This Payments Stock Is Down 37% This Past Year as One Fund Trimmed a $40 Million Stake

4 days ago 11

Jonathan Ponciano, The Motley Fool

Sat, December 20, 2025 astatine 2:43 PM CST 5 min read

Boston-based Portolan Capital Management sold 246,414 shares of Shift4 Payments successful the 3rd quarter.
The wide presumption worth decreased by $28.52 cardinal from the erstwhile period.
As of September 30, Portolan reported holding 188,761 FOUR shares valued astatine $14.61 million.
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Boston-based Portolan Capital Management reduced its involvement successful Shift4 Payments (NYSE:FOUR) by 246,414 shares successful the 3rd 4th saw its vulnerability autumn by $28.5 million, according to a November 13 SEC filing.

According to a U.S. Securities and Exchange Commission (SEC) filing dated November 13, Portolan Capital Management sold 246,414 shares of Shift4 Payments (NYSE:FOUR) during the 3rd quarter. The fund's presumption declined successful worth by $28.52 cardinal compared to the erstwhile filing period. After the trade, Portolan held 188,761 shares worthy $14.61 million.

Shift4 Payments present represents 0.79% of Portolan's reportable U.S. equity AUM.

Top holdings aft the filing:

NYSE:MOD: $85.6 cardinal (4.6% of AUM)
NASDAQ:TTMI: $68.5 cardinal (3.7% of AUM)
NYSE:ELF: $64.6 cardinal (3.5% of AUM)
NYSE:DBRG: $64 cardinal (3.5% of AUM)
NYSE:CLS: $62 cardinal (3.4% of AUM)

As of Friday, shares were priced astatine $64.07, down 37% implicit the past twelvemonth and good underperforming the S&P 500's astir 16.5% summation successful the aforesaid period.

Metric

Value

Revenue (TTM)	$3.9 billion
Net Income (TTM)	$194.8 million
Price (as of marketplace adjacent Friday)	$64.07
One-Year Price Change	(37%)

Shift4 Payments offers integrated outgo processing, omni-channel paper acceptance, POS solutions, fraud prevention, eCommerce, and concern analytics tools.
The institution serves merchants crossed retail, hospitality, stadiums, amusement venues, and eCommerce sectors successful the United States.
It employs proprietary cloud-based platforms to present secure, scalable outgo and concern absorption solutions.

Shift4 Payments is simply a technology-driven supplier of integrated outgo and commerce-enabling solutions, serving a divers merchant base. The institution leverages proprietary platforms and cloud-based tools to present secure, scalable outgo processing and concern absorption capabilities. Its absorption connected omni-channel integration and vertical-specific solutions supports competitory differentiation successful the evolving payments landscape.

In a portfolio dominated by industrial, consumer, and infrastructure-oriented holdings, this presumption had already shrunk to a peripheral role, making it a logical root of funds arsenic condemnation shifted elsewhere. At little than 1% of reported assets, the involvement nary longer reflects a high-conviction maturation bet, but alternatively a residual vulnerability to a volatile payments name.

That trimming comes contempt a coagulated operating quarter. Shift4 reported third-quarter gross gross of $1.18 billion, up 29% twelvemonth implicit year, with gross gross little web fees rising 61%. Adjusted EBITDA reached $292 million, representing a 50% margin, portion adjusted escaped currency travel accrued 27% twelvemonth implicit twelvemonth to $141 million. Management besides authorized a caller $1 cardinal stock repurchase program, the largest successful the company’s history, underscoring assurance successful semipermanent currency generation.

Ultimately, the concern is executing good and generating cash, but the stock’s underperformance suggests that maturation unsocial is not enough. In portfolios prioritizing durability and little volatility, adjacent beardown operators tin beryllium downsized erstwhile risk-reward tilts unfavorably.