VeriFone Systems, Inc.
(PAY - Free Report
) recently entered into an agreement with Valero Retail Holdings, Inc. to deploy VeriFone PAYMEDIA for Secure PumpPAY solutions in Austin, Texas.
VeriFone recently introduced its PAYmedia service, managed by VeriFone Media and broadcast via the VeriFone Digital Network (VNET). The Secure PumpPAY Solutions from VeriFone enable gasoline retailers and distributors to install Europay, MasterCard and VISA (EMV)-capable PCI payment systems in gasoline dispensers that meet the latest payment security standards.
In September 2006, the Payment Card Industry Security Standards Council (PCI SSC) was formed by American Express, Discover Financial Services, JCB, MasterCard, and Visa International.
The prime motive behind these standards was to oversee and unify industry standards in the areas of payment card data security, referred to as the PCI standards. These standards consist of PIN Transaction Security (PTS), the PCI Data Security Standard (PCI-DSS) for enterprise data security, and the Payment Application Data Security Standard (PA-DSS) for payment application data security.
As security becomes a key driving factor, these standards have become more stringent and increasingly dependent on complex hardware-based measures to protect all payment related data.
Earlier, VeriFone announced that Indiana-based retailer The Finish Line
(FINL - Free Report
) has deployed its mobile checkout and multimedia-driven countertop payment solutions to improve the shopping experience of its consumers, following a successful trial.
In the last two years, VeriFone has been focusing on transforming its business in response to the rapidly evolving needs of customers, retailers and payment innovators across the world. The company aims to offer its retailers a managed service that can easily accept all existing payment types, including the evolving alternative and mobile payment methods being offered by Google and PayPal, Groupon, Isis, Visa, MasterCard and American Express.
We continue to maintain our Neutral recommendation on VeriFone in the long run. Our recommendation is supported by a Zacks #3 Rank, which translates into a short-term rating of Hold.