What does Evertec do?

EVERTEC runs the systems that let shops accept card payments and let banks issue and manage debit, credit, prepaid and government benefit (EBT) cards. It also runs the ATH network, a PIN debit network in Puerto Rico, and gives banks and governments IT and back-office services such as core banking and outsourcing. It processes about ten billion transactions a year.

What is Evertec's fair value?

On an owner-earnings DCF, Evertec's most-likely fair value is about $39, versus a recent price near $30. A margin-of-safety estimate, not a price target. Analysis, not advice.

Technology · Software - Infrastructure · EVTC

What Evertec Does & How It Makes Money (EVTC)

Updated October 2026 · reflects Evertec's latest reported financials

Payment processing and fintech services provider for Latin America and Caribbean. It earns processing and transaction fees from merchants, card issuers and financial institutions for each payment it handles.

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How Evertec makes money

It earns processing and transaction fees from merchants, card issuers and financial institutions for each payment it handles. It also earns service fees for outsourced IT, core banking and business process management, sold mainly through its own direct sales force.

What Evertec does

EVERTEC, Inc. is a San Juan, Puerto Rico-based transaction processing and financial technology company founded in 1988, serving Latin America, Puerto Rico and the Caribbean. It reports four segments: Payment Services - Puerto Rico & Caribbean; Latin America Payments and Solutions; Merchant Acquiring; and Business Solutions. It processes about ten billion transactions a year across its electronic payment networks. The company helps merchants accept debit, credit, prepaid and EBT payments in stores and online. It also handles authorization, settlement and fraud monitoring for card issuers and ATM programs, and owns and operates the ATH PIN debit network. Its Business Solutions segment provides core bank processing, network hosting, managed IT and security services, item and cash processing, and business process outsourcing. Its customers are financial institutions, merchants, corporations and government agencies.

Products & services

ATH debit network
Merchant acquiring (POS and e-commerce)
Card issuer processing and fraud monitoring
EBT card processing
Core bank processing and network hosting
Business process outsourcing and managed security services

What is Evertec worth?

On an owner-earnings DCF, Evertec's most-likely value is about $39 versus a recent price near $30 (32% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$21) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.

Verdict: Fairly priced — no edge

Owner-earnings fair value · recent price ≈ $30

Fair value (most likely)

$39

Range

$30–$58

No-growth floor

$21

Price

~$30

Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.

⚠ High leverage — net debt is 7.9× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.

Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →

Sector Technology Industry Software - Infrastructure HQ United States Ticker EVTC Official site

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