Priority Technology Holdings Maintains Buy Rating and $13.00 Target

Lake Street analyst Jacob Stephan maintains a Buy rating on Priority Technology Holdings with a $13.00 price target, citing the company's quarterly revenue of $224.63 million and net profit of $8.27 million. The analyst consensus is a Moderate Buy with an average price target of $11.50. However, corporate insider activity is negative, with 39 insiders selling their shares over the past quarter.

Priority Technology Holdings Inc. (PRTH), a company based in Alpharetta, Georgia, has reported its Q2 2025 financial results, showcasing impressive growth and a significant earnings per share (EPS) surprise. The company's quarterly revenue increased by 9% year-over-year, reaching $239.8 million, slightly surpassing the anticipated $239.63 million. The EPS of $0.26 also exceeded expectations, marking a 52.94% surprise compared to the forecasted $0.17 [2].

Analysts had predicted a revenue increase of 8.8% to $239.129 million and an EPS of 20 cents per share [1]. However, PRTH's actual performance exceeded these estimates, demonstrating robust operational efficiencies and strategic initiatives. The company's stock price rose sharply by 5.88% in pre-market trading following the announcement, reflecting investor confidence in its performance [2].

The company's strong financial health is evident in its financial highlights. Adjusted gross profit increased by 13% to $92.4 million, while adjusted EBITDA grew by 9% to $56 million. The adjusted gross profit margin also improved by 135 basis points to 38.5% [2]. The company's Connected Commerce platform expansion and payment orchestration enhancements have contributed significantly to its growth.

Looking ahead, Priority Tech has set its full-year revenue guidance between $970 million and $990 million, with adjusted EBITDA expected to range from $222.5 million to $227.5 million. The company anticipates an acceleration in growth during the second half of 2025, driven by potential large customer wins and increased deposit balances [2].

Despite the strong performance, corporate insider activity has been negative, with 39 insiders selling their shares over the past quarter. Analyst Jacob Stephan from Lake Street maintains a Buy rating on PRTH with a $13.00 price target, citing the company's quarterly revenue and net profit. The analyst consensus is a Moderate Buy with an average price target of $11.50 [1].

Overall, Priority Technology Holdings Inc. delivered a strong performance in Q2 2025, exceeding market expectations and demonstrating robust growth across its business segments. With a current ratio of 1.06 and improving operational metrics, the company shows promise for continued growth.

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TX28T:0-priority-technology-holdings-inc-expected-to-post-earnings-of-20-cents-a-share-earnings-preview/
[2] https://www.investing.com/news/transcripts/earnings-call-transcript-priority-tech-q2-2025-sees-strong-eps-beat-stock-surges-93CH-4178059