Core Insights - Remitly has experienced strong growth since its IPO in 2021, but its stock has declined significantly, down approximately two-thirds from its initial listing price of $43 [3][4] - The remittance industry, which involves hundreds of billions of dollars sent across borders annually, is dominated by traditional players like Western Union and MoneyGram, but Remitly is the fastest-growing company in this sector [2] Financial Performance - In the latest quarter, Remitly reported a revenue increase of 25% to $419.5 million, driven by a 35% rise in send volume to 19.5 million, although the take rate has decreased due to a strategic market expansion [5] - The company achieved a net income of $8.8 million, indicating it is now profitable under GAAP, although margins remain minimal [5] Future Projections - During its Investor Day conference, Remitly provided guidance through 2028, forecasting revenue growth in the high teens for 2026 and projecting revenue between $2.6 billion and $3 billion by 2028, which implies a compound annual growth rate of 20% over the next three years [6] - The company also aims for an adjusted EBITDA of $575 million to $600 million and plans to meet the "rule of 40" standard, where revenue growth and EBITDA margin combined would equal at least 40% [6] Market Position - Remitly currently has a market capitalization of $2.9 billion, trading at approximately 5 times its EBITDA forecast for 2028, suggesting potential for stock appreciation if targets are met [8] - The stock's current price is $13.61, with a 52-week range of $12.08 to $27.32, indicating significant volatility [8] Strategic Initiatives - The company has expanded its addressable market by offering services to businesses and introducing the Remitly One subscription program, which includes features like send now, pay later [9] - With strong revenue growth, a low valuation, and innovative products, Remitly is positioned as an attractive investment opportunity despite current stock weaknesses [9]

Market Overview - U.S. equity markets in Q4 2025 were influenced by optimism around potential monetary easing and caution regarding economic growth and valuations [1] - Strong AI-related earnings and a rate cut by the US Federal Reserve in October initially drove market gains, but sentiment cooled later due to mixed signals from the Fed [1] - Large-cap stocks rose 17.4% for the year and 2.4% in the quarter, while small caps gained 12.8% for the year and 2.2% in the quarter [1] - Value stocks outperformed growth stocks, returning 3.3% versus 1.2% for the quarter [1] Fund Performance - Meridian Growth Fund delivered a return of -0.39% (net) in Q4 2025, underperforming the Russell 2500 Growth Index's return of 0.33% [1] - The firm is monitoring factors affecting market returns, including potential changes in monetary policy and the sustainability of AI investments due to high valuations among hyperscalers [1] Company Focus: Remitly Global, Inc. - Remitly Global, Inc. (NASDAQ:RELY) was highlighted as a leading relative detractor for the Meridian Growth Fund in Q4 2025 [2] - The company offers digital financial services for immigrants and has a market capitalization of $3.008 billion [2] - Remitly's stock traded between $12.08 and $27.32 over the past 52 weeks, closing at $14.39 on January 26, 2026 [2] - Despite robust quarterly earnings, Remitly's stock underperformed due to management's guidance indicating a deceleration in revenue growth [3] - The tempered outlook is attributed to challenging year-over-year comparisons and immigration-related headwinds affecting remittance volumes [3] - Remitly continues to expand its market presence despite a temporarily subdued demand environment [3]

Core Insights - Remitly Global Inc. is identified as an overlooked growth stock with potential for investment despite recent price target adjustments by analysts [1][3] Group 1: Analyst Ratings and Price Targets - Goldman Sachs analyst Will Nance lowered the price target for Remitly Global from $19 to $17 while maintaining a Buy rating [1] - Citizens reaffirmed a Market Outperform rating with a price target of $20, highlighting Remitly as a leader in the digital remittance sector [2] Group 2: Business Expansion and Performance - In Q3 2025, Remitly expanded its product categories, notably with Remitly Business entering the UK and Canada, increasing the total addressable market (TAM) from $2 trillion to $22 trillion [3] - By the end of Q3, approximately 10,000 businesses were active on the platform, with transaction sizes averaging twice those of traditional consumers [3] - The Flex product reached around 100,000 active users, with revenue doubling sequentially, and there was a 40% increase in send volume from high-value customers [3] Group 3: Company Overview - Remitly Global Inc. provides digital financial services, including cross-border remittances and complementary financial services, through a mobile application and website [4]

Remitly Global, Inc. (NASDAQ:RELY) is one of the 15 software stocks with the highest upside potential. On January 8, Wolfe Research analyst Darrin Peller lowered the firm’s price target for the stock from $18 to $16 while maintaining a Buy rating. The adjusted price target implies a 19.4% upside from current levels as of January 9. Goldman Sachs also presented a similar view on January 6. Will Nance, an analyst at Goldman Sachs, cut the price target on the shares from $19 to $17, implying a further 27% u ...

