Lumida
/PMTS
⌘K
CPI Card Group Inc

CPI Card Group Inc

PMTS
$18.81USD↓-1.88%-0.36 today

MARKET CAP

215.9M

P/E (TTM)

18.3x

FWD P/E

7.4x

DAY RANGE

$19 – $19

52W RANGE

$11
$22

AI Summary

Stalk
StalkMedium

Stage 2 advancing structure supports a medium-term bullish bias, but late-June bullish exhaustion and sideways consolidation around the EMAs have created a lack of clear timing edge. Price is tightly tracking above the rising short EMAs and the 50 DMA with neutral overbought/oversold context. We will defer execution and stalk for a pullback into structural support or the EMA cluster before buying.

  • ↑Q1 revenue rose 20% YoY to $147M, driven by Secure Card Solutions
  • ↑ArrowEye deal boosts personalized card offerings and adds mid-$50M revenue
  • ↓Q1 net income fell 57% to $2.1M due to $3M of integration costs
Full analysis →

The case for & against

Bull & Bear analysis

Bearish

CPI Card Group Inc. (NASDAQ: PMTS) is a leading provider in the payment technology sector, primarily focusing on the secure production and personalization of payment cards for financial institutions and fintechs. The company operates within the rapidly expanding payments industry, emphasizing innovations in contactless technologies, instant issuance solutions, and prepaid card markets. Recent acquisitions, such as the integration of ArrowEye Solutions, bolster CPI's competitive positioning in a landscape driven by digital payment trends and evolving customer needs.

Bull says

  • ↑Q1 revenue rose 20% YoY to $147M, driven by Secure Card Solutions
  • ↑ArrowEye deal boosts personalized card offerings and adds mid-$50M revenue
  • ↑Generated $10M free cash flow, underpinning liquidity and reinvestment
  • ↑Over 90% of cards produced are contactless, tapping rising digital payments demand
  • ↑Net leverage near 3× with improved debt management supports growth financing
  • ↑High earnings yield and favorable growth factors enhance value proposition

Bear says

  • ↓Q1 net income fell 57% to $2.1M due to $3M of integration costs
  • ↓Gross margin contracted 320bps to 30.0% from rising production and $1.2M tariffs
  • ↓Prepaid segment revenue declined 17% in Q1, signaling softer demand
  • ↓Net leverage near 3× raises risk if cash flows don’t support capex
  • ↓Short interest up 11.5%, reflecting market skepticism on growth outlook
  • ↓Weak profitability metrics and negative momentum factors dampen investor confidence

Investment themes with PMTS

Technology Hardware↓ -1.58%

Manufacturers of computers, peripherals, and devices

SNDK · CRDO · CSCO

Earnings Call · Q1 2026 · Mgmt. Guidance

Updated 05-08-2026bullish

Transcript signals

Bull points

  • First quarter revenue increased 20% to $147 million, led by our Secure Card Solutions segment.
  • Secure Card Solutions revenue increased 35%, which included a $16 million contribution from ArrowEye.
  • we still expect to grow revenue in this segment by more than 15% in 2026.

Bear points

  • First quarter net income declined by 57% to $2.1 million, primarily affected by $3 million of pre-tax integration costs,
  • Gross profit margin declined from 33.2% to 30.0% affected by lower sales and margins in our prepaid segment and increased production costs, including tariffs and depreciation,
Read full transcript analysis ›