Steven D. Friedman

USAT: Great Penetration Story I Believe Is Ready To Hit Inflection Point

USA Technologies (NASDAQ:USAT) $2.03. Price target $3.50-5.60 (up 70-175%) July 27, 2013

Stock Characteristics


    USA Technologies derives real benefit to vending machine operators which will drive continued adoption, benefiting USAT and their recurring business model. Cashless payment solutions are inevitable in this industry and adoption has already started, only question is how quickly. The vending operators are seeing real benefit of switching in terms of material increase in gross transactions after offering cashless solutions (case study showed 23% increase in transactions). Generates a recurring revenue stream that continues to grow and should see strong incremental operating leverage going forward The Company just became EBITDA positive in the Dec'12 qtr. Management has stated that they are no longer ...
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