UPDATE: Wolfe Research Upgrades Remitly Global Inc (RELY) to Outperform

October 28, 2021 6:27 AM EDT
Get Alerts RELY Hot Sheet
Price: $21.40 +4.39%

Rating Summary:
    6 Buy, 0 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 20 | Down: 18 | New: 45
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(Updated - October 28, 2021 6:27 AM EDT)

Wolfe Research analyst Darrin Peller upgraded Remitly Global Inc (NASDAQ: RELY) from Peerperform to Outperform with a price target of $42.00 (from $45.00).

The analyst comments "After a material pullback in the stock we are upgrading RELY to Outperform given our confidence in its high rate of growth medium term, including in its first quarterly earnings release on November 10th . The broader decline in money transfer stocks has been driven by fears of increased pricing pressures and alternative means of digital money transfer. While we recognize competitive dynamics (and apply a lower multiple relative to its growth than other Fintech names), in our view, RELY has never competed on price and has rapidly gained share in the largest remittance corridors through a leading mobile-first platform and a focus on the migrant experience. Since its IPO on September 23rd RELY has declined 27% versus the S&P500 gain of 2.6% over the same timeframe, resulting in 34% upside potential to our price target of $42. We see a relatively attractive set up into the quarter and recent checks suggest RELY continues to gain market share. RELY currently trades at 13x our 2023 Gross Profit estimate of $431mn, a growth adjusted multiple of 0.4x given our 33% revenue growth estimate from 2022 to 2023"

For an analyst ratings summary and ratings history on Remitly Global Inc click here. For more ratings news on Remitly Global Inc click here.

Shares of Remitly Global Inc closed at $31.46 yesterday.

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