Adyen’s North America Growth Story Continues; Lift FVE to EUR 1,430; Shares Overvalued

For the first half of 2021, wide-moat Adyen reported a whopping 67% volume growth year over year, supported by strong growth in North America as well as a relatively soft comparable base in the first half of last year. Net revenue increased 46% to EUR 445 million, lagging volume growth as the net take rate compressed. We raise our fair value estimate to EUR 1,430 per share from EUR 1,100 previously after giving our model a thorough update. We view shares as overvalued.