It still sports a reasonable valuation of 22.4 times forward earnings, despite bouncing back by 50% over the past twelve months. Benefiting greatly from the “digitalization of payments” trend, Fiserv Inc. is poised to experience steady growth in the coming years. Earnings are expected to increase by 14.6% in 2024, and by 15.1% in 2025. Weighing these forecasts against FI’s current forward earnings multiple of 17.1, and besides being an attractive fintech option, it may be a standout among “growth at a reasonable price” stocks. Sezzle is a buy now-pay later (BNPL) fintech company that launched in 2016. Its digital payment platform provides an alternative for millions of consumers with limited access to traditional credit.

That also means that private market valuations are estimates based on the firm’s last private capital raise. The fund invests in a portfolio of fintech companies and holds more than 60 stocks as of January 2025. The point is that all the companies have excellent growth potential, but your investment won’t get crushed if one or two of them don’t quite live up to expectations. Based in the Netherlands, Adyen provides payment processing solutions to businesses and has operations around the world (including a large U.S. presence). It offers payment solutions for in-person, online, and mobile channels. But, unlike the other major payment processing tech companies, Adyen focuses almost exclusively on large businesses.

The best fintech stocks

For other static pages (such as the Russell 3000 Components list) all rows will be downloaded. On Monday, Chinese fintech X Financial moved up four spots in Barchart’s Top 100 Stocks to Buy. Now, in the top 20, here’s why you might consider making a small bet on the consumer lender. While MercadoLibre currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys. The first fintech company, Dwolla, was founded in 2008 in Des Moines, Iowa, by Ben Milne. This isn’t just about making money – it’s about being part of the future.

Best Fintech Stocks to Buy Right Now

Its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) also turned negative in 2023. For 2024, analysts expect its revenue to rise 11% as its adjusted EBITDA stays negative. Now is a great time to add these fintech stocks to your portfolio before they get too expensive. As the world moves away from cash and towards digital payments, there are plenty of opportunities for these stocks to grow even more. The company recently released a Mercado Pago mobile app, which small businesses can use to process payments on the go.

• These apps allow for a better trading experience through zero commissions, extended hours, and more.
• Zuora won the 2020 CODiE Award for Best Subscription Billing Solution.
• In the US, AI security startup Bonfy.ai raised $9.5 million, highlighting the global demand for advanced compliance and risk tools.
• Instead of providing your credit card information every time you buy something online, you can connect to your PayPal account.
• But given the earnings trajectory of Block, that valuation looks very reasonable to start a position.

Market Resources

• Additionally, assets under custody totaled US$159.7 billion, up 5 percent from September 2024 and up 89 percent year-over-year.
• This speeds up the process and makes customers less likely to abandon an order midway through.
• Affirm is a leading provider of buy now, pay later (BNPL) services, which allow merchants to break purchases into smaller installments.
• The company is led by CEO David Feller, who is a serial entrepreneur and brought Mogo public in 2015.
• For example, companies that develop new digital payment-processing solutions are considered fintech, as are companies that build and operate person-to-person payment applications.

Fintech companies endeavor to provide more efficient, cost-effective, and accessible financial services to individuals and businesses. It is disrupting the financial industry by fostering competition and challenging established players, encouraging them to adapt and innovate. Tech companies have been disrupting and revolutionizing every corner of the economy for decades, but financial services were long considered a stubborn holdout to this trend. While this makes Stripe the most valuable fintech company in the United States, it’s a significant downgrade from before. In 2021, Stripe had a $91 billion valuation but lost value after market conditions got tougher for technology companies. In 2020, Alipay was planning to go public with a valuation of over $300 billion.

And for 2025, the outlook is for $1.9 billion in adjusted operating income. As of this writing, PayPal shares trade at a forward price-to-earning (P/E) ratio of just 14.8. Get the latest information about  companies present in Fintech sector. Recently, writer Louis Navellier and the InvestorPlace Research Staff weighed in on PYPL. They pointed out that several analysts, like Morgan Stanley’s James Faucette and Mizhuo’s Dan Dolev, have walked back some of their bullishness for PYPL stock.

