Is RPAY a high-quality business?

AlphaMadera's AlphaQuality grade scores Repay Holdings Corporation on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how RPAY compares to a Buffett-style quality bar.

What is Repay Holdings Corporation's AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to RPAY based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes RPAY a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

RPAY - Repay Holdings Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $4.38 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Platform & Compounding FCF

AlphaQuality — archetype-weighted quantitative grade

F 30.0 / 100 pillar composite

Composite Grade

Composite of six pillars weighted for platform & compounding fcf businesses. Purely quantitative — the six pillars score only reported financials, no analyst input.

⚠ 4 of the last 5 fiscal years showed negative net income — AlphaQuality will not grade above F for persistent unprofitability in a platform & compounding fcf business.

Grade overrides the 30.0 pillar composite because hard gates always win. Use the pillar breakdown below to see where the underlying numbers sit.

Profitability

Weight: 25%

D- 30.0

5yr Avg ROIC -5.2% 0/100
Operating Margin Trend +5.59 pp/yr 100/100

Capital Efficiency

Weight: 15%

F 0.0

5yr Avg ROE -14.4% 0/100
5yr Share-Count CAGR 10.4% 0/100

Growth Quality

Weight: 25%

A 87.1

5yr Revenue CAGR 14.8% 90/100
Revenue-Growth Years (5) 4/5 80/100

Cash Generation

Weight: 20%

A- 81.0

5yr FCF Margin 20.5% 90/100
5yr FCF/NI Conversion 2.70x 69/100

Balance Sheet

Weight: 10%

F 0.0

Net Debt / EBITDA 10.00x 0/100
Interest Coverage (EBIT/Int) -18.86x 0/100
Altman Z-Score -0.90 0/100

Stability

Weight: 5%

D 36.7

EPS Volatility (σ/μ) 1.39 0/100
Negative-Revenue Years (5) 1/5 80/100
Piotroski F-Score 5 56/100

1 of 1 gurus held; 1 trimmed; 1 full exit.

Holders: 1
Avg Δ position: -40.7%
New buys: 0
Full exits: 1

Wood sold -100%
Cooperman decreased -41%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (25%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (25%) — 5yr Revenue CAGR, Revenue-Growth Years (5)
Cash Generation (20%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (10%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (5%) — EPS Volatility (σ/μ), Negative-Revenue Years (5), Piotroski F-Score

The six pillars read only reported financial-statement fields — no analyst targets or consensus ratings. The archetype that picks which pillar formulas apply is not fully price-free, though: it can route a company to the distressed/ungradable archetype based on price vs. its 52-week high, and beta affects one classification check. A minimum of 5 fiscal years of audited statements is required. Insurers and banks are graded on their own methodology — insurers on loss ratio, its trend and stability, and premiums-to-surplus; banks on the efficiency ratio, its trend and stability, and equity-to-assets — rather than on industrial margin/ROIC signals. Distressed, highly leveraged infrastructure, asset-manager, and other financial businesses are declared ungradable rather than forced into a numeric score.