V - Fintech Stocks: Analyst Foresees Revenue Surge for BILL Flywire Global Payments Mastercard and Shopify | Benzinga
Seaport analyst Jeff Cantwell initiated coverage Thursday of the fintech sector, including BILL Holdings, Inc (NYSE: BILL), Fiserv, Inc (NYSE: FI), Fidelity National Information Services, Inc (NYSE: FIS), Flywire Corp (NASDAQ: FLYW), Global Payments Inc (NYSE: GPN), Mastercard Inc (NYSE: MA), PayPal Holdings, Inc (NASDAQ: PYPL), Shopify Inc (NYSE: SHOP), Block, Inc (NYSE: SQ), Visa Inc (NYSE: V).
Many companies from this list will be participating in the discussion at the Benzinga Fintech Deal Day & Awards in New York City on Nov. 14, 2023.
BILL’s (Buy; $144 price target) combination of best-in-class AP/AR software and emerging flywheel, including Divvy, Invoice2Go, and Finmark, create a compelling long-term bull case for the shares.
Revenue growth of over 20% annually, robust gross margins (>80%), and improving profitability should support the shares through the coming cycle.
Block’s (Neutral) current valuation reflects that the market believes the company has squandered its leadership position in Fintech. He believes Block needs to reaccelerate top-line (gross profit) growth to capture investors’ minds.
FIS (Neutral) is a company in flux, changing its management and streamlining itself by selling its Worldpay business. He thinks it will take time for FIS to fully rebuild its ‘story’ and turn things around with the stock.
Fiserv (Neutral) is a well-managed company, and ...