CPI Card Group Inc.
$16.21
-6.7%CPI Card Group Inc., together with its subsidiaries, engages in the design, production, data personalization, packaging, and fulfillment of financial payment cards. It operates through Debit and Credit, and Prepaid Debit segments. The Debit and Credit segment produces financial payment cards and provides integrated card services to card-issuing banks. Its products include Europay, Mastercard, And Visa (EMV) and non-EMV financial payment cards and metal cards, as well as private label credit cards. This segment also provides on-demand services and various integrated card services, including card personalization and fulfillment, and instant issuance services. The Prepaid Debit segment primarily offers integrated card services comprising tamper-evident security packaging services to prepaid debit card providers. It also produces financial payment cards issued on the networks of the payment card brands. It serves issuers of debit and credit cards, Prepaid Debit Card program managers, community banks, credit unions, group service providers, and card transaction processors in the United States. The company was formerly known as CPI Holdings I, Inc. and changed its name to CPI Card Group Inc. in August 2015. CPI Card Group Inc. was incorporated in 2007 and is based in Littleton, Colorado.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is compressed (P/E 12.3).
Valuation inputs: P/E 12.3, earnings yield +8.1%, momentum -6.7%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -86.3%, ROIC +11.5%).
Profitability stack: net margin +2.8%, ROE -86.3%, ROIC +11.5%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile is elevated and scenario stress-testing is essential.
Risk factors: liabilities/assets +104.3%, momentum -6.7%, net margin +2.8%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
CPI Card Group Inc. Market vs Earnings Trajectory
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CPI Card Group Inc. Fair Value Envelope
CPI Card Group Inc. Profit Bridge
Profitability Analysis
Gross Margin
Moderate margins typical of competitive industries. Monitor for pricing pressure or rising costs.
Operating Margin
Acceptable margins but limited operational leverage. Operating expense control is important.
Net Profit Margin
Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.
Effective Tax Rate
Higher tax burden may reflect limited tax optimization or operations in high-tax jurisdictions.
Profitability Insight
Room for improvement: Moderate profitability with opportunities to enhance margins through better cost management or pricing strategy.
CPI Card Group Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.
CapEx Intensity
Moderate capital requirements typical of many stable businesses. Healthy balance between reinvestment and cash generation.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.
Cash Flow Quality Insight
Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.
CPI Card Group Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Balanced asset mix between current and non-current assets, typical of many stable businesses.
CPI Card Group Inc. Street Expectations Map
Wall Street analysts project that PMTS stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 26.00, with estimates ranging from a low of 25.00 to a high of 27.00.
The consensus 1-year price target stands at 26.00, with estimates ranging from a low of 25.00 to a high of 27.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Analyst Conviction
Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.
Market Sentiment Insight
Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.
CPI Card Group Inc. Insider Positioning
During the last 12 months, insiders have purchased $3.12M and sold $28.80M worth of PMTS shares, resulting in $25.68M of net selling activity.
3 Months
6.5K
104.00K
4.9K
74.61K
+29K
+$29K
3-6 Months
0
0.00
0
0.00
+0
+$0
6-9 Months
210.0K
2.84M
2.1M
28.72M
-25.9M
-$25.88M
9-12 Months
10.6K
167.54K
0
0.00
+168K
+$168K
Top Buyers
Riley H Sanford
Director, Other: Non-Executive Chairman
$3.11M
Mallela Ravi
Director
$10K
Top Sellers
Parallel49 Equity, Ulc
10 Percent Owner
$28.72M
Carmignani Donna Abbey
Officer: Controller & Chief Acct. Off.
$75K
Insider Activity Analysis
Net Insider Sentiment
Strong bearish signal with $25.68M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.
Buy/Sell Ratio
Weak buy/sell ratio. Selling significantly exceeds buying—monitor for potential fundamental concerns.
Recent Trend (3 Months)
Positive recent trend with net buying activity. Insiders have been accumulating shares in recent months.
Insider Participation
2 insider buyers and 2 sellers. Equal participation suggests mixed or neutral insider views.
pmts Dividend History
Learning Layer
Related Guides
Build conviction on PMTS by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.