2 months Update on Paysafe (PSFE) Reddit    

I’m just putting in someone else’s research on here. I’m not a huge fan of all of Motley Fool picks but they have some decent analysts that have made me money over the years. I got into Upstart, Nvidia, Hubspot, and Axon because of their recommendations. I happen to agree this one so I’m sharing their info.

“The case for Paysafe

Online gambling is a growing industry in the U.S. as more states continue to legalize the practice. Paysafe is a key facilitator for online casinos and bookmakers, providing secure payment processing services and digital wallets.

The company's flagship brands, Skrill and Neteller, are in high demand from some of the largest online gambling providers in the world. Paysafe has a decade-long relationship with European giant Flutter Entertainment, which owns popular platform Pokerstars, and the two companies are now working together in the U.S. through Flutter's Fox Bet sportsbook subsidiary.

Paysafe is active in 15 of the 17 U.S. states where online gambling is legal, and with seven more states set to open up in late 2021 and 2022, the company's market opportunity continues to expand. In Canada, it's No. 1 in the online gambling industry, processing almost 100% of payments across the country. That's only a $2.5 billion market right now, so there's big upside as laws are slowly easing there, too.

The company's North American iGaming (online gambling) segment grew payment volumes by 72% in the most recent second quarter, far outpacing the rest of its business at 41%. But that's not to say the rest of the business isn't worth talking about.

In addition to gambling, Paysafe has a growing presence in the online gaming industry. Its partnership with Microsoft now spans 22 countries where it processes payments for in-game purchases made through the Xbox platform. And of course, no payments powerhouse is complete without a cryptocurrency segment — Paysafe's Skrill digital wallet is used with 30 cryptocurrency exchanges, and offers 37 different tokens for trading.

The result is $1.54 billion in estimated revenue for fiscal 2021, and with a recent market capitalization of $5.7 billion, Paysafe stock trades at a price-to-sales multiple of 3.7 times.

Paysafe's public listing was met with enthusiasm as it was caught up in the special purpose acquisition company craze of early 2021. Its recent stock price around $8 is a hefty discount to its $19.20 all-time high, and with the company operating in all the right growth areas, this might be a great long-term opportunity. “

I’m really curious what you all think of this one. They do have some debt but not an unmanageable amount. I own shares and options. I’m up over 100% on the options so already sold enough to cover my costs and playing with house money now but I can see this in the $10-$12 range by the end of the year.

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