We recently published 10 Stocks Investors Have Ditched. Shift4 Payments Inc. (NYSE:FOUR) was one of the worst performers on Thursday.
Shift4 fell to a new two-year low on Thursday, as investor sentiment was dented by a 65-percent plunge in its attributable profits last year.
At intra-day trading, the stock dropped to its lowest price of $46.26 before paring losses to finish the session just down by 15.62 percent at $48.41 apiece.
In an updated report, Shift4 Payments Inc. (NYSE:FOUR) said that its net income attributable to shareholders nosedived to $79 million last year from $230 million in 2024, despite gross revenues increasing by 25 percent to $4.18 billion from $3.33 billion.
In the fourth quarter alone, net profit attributable to shareholders declined by 78 percent to $25 million from $116 million, while gross revenues increased by 34 percent to $1.189 billion from $887 million.
Encouraged by strong revenue results, Shift4 Payments Inc. (NYSE:FOUR) is targeting gross revenue growth of 26 to 31 percent in full-year 2026, to a range of $2.5 billion to $2.6 billion, while adjusted EBITDA is pegged at $1.165 billion to $1.215 billion, or an implied growth of 20 to 25 percent year-on-year.
In the first quarter, gross revenues are expected to hit $548 million, while adjusted EBITDA is targeted at $233 million, or growth of 38 percent year-on-year.
While we acknowledge the potential of FOUR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.
READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.
Disclosure: None. Follow Insider Monkey on Google News.