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Wag Payment's debt pile will drag on earnings

The freight software company kept growing but saw its profits hit by rising interest expenses
September 7, 2023
  • Net debt to Ebitda ratio beyond target range 
  • High free cash flow yield is enticing

Trucking software company Wag Payment Solutions (WPS) wants to be a one-stop shop for its freight customers, which means that it has been buying up smaller companies to widen its own functionality. This has left it with a lot of debt just as interest rates are elevated and the economy is slowing. 

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