Adyen Shares Drop After Company Abandons Midterm Profitability Target
By Adria Calatayud
Adyen shares fell sharply after the Dutch payments company said it would drop a midterm profitability target as it seeks to accelerate investments.
Shares in Adyen were down 11% in early European trading on Wednesday, deepening the stock's fall since the start of the year to 39%.
The company said it would seek to accelerate investments in its team, platform, and products to tap into the opportunity it sees ahead, and that it would no longer pursue a midterm profitability objective to retain flexibility.
Adyen had previously targeted an earnings before interest, taxes, depreciation and amortization margin above 55% by 2028.
The removal of the margin target will disappoint the market, even if it came alongside a better-than-expected performance for the third quarter, analysts at J.P. Morgan wrote in a note to clients.
Adyen reported a 23% jump in third-quarter net revenue to 738.1 million euros ($821.1 million). On a constant-currency basis, net revenue was up 22%, it added.
Adyen said it expects net revenue growth of between 21% and 23% this year on a constant-currency basis, and an Ebitda margin of 50%.
Write to Adria Calatayud at adria.calatayud@wsj.com
(END) Dow Jones Newswires
October 28, 2026 04:47 ET (08:47 GMT)
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