It’s only a matter of time before these increases are reflected in the share price. Using blockchain technology, the company runs a digital shopping mall platform called Chain Cloud Mall (“CCM”). Futu has seen success over the last year with a nearly 90% increase in share price.

The Smartest Fintech Stocks to Buy With $1,000 Right Now

Microsoft (MSFT -0.39%), Uber (UBER -0.22%), and McDonald’s (MCD 1.91%) all rely on Adyen for their payment processing needs. You may recall that eBay dropped PayPal as its preferred payment processor several years ago; that was in favor of Adyen. The first fintech stock to add to your portfolio is none other than PayPal (PYPL 1.14%), which has been leading the digital payments revolution for more than 25 years. I’m talking about the intersection of financial services and technology, otherwise known as fintech. This category includes both younger and faster-growing enterprises, as well as those that are a bit more mature.

Dave Inc. (NASDAQ:DAVE)

Futu Holdings is an online brokerage based in Hong Kong, with operations in China and the United States. If they can continue to perform at this high level, shares could continue to rise as they have over 50% this last year. In March, it added Square Financial Services, providing business loans and deposit products. Another one of their most exciting ventures is the Cash App, a peer-to-peer payment app similar to Venmo.

Fintech—short for financial technology—is an emerging class of companies that use technology to automate and improve financial services for businesses and consumers. Trading for almost 33.2 times forward earnings, it’s a stretch to call Block Inc. “cheap”. But if last quarter’s results mark the start of a trend, subsequent growth could be enough to propel SQ stock (trading for around $64 per share) back to higher prices. During the stock market downturn of 2022, some financial technology stocks experienced heavy volatility. Yet, typically older and more established firms in the space demonstrated resilience.

Additionally, fintech companies often have innovative business models that can disrupt traditional financial services, offering significant upside potential. However, investing in fintech stocks also carries risks, such as regulatory challenges and market volatility, which investors should carefully evaluate. To compile our list of the 10 best-performing fintech stocks to buy according to analysts, we looked for the biggest fintech companies. We reviewed our own rankings, financial media reports, ETFs, and various online resources to compile a list of the best fintech stocks. Then we looked for the best-performing stocks in the fintech sector and narrowed down our list to stocks that have gained at least 8% year-to-date as of February 26, 2025. Next, we focused on the top fintech stocks that analysts believe have the most potential for growth.

As more customers take advantage of the bank’s excellent digital channels, the business will become more efficient. With a valuation that’s cheaper than many other large banks and a 2.3% dividend yield, Bank of America is an outside-the-box fintech worth considering. Block now processes payments for merchants at an annualized rate of about $240 billion, has its own banking subsidiary (Square Financial Services), and a thriving small business lending platform. In this article, we’ll take a look at the different types of fintech stocks, and some specific examples of promising fintech stocks you can buy right now. Another advantage of PayPal’s scale is that it is an extremely profitable company. It posted $1.5 billion in operating income in the first quarter, translating to a stellar operating margin of 19.6%.

Global Payments Inc. (NYSE:GPN)

Ryan Peterson is a seasoned personal finance writer with a Bachelor’s Fintech stocks Degree in Business from Indiana University. The company’s founders used to work for SolarCity before the company was bought by Tesla. In 2021, GoodLeap received a $12 billion valuation during a fundraising round.

The future is powered by artificial intelligence, and the time to invest is NOW. With this background in mind, let’s take a look at the 11 best fintech stocks to buy right now. On July 4, FinTech Global, a global leading provider of FinTech information services, reported that $2.24 billion was raised across 15 fintech funding rounds this week. This shows that the fintech sector is recovering from weaker figures in the week before.