DA Davidson has reaffirmed its Buy recommendation for Shift4 Payments (NYSE: FOUR) and maintained a $104 target price, even as the payments processor's shares have fallen roughly 35% over the last six months. InvestingPro analysis cited in the firm's note places the stock at $58.98, compared with a Fair Value estimate of $87.77.
The analyst house said it expects Shift4 to release fourth-quarter results early on Thursday, February 26, and is modeling an outcome in which the company meets or modestly exceeds its internal forecasts. InvestingPro Tips referenced in the briefing indicate that net income is expected to grow this year and that Shift4 has remained profitable over the trailing twelve months. The platform notes that investors can access five additional ProTips and further analysis through its Pro Research Report.
DA Davidson also said management is likely to provide initial guidance for 2026 alongside the quarterly report. That guidance is expected to exclude any impact from a potential acquisition of Worldline's North American subsidiaries.
On the modeling side, DA Davidson made a series of adjustments to reflect its current view of the business environment. The firm lowered near-term payment volume growth expectations modestly, assumed somewhat higher levels of share repurchases, incorporated recent foreign exchange rate moves, and added assumptions tied to the company's recent simplification of its corporate structure. Despite those inputs, the firm characterized the net change to its annual forecasts for net revenue, adjusted EBITDA, and non-GAAP earnings per share as not material.
Separately, Shift4 has rolled out a stablecoin settlement platform that gives merchants the option to receive settlement in digital currencies instead of traditional bank transfers. The service supports stablecoins including USDC, USDT, EURC, and DAI, and will operate across multiple blockchain networks such as Ethereum and Solana.
The company's board of directors has also declared a cash dividend of $1.50 per share on its 6% Series A Mandatory Convertible Preferred Stock, with the dividend payable on February 2, 2026.
Market reactions have been mixed. Deutsche Bank moved to downgrade Shift4 from Buy to Hold, citing concerns about the sustainability of the company's organic growth, even after a reported 18% year-over-year increase in the third quarter of 2025. Mizuho trimmed its price target for Shift4 to $90.00 from $102.00, attributing the change to revised fourth-quarter volume expectations.
In a distinct personnel-related development, Shift4's founder Jared Isaacman has been reported to offer private jet rides to top NASA staff as incentives for exceptional performance. Collectively, these items sketch a company navigating product innovation, capital allocation decisions, and differing analyst views as it approaches its next quarterly update.
About the coverage
This report consolidates analyst commentary, company announcements, and third-party valuation metrics provided in the public note. It does not add forecasts or figures beyond those cited by the firm and referenced sources.