Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
PayPoint plc is a British public company specializing in multichannel payment and retail services across the United Kingdom. Founded in 1996, it operates through a nationwide network of over 28,000 convenience stores and more than 65,000 retailer partner and SME locations, facilitating essential transactions for consumers and businesses. The company delivers payment solutions including bill payments, mobile top-ups, cash deposits, Open Banking integrations, direct debit, card, and cash transactions, primarily for utilities, public transport ticketing, and TV licences, with fees often covered by payee organizations. Its PayPoint segment offers card payment devices, EPoS systems, ATMs, SIM sales, parcel services via Collect+, and digital platforms like PayPoint One, eMoney, and MultiPay. The Love2shop segment provides shopping vouchers, e-codes, and Christmas savings clubs redeemable at participating retailers. Headquartered in Welwyn Garden City, Hertfordshire, PayPoint plc supports consumers, SMEs, convenience retailers, and sectors including commercial, not-for-profit, and public, playing a key role in accessible community financial services.
£5.88
+£0.15 (+2.62%)
EOD Jul 3, 2026
Margins and capital returns are both well above average: 21.48% operating margin, ROIC at 25.53%. Consistent with durable pricing power, though that alone doesn't make it a buy.
Revenue grew 8.5%, steady but not accelerating.
Even for strong businesses, today's 10x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.
10.1x earnings, 3.9x FCF. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
£337M
▲ +8.5% YoY
Net Income (TTM)
£41M
▲ +113.3% YoY
Op. Margin
21.48%
▲ +4.6pp YoY
ROIC
25.53%
▲ +7.3pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
£100M
▲ +1688.1% YoY
Op. Cash Flow (TTM)
£109M
▲ +225.5% YoY
Net Debt
£27M
Cash & Equiv.
£115M
3Y CAGR: +26.2%
3Y CAGR: +84.7%
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At a P/E of 10.1 and a price-to-free-cash-flow of 3.9, PayPoint (PAY.XLON) trades below a two-stage DCF intrinsic value of about £75.74 per share, so at £5.88 the stock looks undervalued (1,189.2% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, PayPoint scores 83/100 on Intrinsiqq's quality scorecard (a high-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 15.5%; see dividend safety for coverage and history. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Intrinsiqq's two-stage DCF estimates an intrinsic value of about £75.74 per share for PAY.XLON, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around £56.81. At today's £5.88, that puts the stock about 1,189.2% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
PayPoint scores 83 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a high-quality business on these measures. Recent fundamentals include a 21.5% operating margin and a 25.5% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Yes, PayPoint pays a regular dividend of about £0.91 per share per year (typically in quarterly installments), a yield of roughly 15.5% at the current price. That is a payout ratio of about 147.0% of earnings, so the dividend is stretched at this level. PayPoint has grown the dividend at roughly 27.2% a year over the past few years. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For PAY.XLON's full payout history, growth streak and dividend-safety score, see the dividends tab.
That depends on valuation and quality together, not either alone. PAY.XLON currently trades below its estimated intrinsic value and scores 83/100 on quality (high-quality). It also yields about 15.5%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.