Shopify (NYSE:SHOP), PayPal Holdings (NASDAQ:PYPL) – Here’s How Wells Fargo Views Fintech Stocks Shopify, PayPal, Block

  • Wells Fargo analyst Jeff Cantwell launched global coverage of the payments and fintech sector with a bullish stance.
  • He saw a $1.5 trillion annual revenue opportunity for fintech companies globally and expects 6% annual growth over the coming decade.
  • Cantwell insider Shopify Inc. (NYSE: SHOP) with an overweight rating and a price target of $834 (up 18.2%).
  • After the recent pullback, he sees the valuation as “more acceptable” for Shopify, which he expects to grow GMV rapidly in FY22 and FY23 with concurrent strong revenue growth.
  • Ongoing launches of value-added products and services highlight a crucial theme, vendor consolidation, which he believes will drive sustainable market share gains.
  • Cantwell insider PayPal Holdings Inc. (NASDAQ: PYPL) with an overweight rating and a price target of $152 (up 27.9%).
  • PayPal is the leader in payments currently trading at a “reasonable post-reset multiple”.
  • The stock reset is overblown as the company has “tailwinds” across its platforms, producing strong growth after eBay’s run-in sent shares soaring.
  • Cantwell insider Block Inc. (NYSE: SQ) with an overweight rating and a price target of $165 (up 19.7%).
  • It saw Block gain a share in its Square and Cash App businesses, with the upcoming Investor Day in May as a potential catalyst.
  • He is also interested in Block’s long-term crypto aspirations.
  • Price action: Shares of SHOP traded down 3.72% to $700.25 when last checked on Tuesday.

Latest reviews for BOUTIQUE

Dated Solidify action From For
February 2022 Morgan Stanley Maintains Equal weight
February 2022 Swiss credit Maintains Neutral
February 2022 Mizuho Maintains Neutral

View more analyst notes for SHOP

See the latest analyst ratings


Comments are closed.