Voss Capital urges Euronet Worldwide to explore strategic alternatives

Voss Capital, which owns approximately 4.2% of Euronet Worldwide Inc. (NASDAQ: EEFT), issued an open letter to the company's board calling for immediate exploration of strategic alternatives due to sustained stock underperformance.

The investment firm, managing $1.842 billion in assets, cited Euronet's significant underperformance across multiple timeframes. According to data provided by Voss Capital, Euronet's stock declined 54% over five years while the S&P 500 gained 81%. The company also underperformed Western Union, despite Euronet's superior earnings growth of 24% compound annual growth rate over five years compared to Western Union's negative 4%.

Voss Capital noted that Euronet's valuation has compressed from a historical range of 15-20 times next twelve months earnings between 2014-2020 to approximately 6.5 times consensus 2026 earnings currently.

The firm expressed frustration with management's approach, stating that a promised analyst day was delayed and then replaced with "investor forums." Voss Capital quoted CEO Mike Brown from the February 12 earnings call as saying the company doesn't view "near-term uncertainty as a reason to adjust our long-term strategy."

To support its case for strategic alternatives, Voss Capital referenced Brink's Company's recent $6.6 billion acquisition of NCR Atleos Corporation. The firm calculated that applying Atleos's valuation multiples to Euronet would imply a stock price between $115 and $140, representing a 62% to 97% premium to Euronet's March 2 closing price of $71.68.

Euronet operates global financial infrastructure including payment rails and money remittance distribution capabilities across multiple countries.

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