Group 1 - The technology sector is experiencing a bull market, yet many stocks, including some hypergrowth stocks, are trading at lower multiples, presenting attractive entry points for investors in 2026 [1][2][9] - Coupang, a leading e-commerce platform in South Korea, reported a 20% year-over-year growth in net revenue and a 22% increase in gross profit, with active users rising by 10% to nearly 25 million [4][8] - A data leak scandal involving the exposure of customer data for approximately 34 million accounts has negatively impacted Coupang, leading to a 4% decline in weekly active customers [5][6] Group 2 - Despite the data breach, Coupang's fundamentals remain strong, with a market cap of $43 billion, trailing revenue over $33 billion, and a clean balance sheet, making it an attractive hypergrowth stock for 2026 [8] - Remitly Global is identified as a fast-growing remittance provider with significant potential for operational expansion [9]

Company Overview - Remitly Global, Inc. (NASDAQ:RELY) is a financial technology and payments company that provides digital financial services through its cross-border payments app, facilitating money transfers in over 170 countries [4] Investment Outlook - Citizens reaffirmed its Market Outperform rating and $20 price target on Remitly, highlighting the company's leading role in the digital remittance industry and suggesting that shares were overcorrected due to immigration-related headlines and slowing revenue growth [1][2] - Despite challenges, Citizens emphasizes Remitly's position as the premier all-digital remittance vendor with significant upside potential and plans for industry-leading profitability in the long term [2] Growth Projections - During the Investor Day event, Remitly announced growth plans through 2028, projecting revenue growth in the high teens and adjusted EBITDA between $300 million and $320 million by 2026 [3] - The company estimates revenue to range between $2.6 billion and $3.0 billion in 2028, with Adjusted EBITDA of $575 million to $600 million, indicating a margin of 20-22% [3]

Company Overview - Remitly operates in the digital remittance sector, providing services for cross-border money transfers to over 150 countries, focusing on immigrant communities with a technology-driven platform [2][6] - The company aims to deliver accessible, secure, and user-friendly solutions for money transfers, leveraging its competitive advantage in geographic reach [2] Recent Insider Activity - Director Joshua Hug sold 40,776 shares at a weighted average price of $13.33 per share, valued at approximately $543,500, which occurred near the stock's 52-week low of about $12 [1][5] - Following this transaction, Hug retains direct ownership of 3,654,764 shares, valued at approximately $48.4 million, representing about 1.75% of the company's outstanding shares [4][5] Stock Performance - Remitly's stock has declined roughly 39% over the past 12 months, with a total return of approximately -36.20% over the last year [1][3] - The sale by Hug raises questions about insider confidence in the company's near-term recovery, especially given the stock's performance during a challenging year [1][7] Market Context - Despite operational improvements, Remitly faces headwinds and investor concerns regarding its path to profitability, as the company continues to invest heavily in customer acquisition and geographic expansion [6] - The timing of insider sales, particularly during periods of stock price decline, warrants scrutiny, as it may reflect broader market sentiments about the company's future [7]

Core Insights - Remitly Global, Inc. (NASDAQ: RELY) is projected to be a significant investment opportunity by 2026, with expectations of substantial growth in revenue and earnings [1] Financial Performance - In Q3 2025, Remitly reported earnings per share of $0.04, exceeding estimates by $0.01 [2] - The company's revenue for the same period was $419.49 million, reflecting a year-on-year increase of 24.7% and surpassing estimates by $5.76 million [2] - For the full fiscal year, Remitly anticipates total revenue between $1.619 billion and $1.621 billion, indicating a growth rate of 28% year-on-year [2] Medium-Term Outlook - The CEO of Remitly provided a preliminary outlook for 2028, forecasting revenue between $2.6 billion and $3 billion [3] - Adjusted EBITDA is expected to range from $575 million to $600 million, which corresponds to a margin of 20%-22% [3] - Remitly operates in the digital financial services sector across the United States, Canada, and internationally [3]

Group 1 - Remitly Global, Inc. is considered one of the best FinTech stocks to buy in 2026, with a maintained price target of $20 by Citizens, indicating the stock has "overcorrected" [1] - The company is positioned as a leading all-digital remittance provider, with management's margin guidance suggesting an easier path to medium-term profitability [1][2] - Remitly's Investor Day highlighted targets for high-teens revenue growth and adjusted EBITDA of $300 million to $320 million by 2026, with extended targets for 2028 of $2.6 billion to $3.0 billion in revenue and $575 million to $600 million in adjusted EBITDA, implying a 20%–22% margin [2] Group 2 - The company operates a cross-border payments app focused on digital remittances, aiming to broaden into additional financial services while improving profitability over time [3] - Initiatives like Remitly One and Remitly Business are part of the strategy to push into adjacent categories and deepen customer engagement [2]

Core Insights - Remitly Global hosted its 2025 Investor Day, presenting strong long-term goals and financial guidance, which positively impacted its stock price, increasing over 10% this week [1][2] - The company aims for significant revenue growth and margin expansion through 2028, projecting annual revenue to reach upwards of $3 billion [4][6] Financial Performance - Remitly currently generates approximately $1.5 billion in revenue and expects to double this figure by 2028 [4][7] - The company anticipates adjusted earnings of over $600 million by 2028, indicating strong profitability potential [6][7] Market Position - Remitly has established itself as a key player in the remittance market, initially focusing on transfers from the U.S. to India, Mexico, and the Philippines, and has since expanded its services to more countries [3][4] - The company has improved its operational efficiency by lowering costs, speeding up transfer times, and enhancing product functionality [3][4] Growth Strategy - Future growth strategies include geographical expansion, targeting wealthier individuals and small businesses, and introducing new banking-like products [4][6] - Management's long-term guidance suggests that the stock remains an attractive investment opportunity, even after recent price increases [7]