Treasury Department views stablecoin development as a priority to maintain the USD's status as the reserve currency, indicating a push for the US to lead in stablecoin innovation [30] Conclusion - The stablecoin landscape is evolving rapidly, with significant implications for the banking industry, regulatory frameworks, and market dynamics. The ongoing discussions and legislative developments will shape the future of stablecoins and their integration into the financial ecosystem [8][30][31]

Investment Rating - The report maintains a "Buy" rating for Global-E Online Ltd. (GLBE) since December 10, 2021, with a 12-month price target of $39.00, indicating an upside potential of 22.6% from the current price of $31.81 [6][25]. Core Insights - Management expressed confidence that the renewal with Shopify will not lead to a decoupling but will enhance the economics of the third-party (3P) solution, potentially accelerating Managed Markets volumes [1]. - The company is experiencing a growing pipeline, with some projects moving faster than expected due to tariff impacts, which could positively influence momentum into 2026 [1]. - The implementation backlog for the second half of the year is less concentrated than in 2024, reducing implementation risks [1]. - Despite macroeconomic uncertainties, same-store sales (SSS) trends are tracking in line with expectations, with management reiterating guidance for 2025 [14][16]. - The renegotiation with Shopify is viewed positively, with management indicating that it will be net beneficial for GLBE, despite some changes in exclusivity and unit economics [14][17][18]. Financial Projections - Revenue is projected to grow from $752.8 million in 2024 to $1,393.4 million by 2027, with EBITDA increasing from $140.8 million to $339.4 million over the same period [2][11]. - The company anticipates a significant increase in earnings per share (EPS), from $0.64 in 2024 to $1.63 in 2027 [2][11]. - The forecasted free cash flow yield is expected to rise from 2.7% in 2024 to 6.1% by 2027 [2][11]. Market Position and Valuation - GLBE's market capitalization is approximately $5.6 billion, with an enterprise value of $5.0 billion [2]. - The company is positioned favorably with limited U.S. exposure (12% of inbound volume) and limited U.S. de-minimis exposure, which should help navigate current trade dynamics [1]. - The report suggests that the renegotiation with Shopify could lead to a mid-single-digit benefit to EBITDA in 2026, with potential for a 10% upside by 2027 if Managed Markets adoption accelerates [21][22].

Industry Overview - Mobile payments are financial transactions conducted through smartphones, tablets, or wearable devices, facilitated by digital wallets and contactless technologies [1] - The global mobile payments market was valued at $3.84 trillion in 2024 and is expected to grow to $4.97 trillion in 2025, reaching an estimated $26.53 trillion by 2032, indicating a CAGR of 27% [4] Technological Advancements - Emerging technologies like blockchain and artificial intelligence are reshaping the mobile payments landscape, enhancing transaction transparency and fraud prevention [2] - Modern mobile payment platforms offer consolidated interfaces that integrate multiple cards and bank accounts, significantly boosting user convenience [3] Key Players - Green Dot Corporation (GDOT) provides mobile payment capabilities through its digital banking services and mobile application, with features like account management and cash deposits at over 95,000 retail locations [6][7] - Shift4 Payments (FOUR) offers mobile payment solutions, including the SkyTab mobile point-of-sale system, supporting various payment types and advanced security features [9][10] - Marqeta, Inc. (MQ) enables businesses to integrate digital payment solutions into their applications, with a focus on Buy Now, Pay Later options and real-time transaction processing [12][13] - NCR Voyix Corporation (VYX) has expanded its mobile payment solutions for the retail and restaurant industries, introducing technologies like Aloha Pay-At-Table to enhance customer experience [15][16] Financial Performance - Green Dot's active accounts reached 3.58 million in Q1 2025, marking a 2% year-over-year growth, with a Gross Dollar Volume of $37.3 billion, up 21% [8] - Shift4 Payments generated $755.7 million in payments-based revenues in Q1 2025, growing 15% year-over-year [11] - Marqeta's total processing volume reached $84 billion in Q1 2025, a 27% year-over-year increase [14] - NCR Voyix had over 77,000 platform sites and 8,000 payment sites as of Q1 2025, signaling year-over-year increases of 27% and 7%, respectively [17]

