* Note: Prices are in Million (M) USD.
Description:
Marqeta, Inc. is a prominent provider of cutting-edge payment solutions, leveraging its cloud-based open API platform to deliver seamless transaction processing and card issuance services. Targeting developers and innovative businesses, Marqeta enables the creation of tailored payment experiences that meet evolving consumer needs. With its headquarters in Oakland, California, the company is strategically positioned to capture the surging demand for flexible payment solutions in the rapidly digitizing financial landscape. As a leader in the industry, Marqeta continues to redefine payment processing with its robust technology and customer-centric approach.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Note: Financial institutions (banks/insurers/brokers/REITs) are evaluated using sector, P/E, growth, ROE and other factors. The 3.5× Net Debt/EBITDA rule is skipped to avoid misleading signals; however, Cash/Debt/EBITDA are still displayed and counted for scoring.
Cash : $747 M
Debt : $5 M
EBITDA : $-44 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Financials
Industry: Software - infrastructure
Based on industry, 5 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 6 overlapping fiscal years (max 20).Average Free Cash Flow: $21 M
Average Revenue: $480 M
Revenue Converted To Free Cash Flow (%): 4.4%
Since Free Cash Flow (FCF) to Revenue percentage is less than 15, 1 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $507 M
Revenue 5 Years Ago (2019-12-31): $143 M
Total Growth over 5 Years: 253.9%
5-Year Revenue CAGR (Historical): 28.8%
Forward 5-Year CAGR (Tapered): 14.4%
Since historical Revenue CAGR is greater than 20, 5 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $519 M
Share Count 5 Years Ago (2020-12-31): $537 M
Company is buying back its own shares, 3 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $0.00
Trailing 12-Month Earnings Per Share (EPS): $0.00
Average Earnings Per Share (EPS): $0.00
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0.00%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 6 valid ROE years (max 20).Average ROE: -16.2%
Since Average ROE is non-positive, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $4.88
52-Week Low: $3.48
Threshold Price (15% Above 52-Week Low): $4.00
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $2,008 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
Owners' Earnings (FCF/Share) (TTM ending 2025-09-30): $0.20
Owners' Earnings (FCF/Share, latest positive annual) (2024-12-31): $0.11
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 17 points to above Marqeta Inc (MQ) stock.
Fair Value PE 20, Industry Based PE 30, Growth Based PE 15, RCFC Based PE 4.42, Risk-Free Anchored PE (25% MoS) 18.47. Based on these 5 values, average assigned is 17.58. The fair value of Marqeta Inc (MQ) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
