$Euronet Worldwide (EEFT.US)$In the inventory review of autu...

Listed in 1997, mainly engaged in retail finance, including ATM, transfer, remittance, and other services. The market is global, and the current price is 101.45.

In the past 5 years, except for 2020, the revenue has grown for 4 years, with an average growth rate of 7.8%. Operating profit shrunk significantly by 68% in 2020, and then grew continuously for the next 3 years, but failed to reach the high point of 2019, with an average growth rate of 3.4%. Among them, the growth rate in 2023 was 12.3%. The interest expense in 2023 accounted for 9.3% of the operating profit, and the interest burden is normal. The gross margin has decreased from 43.4% to 39.7% in the past 5 years. The return on net assets reached 22.4% in 2023.

In the past 5 years, the debt-to-asset ratio has increased from 66.1% to 78.8%. The proportion and growth rate of accounts receivable are normal. Goodwill and other intangible assets are 1.015 billion, accounting for 81.2% of the net assets of 1.25 billion. Long-term loans are 1.715 billion, which is 1.37 times the net assets. The leverage ratio is high, but the interest burden is not heavy, which should be the characteristic of the payment business.

In the past 5 years, the net cash flow from operations has been significantly higher than the net cash flow from investments, resulting in a substantial amount of shareholder equity.

Currently the PE ratio is 18.4, although it is not attractive compared to the long-term growth rate, it has a significant discount compared to the recent growth rate, so it can still be cautiously selected (⭐️).