1 Top Growth Stock Down 55% to Buy After Its Recent Pullback

2025-11-16 05:10:00 ET

Immigration changes are a mounting concern for Remitly Global (NASDAQ: RELY) investors. These worries are not showing up in the underlying financial performance of this remittance disruptor. Revenue and transfer volume keep growing, along with profit margin expansion, which shows that the remittance market will do just fine despite increased crackdowns on illegal immigration in the U.S.

Shares of Remitly fell after reporting earnings earlier this month and are now down 55% from highs set earlier this year. Furthermore, the shares are down 75% since its initial public offering ( IPO ) in 2021, even though the business is as large as ever. This divergence between stock price and financial performance makes Remitly Global a top growth stock to buy on this recent pullback.

Last quarter, Remitly's monetary transfer volume grew 35% year-over-year to $19.5 billion, while revenue rose 25% to $420 million. The company earns a fee on every dollar sent across borders using its service, and it has recently expanded into serving more business customers. Larger transfer volumes per customer have driven down its take rate, which is why revenue is growing more slowly than overall volumes. However, this is a good thing as the company can offer lower fees while still generating solid unit economics, giving it scale that the competition cannot match.

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