Core Insights - Investing in fintech, which combines financial services and technology, presents significant opportunities for portfolio growth, with notable companies like Nu Holdings and SoFi Technologies showing impressive stock performance [1][2] Company Overview: Nu Holdings - Nu Holdings has experienced a remarkable 284% increase in share price over the past three years, establishing itself as a leading banking entity in Latin America [1] - The company serves a vast unbanked and underbanked population, boasting 110 million customers primarily in Brazil, with expansion into Mexico and Colombia [5] - Nu's revenue grew by 42% year-over-year in Q3, with net income rising by 41%, attributed to its scalable business model that eliminates traditional bank branches [6] - The company maintains strong risk management practices, crucial for operations in emerging markets, and has a significant revenue-cost gap that supports robust earnings [7] Company Overview: SoFi Technologies - SoFi Technologies has seen a 204% increase in share price over the past three years, demonstrating strong financial performance [1] - The company reported a 38% surge in adjusted net revenue in 2025, driven by increases in fee-based revenue and interest income, alongside a growing membership base of 13.7 million after adding 1 million new customers in Q4 [8] - Adjusted net income for SoFi increased by 112% last year, with projections of $825 million in adjusted net income for 2026, reflecting a 72% year-over-year growth [9] - SoFi emphasizes product innovation, introducing features like cryptocurrency trading and blockchain-enabled payments, enhancing user experience and supporting ongoing success [10]

Group 1: Market Overview - The S&P 500 is currently down in 2025, presenting a potential buying opportunity as economic uncertainty drives investor fear [1] - Despite market conditions, many companies are performing well and have significant growth opportunities [1] Group 2: MercadoLibre - MercadoLibre stock has increased by 41% over the past year and is the only stock on the list that is up in 2025 [3] - The company operates an e-commerce platform in Latin America, which is still underpenetrated at about 13% compared to 24% in the U.S., benefiting from a growing customer base [4] - Revenue for MercadoLibre increased by 96% year over year in Q4 2024, with gross merchandise volume (GMV) up 56% [4] - The company has developed a fintech infrastructure that supports digital payments, with total payment volume increasing by 49% year over year in Q4 [6] - MercadoLibre is the leading fintech company in three of its four largest markets by monthly active users [6] - The company is positioned for significant growth as it drives a digital revolution in its region [7] Group 3: Shopify - Shopify stock has risen by 25% over the past year, with strong growth and increasing profitability [8] - The company has expanded beyond e-commerce websites to become a full commerce platform, with most sales now coming from payment processing [9] - International sales grew by 33% year over year in 2024, accounting for 30% of total revenue [10] - Shopify has reported seven consecutive quarters of revenue growth of at least 25%, with a free-cash-flow margin reaching 22% in Q4 [11] - The company has substantial long-term opportunities and is rolling out more services in international markets [10][11] Group 4: On Holding - On Holding stock has increased by 45% over the past year, recognized for its unique sneaker soles and growing brand presence [12] - The company reported a 41% year-over-year revenue increase in Q4 2024, driven by a 48% rise in direct-to-consumer sales [14] - On's gross margin expanded from 60.4% to 62.1% year over year in Q4, with net income increasing by 435% [14] - The management has a four-pillar strategy focused on brand awareness, omnichannel strategy, product assortment expansion, and operational efficiency [15]