Here's Why Shift4 Stock Crashed Today
It was an eventful report for Shift4 Payments (NYSE: FOUR) yesterday. The company announced financial results for the fourth quarter of 2024, made a $2.5 billion acquisition, finalized its CEO transition plan, and set long-term financial targets in its investor-day presentation. Management hoped to inspire investors. But I believe it's safe to say that they were uninspired, considering Shift4 stock was down by 15% as of 12:30 p.m. ET.It can't all be unpacked here -- Shift4 simply announced too much yesterday. But I'll try to hit the highlights. When it comes to payment volume, the company targets high-volume customers and is firing on all cylinders. In Q4, its payment volume was up 49% to $48 billion. And in 2025, the company expects between 21% and 33% payment volume growth.Shift4 hopes to further boost volume with its acquisition of Global Blue. Global Blue's payment technology is used in over 400,000 locations in international markets, largely for luxury retailers. The transaction has an enterprise value of $2.5 billion, which Shift4 will pay for with cash on hand and a bridge loan.Continue reading
It was an eventful report for Shift4 Payments (NYSE: FOUR) yesterday. The company announced financial results for the fourth quarter of 2024, made a $2.5 billion acquisition, finalized its CEO transition plan, and set long-term financial targets in its investor-day presentation. Management hoped to inspire investors. But I believe it's safe to say that they were uninspired, considering Shift4 stock was down by 15% as of 12:30 p.m. ET.
It can't all be unpacked here -- Shift4 simply announced too much yesterday. But I'll try to hit the highlights. When it comes to payment volume, the company targets high-volume customers and is firing on all cylinders. In Q4, its payment volume was up 49% to $48 billion. And in 2025, the company expects between 21% and 33% payment volume growth.
Shift4 hopes to further boost volume with its acquisition of Global Blue. Global Blue's payment technology is used in over 400,000 locations in international markets, largely for luxury retailers. The transaction has an enterprise value of $2.5 billion, which Shift4 will pay for with cash on hand and a bridge loan.
