PAYS Paysign, Inc.
$12.89
Platform & Compounding FCF 85%
Two-stage FCF DCF
Strong · Conviction

Undervalued

Trading 57.9% below fair value

You pay $12.89
Bear $18.64
Fair $30.65
Bull $44.57
Bear $18.64 +44.6% 10% stage 1 growth, 11% discount
Fair $30.65 +137.8% 17% stage 1 growth, 11% discount
Bull $44.57 +245.8% 22% stage 1 growth, 11% discount

Adjust Assumptions

16.6%
11.0%
3.0%

Key Value Driver

FCF growth rate (17% base case)

Terminal Value % of EV 44%
Implied Market Multiple 14.9x
Market is pricing in (growth) 5.0% vs 16.6% base

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (8 analysts) $13.33
Divergence from AlphaVal 130%

Summary

Using a two-stage FCF DCF with 17% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $30.65 per share.

Warnings

Stock-based employee pay equals 56% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Wall Street's average price target is $13.33 (from 8 analysts). Our estimate is 130% above the consensus -- consider that gap carefully.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions