ATLANTA – NCR (NYSE:VYX) Atleos Corporation (NYSE: NATL), a leader in self-service financial access, announced today the rollout of a new feature for LibertyX customers, enabling them to sell bitcoin and withdraw cash from ATMs across the United States. This service, part of the Atleos ReadyCode API suite, is designed to simplify digital to physical currency transactions for consumers.
The innovative ReadyCode system allows enrolled LibertyX mobile app users to pre-stage bitcoin sales transactions and then receive cash at any participating ATM that is ReadyCode enabled. This new feature aims to provide LibertyX users with a convenient and immediate way to convert their digital assets into physical cash, addressing one of the significant hurdles in bitcoin adoption – the ease of moving from bitcoin to cash.
Stuart Mackinnon, COO of Atleos, emphasized the company's commitment to bridging the gap between digital services and physical infrastructure. He noted that the new feature would enhance the value proposition of LibertyX, increase foot traffic at participating merchants, and improve ATM productivity.
Chris Yim, General Manager of LibertyX, highlighted the convenience of the service, stating that users can now convert digital assets to physical cash from their phones and collect their funds at their convenience in locations that suit them.
Atleos, headquartered in Atlanta, Georgia, boasts the largest independently-owned ATM network and is known for its global services and continuous innovation in the financial sector. The company's introduction of the LibertyX Bitcoin Cashout feature is expected to expand across more than 30 states, providing a transaction point within five miles of over 75% of Americans.
This latest development is based on a press release statement from NCR Atleos Corporation and marks a significant step in integrating cryptocurrency services with traditional financial systems.
In other recent news, NCR Atleos Corporation posted Q2 earnings that surpassed estimates, with an adjusted earnings per share (EPS) of $0.81, beating the consensus of $0.52. However, the company's revenue of $1.08 billion fell slightly short of the expected $1.1 billion. Goldman Sachs (NYSE:GS) maintained a neutral rating on NCR Atleos, recognizing its strong Q2 performance and setting a steady price target of $29.00.
In terms of strategy, the company is progressing with its ATM as a Service (ATMaaS) model, successfully transitioning 1,300 units in Q2. Goldman Sachs acknowledged the potential of this strategy to enhance revenue growth and customer retention. However, ATMaaS currently represents only 4% of NCR Atleos' total revenue, despite growing approximately 30% year-over-year.
Looking forward, NCR Atleos has forecasted an EPS of $0.71-$0.81 on revenue of $1.045-1.075 billion for Q3, and it has revised its full-year 2024 guidance to an EPS of $2.90-$3.20 on revenue of $4.26-4.34 billion. These recent developments reflect the evolving landscape for NCR Atleos, as it continues to navigate its strategic transition and financial performance.
InvestingPro Insights
As NCR Atleos Corporation (NYSE: NATL) continues to innovate in the financial sector by integrating cryptocurrency services into traditional banking systems, it's essential to consider the company's financial health and market performance. According to InvestingPro data, NCR Atleos has a market capitalization of $2.06 billion, indicating its substantial presence in the industry. Despite challenges in profitability, with a negative Price/Earnings (P/E) Ratio of -9.9, the company's revenue has grown by 4.25% over the last twelve months as of Q2 2024, showing potential for future financial improvements.
InvestingPro Tips suggest that NCR Atleos is expected to see net income growth this year, which could be a positive sign for investors looking at the company's long-term prospects. However, the company suffers from weak gross profit margins, currently at 23.09%, which could be a point of concern for cost efficiency and overall profitability. On a more optimistic note, analysts predict the company will be profitable this year, aligning with the expected net income growth.
Investors may also be interested in the company's stock performance, which has seen a large price uptick of 31.02% over the last six months. This could reflect growing investor confidence in NCR Atleos's strategic direction, including its latest foray into cryptocurrency ATM services. For those considering adding NATL to their portfolio, it's worth noting that the company does not pay a dividend, which may influence investment strategies focused on income generation.
For more detailed analysis and additional InvestingPro Tips on NCR Atleos Corporation, interested parties can visit the dedicated page at https://www.investing.com/pro/NATL. The platform offers an extensive list of tips, with several more available to help investors make informed decisions.
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