Long Position on FOUR @ $58.00 on 10/12/2020 (Fundamentals)

Shift4 Payments, Inc. (FOUR) provides integrated payment processing and technology solutions in the United States.

Its payments platform provides omni-channel card acceptance and processing solutions, including end-to-end payment processing for various payment types; merchant acquiring; proprietary omni-channel gateway; complementary software integrations; integrated and mobile point-of-sale (POS) solutions; security and risk management solutions; and reporting and analytical tools, as well as tokenization, risk management/underwriting, payment device and chargeback management, fraud prevention, and gift card solutions.

The company also offers suite of technology solutions, such as Lighthouse 5, a cloud-based business intelligence tool that includes customer engagement, social media management, online reputation management, scheduling, and product pricing, as well as reporting and analytics; integrated POS for merchants business; and Skytab, a mobile payment solution.

In addition, it provides marketplace technology that enable seamless integrations into third-party applications, which includes online delivery services, payroll, timekeeping, and other human resource services.

Further, the company offers merchant management, training and education, marketing management, and incentives tracking solutions.

Additionally, it provides merchant underwriting, onboarding and activation, training, risk management, and support services; and software integrations and compliance management, and partner support and services.

FOUR has consistenly had high transaction volume among the pandemic and has been used as indicator that some merchanges are experiencing a strong recovery. In some states, the company's transaction volume has increased approximately 16% over the last month and this trend should continue in the coming months. The company should continue to increase and the increased volume should reflect in higher share prices.

Entry Point: $58.00

Stop Loss: $54.75

Trading Range: $30.00 - $56.20

Target Price: $64.00

Updates

11/9/2020 9:39:06 AM

FOUR closed at $61.50

Position closed on 11/9/2020 at price of $61.50 with a 6.03% gain in 28 days.

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