HomeMarket NewsPaymentus stock declines as Citi downgrades to Neutral

Paymentus stock declines as Citi downgrades to Neutral

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Paymentus Financial institution office building in Richmond Hill, On, Canada.

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Paymentus Holdings (NYSE:PAY) experienced a 4% decline in its stock price during Thursday’s early afternoon trading session. This drop came as Citi analyst Ashwin Shirvaikar downgraded the provider of cloud-based bill payment technology and solutions from a Buy rating to Neutral.

The reason behind this downgrade is due to the substantial gains the stock has already achieved this year, with a year-to-date increase of 79%. As a result, the stock’s near-term upside potential is limited, which led to the downgrade.

Despite the downgrade, Shirvaikar maintains a positive view on the company’s fundamentals. In a note, he highlighted Paymentus’ consistent strong momentum in bookings and improved operational efficiency.

Last month, Baird analyst David Koning also lowered his rating on PAY, citing a spike in its valuation.

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