Marqeta (NASDAQ:MQ) Posts Earnings Results

Marqeta (NASDAQ:MQ) posted its earnings results on Tuesday. The company reported $0.02 EPS for the quarter, FiscalAI reports. Marqeta had a net margin of 0.33% and a return on equity of 0.27%. The business had revenue of $165.80 million for the quarter, compared to analysts’ expectations of $164.30 million. During the same period in the previous year, the company posted ($0.02) earnings per share. The business’s revenue for the quarter was up 19.2% compared to the same quarter last year.

Here are the key takeaways from Marqeta’s conference call:

• Marqeta delivered Q1 GAAP profitability with $8M net income, adjusted EBITDA of $33M (20% margin), gross profit up 19% and TPV up 33%.
• Management emphasized the competitive edge of Marqeta’s platform — multi?country issuing, an integrated debit?to?credit product continuum — supported by customer wins/expansions (Sezzle in Canada, Ramp international rollout, a large portfolio migration using Mastercard One Credential) and pilot work on stablecoin?backed cards.
• Guidance was reaffirmed for Q2 and the year (Q2 net revenue/gross profit +14–16%; full?year net revenue +12–14%, gross profit +10–12%), the company raised 2026 GAAP net income expectation to about $15M, and share repurchases remain active with ~$52M available.
• Risks include a planned reduction in Block/Cash App new issuances that now looks to be a ~1.5 percentage point headwind to gross profit growth, tougher BNPL comps in later quarters, and general macro uncertainty that could pressure back?half performance.

Marqeta Stock Performance

Shares of Marqeta stock traded up $0.03 during trading on Thursday, hitting $4.17. 3,039,949 shares of the stock were exchanged, compared to its average volume of 3,720,015. The stock’s fifty day moving average is $4.11 and its 200 day moving average is $4.42. The stock has a market cap of $1.78 billion, a PE ratio of 416.92 and a beta of 1.35. Marqeta has a 12 month low of $3.70 and a 12 month high of $7.04.

Analysts Set New Price Targets

A number of research analysts have recently commented on the stock. Weiss Ratings reissued a “sell (d)” rating on shares of Marqeta in a research report on Friday, March 27th. JPMorgan Chase & Co. initiated coverage on shares of Marqeta in a research note on Tuesday, February 17th. They set an “overweight” rating and a $6.00 target price for the company. Wolfe Research lowered shares of Marqeta from an “outperform” rating to a “peer perform” rating in a research note on Thursday, January 8th. Mizuho reiterated a “neutral” rating and set a $4.50 target price (down from $8.00) on shares of Marqeta in a research note on Thursday, January 8th. Finally, UBS Group boosted their target price on shares of Marqeta from $4.25 to $4.75 and gave the company a “neutral” rating in a research note on Wednesday. One equities research analyst has rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Reduce” and an average target price of $5.19.

Insider Activity

In related news, Director Elaine Paul sold 17,452 shares of the company’s stock in a transaction dated Tuesday, April 21st. The shares were sold at an average price of $4.47, for a total value of $78,010.44. Following the completion of the sale, the director owned 17,453 shares of the company’s stock, valued at $78,014.91. This represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Judson C. Linville acquired 25,570 shares of Marqeta stock in a transaction that occurred on Friday, February 27th. The stock was bought at an average cost of $3.93 per share, with a total value of $100,490.10. Following the acquisition, the director directly owned 104,220 shares of the company’s stock, valued at approximately $409,584.60. This trade represents a 32.51% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. 12.61% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Marqeta

Several institutional investors have recently bought and sold shares of the stock. Wellington Management Group LLP lifted its holdings in Marqeta by 18.0% in the fourth quarter. Wellington Management Group LLP now owns 13,927,760 shares of the company’s stock worth $66,157,000 after purchasing an additional 2,129,486 shares during the period. Dimensional Fund Advisors LP lifted its holdings in Marqeta by 1.6% in the third quarter. Dimensional Fund Advisors LP now owns 8,450,737 shares of the company’s stock worth $44,624,000 after purchasing an additional 130,037 shares during the period. Invesco Ltd. lifted its holdings in Marqeta by 26.8% in the 4th quarter. Invesco Ltd. now owns 8,218,888 shares of the company’s stock valued at $39,040,000 after acquiring an additional 1,736,796 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its holdings in Marqeta by 7.7% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 8,214,458 shares of the company’s stock valued at $43,372,000 after acquiring an additional 587,863 shares during the last quarter. Finally, North Reef Capital Management LP lifted its holdings in Marqeta by 29.0% in the 4th quarter. North Reef Capital Management LP now owns 6,000,000 shares of the company’s stock valued at $28,500,000 after acquiring an additional 1,350,000 shares during the last quarter. Institutional investors and hedge funds own 78.64% of the company’s stock.

Marqeta Company Profile

Marqeta is a modern card issuing and payment processing platform that enables businesses to design, launch and manage customized payment cards. The company offers a fully programmable open API that allows clients to create virtual, physical and tokenized payment cards with real-time transaction controls and dynamic spend limits. By leveraging Marqeta’s infrastructure, companies can streamline their payment operations, reduce time to market and deliver tailored payment experiences to end consumers.

Founded in 2010 and headquartered in Oakland, California, Marqeta was established by CEO Jason Gardner with the goal of transforming traditional card issuance through cloud-native technology.