Core Insights - Identifying value stocks requires a thorough analysis of key financial metrics such as earnings per share and sales growth to determine if a stock is undervalued [1] - The price-to-book (P/B) ratio is an important valuation tool that can help investors find low-priced stocks with high growth potential [2][6] Valuation Metrics - The P/B ratio is calculated as market capitalization divided by book value of equity, and a ratio less than one indicates that a stock is undervalued [2][6] - A P/B ratio greater than one suggests that a stock may be overvalued, while a ratio less than one could indicate weak returns or overstated assets [8][9] - Other important ratios to consider alongside P/B include price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity ratios for a comprehensive investment decision [10] Screening Parameters - Stocks with a P/B ratio lower than the industry median are considered to have potential for price appreciation [12] - A P/S ratio below the industry median indicates that the stock is attractively valued based on its sales [12] - A P/E ratio (F1) lower than the industry median is viewed favorably, as it suggests better valuation [13] - A PEG ratio of less than 1 indicates that a stock is undervalued relative to its growth prospects [14] - Stocks should have a current price of at least $5 and an average 20-day trading volume of 100,000 or more for liquidity [15] Notable Stocks - Centene Corporation (CNC) is a diversified healthcare company with a projected 3-5 year EPS growth rate of 11.5% and a Zacks Rank of 2 with a Value Score of A [16][17] - CVS Health Corporation (CVS) has a projected 3-5 year EPS growth rate of 11.4% and also holds a Zacks Rank of 2 with a Value Score of A [17] - Pfizer (PFE), a major pharmaceutical company, has a projected 3-5 year EPS growth rate of 9.0% and a Zacks Rank of 2 with a Value Score of A [18] - StoneCo (STNE), a financial technology provider, boasts a projected 3-5 year EPS growth rate of 26.3% and a Zacks Rank of 1 with a Value Score of B [19] - Paysafe Limited (PSFE) has a projected 3-5 year EPS growth rate of 17.9% and a Zacks Rank of 2 with a Value Score of A [21]

Core Insights - Flywire Corporation has been accepted into Virtuoso's exclusive portfolio of luxury travel partners, enhancing its sales and marketing opportunities within the luxury travel sector [1][2] - Virtuoso comprises 2,300 preferred suppliers across 100 countries, with member agencies generating an average of $35 billion in annual sales, positioning Flywire within a significant market [1][8] - Flywire's technology and payment solutions are designed to provide seamless and secure payment experiences for high-end travelers, supporting over 140 currencies and diverse payment methods [3][7] Company Overview - Flywire is a global payments enablement and software company that integrates its proprietary global payments network and vertical-specific software to manage complex payments for clients [4][5] - The company supports over 4,600 clients in more than 240 countries and territories, focusing on industries such as education, healthcare, and travel [7] Industry Context - Virtuoso is a leading global travel agency network specializing in luxury and experiential travel, with over 1,200 agency locations and more than 20,000 travel advisors [8] - The network provides exclusive amenities and privileged access to its upscale clientele, further enhancing the value proposition for Flywire as a preferred partner [2][8]

Mastercard Incorporated (NYSE:MA) Bernstein 41st Annual Strategic Decisions Conference May 28, 2025 2:30 PM ET Company Participants Michael Miebach - CEO Conference Call Participants Harshita Rawat - Bernstein Harshita Rawat Great. I think you're live. Good afternoon again everyone. I'm Harshita Rawat, Bernstein's Senior Analyst covering Payments Processors and IT Services. I'm delighted to be joined today by Michael Miebach, Mastercard's CEO at Bernstein's 41st Annual Strategic Decisions Conference. Michae ...