Here's why the EML (ASX:EML) share price is up 8% in the last month

What's behind the share price gain?

| More on:
Lady pays for latte with mobile phone tap and pay

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The EML Payments Ltd (ASX: EML) share price has had a stellar month thus far.

Shares in the payments company have surged more than 8% in the last 30 days.

Let's take a look at what's been prompting investors to bid the EML share price higher.

What's been moving the EML share price?

There have been several catalysts that have helped propel the EML share price higher this past month.

Shares in the payment company rebounded strongly after providing an update on its acquisition of Prepaid Financial Services (PFS).

EML informed investors that it had identified historical deficiencies in cash for dormant e-money accounts in PFS.  

Bullish price action in the buy-now-pay-later sector and commentary from the Reserve Bank of Australia also had the potential to move EML's shares.

The largest catalyst that shook the EML share price was the company's full-year result for FY21.

How did EML perform in FY21?

For FY21, EML reported a record year with growth across a majority of its financial metrics.

Highlights from the company's full-year report included;

  • Group gross debit volume (GDV) up 42% to $19.7 billion.
  • Record revenue of $194.2 million, an increase of 60% on FY20.
  • Record underlying group earnings before interest, tax, depreciation, and amortisation (EBITDA) of $53.5 million, up 65%.
  • Gross profit margins of 67%, down from 73% in FY20 due to a shift in business segments.
  • New business GDV pipeline of $10.5 billion, with more than 300 prospects.
  • Costs and provisions totalling $11.4 million in FY21 in relation to the Central Bank of Ireland regulatory investigation.

For FY22, EML is expecting to generate underlying EBITDA in a range of between $58 million to $65 million.

In response, the EML share price tanked more than 5% after releasing its report.

However, shares in the payment company recovered strongly, finishing the day more than 4% higher.

Snapshot of the EML share price

Despite EML's bullish price action this past month, it's important to put the performance in context.

Since the start of the year, shares in the payment company are relatively flat for the year.

The EML share price was rocked earlier this year after the Central Bank of Ireland voiced concerns over the company's anti-money laundering financing compliance.

Several brokers remain bullish on their outlook for the EML share price.

Leading broker UBS has slated the payments company as a buy, with a share price target of $4.80.

At market close, shares in EML finished the day, trading at around $4.17, down 0.48%.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the 'five best ASX stocks' for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right now...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended EML Payments. The Motley Fool Australia owns shares of and has recommended EML Payments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

A man looking at his laptop and thinking.
Share Gainers

Here are the top 10 ASX 200 shares today

The markets lost their steam this Thursday.

Read more »

Ecstatic woman looking at her phone outside with her fist pumped.
Share Gainers

Why Catapult, Hutchinson, SKS, and West African shares are pushing higher today

These shares are having a strong session despite the market weakness.

Read more »

Rising gold share price represented by a green arrow on piles of gold block.
Gold

Up 72% in 2025, why is this ASX 200 gold stock racing ahead of the benchmark again today?

Investors are bidding up this high-flying ASX 200 gold stock again on Thursday. But why?

Read more »

Businessman smiles with arms outstretched after receiving good news.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a wonderful Wednesday session for investors today.

Read more »

A man with a wide, eager smile on his face holds up three fingers.
Gold

3 reasons this ASX 200 gold mining giant could soar higher into 2026

A leading expert forecasts more outperformance from this surging ASX 200 gold stock.

Read more »

Person pointing at an increasing blue graph which represents a rising share price.
Share Gainers

Why Adriatic Metals, Catapult, Seek, and TechnologyOne shares are racing higher today

These shares are having a good time on hump day. But why?

Read more »

A woman's hand draws a stylised 'Top Ten' on a projected surface.
Share Gainers

Here are the top 10 ASX 200 shares today

ASX shares returned to positive territory this Tuesday.

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Share Gainers

Why Breville, Clarity, EOS, and TechnologyOne shares are racing higher today

These shares are having a strong session on Tuesday. But why?

Read more »