Jason Kupferberg, an analyst from Bank of America Securities, reiterated the Buy rating on Flywire (FLYW – Research Report). The associated price target was lowered to $20.00.
Jason Kupferberg has given his Buy rating due to a combination of factors influencing Flywire’s current and future performance. Despite the recent decline in Flywire’s stock price following a weak fourth-quarter report and a cautious fiscal year 2025 guidance, Kupferberg sees potential in the company’s differentiated approach to providing vertical-specific software and payment solutions. The company is undertaking an operational and strategic review, which includes a reduction in headcount and restructuring charges, aimed at optimizing its operations and adapting to changing regulatory dynamics.
While Flywire faces macroeconomic challenges in its education vertical, particularly due to restrictive visa policies in Canada and slowing trends in Australia and the US, its travel and B2B sectors remain robust. The acquisition of Sertifi is expected to provide a revenue boost, and the adjusted EBITDA margin guidance is ahead of market expectations. These factors contribute to Kupferberg’s confidence in Flywire’s long-term growth potential, justifying the Buy rating despite short-term setbacks.