IMXI Stock Forecast & Price Target

International Money Express Inc. has demonstrated a strong upward trajectory in its digital transactions, which grew by 9.1% year-over-year, reflecting a significant shift towards more cost-efficient digital remittance solutions. Alongside this, the company's digital revenue surged by nearly 66.5%, contributing to improved gross margins per transaction compared to its retail business. Moreover, International Money's combined market share in five key markets has reached approximately 20%, with projections indicating growth in digital revenue from 3% in FY24 to a potential 25% by FY29, showcasing the firm's promising outlook in the remittance sector.

International Money Express Inc. experienced a revenue decline of 4.1% year-over-year, largely attributed to a decrease in transaction volume of approximately 3.3%, driven by challenging economic conditions affecting remittance activity to Latin America. The company's adjusted EBITDA of $30.9 million, reflecting an 18.8% margin, fell short of estimates, exacerbated by heightened selling, general, and administrative expenses, while future EBITDA margins are projected to decline to 15.9% in 2025 from 18.2% in 2024. Additionally, the adjusted EPS of $0.57 was below both estimates and consensus, highlighting the continuing pressure on profitability amid a sluggish market growth environment.