Shares of Remitly Global might be lagging this year, but under the radar, this fintech player is quietly gaining traction. And while much of the market is chasing overpriced tech darlings, this $4 billion disruptor is doing exactly what investors crave: growing fast, staying profitable, and still trading at a valuation that makes sense.
The market may be sleeping on Remitly, but smart money might want to wake up.
Sending Money Abroad Is a Pain. Remitly Is Fixing That
If you’ve ever tried sending money overseas, you know it’s a headache. High fees, slow transfers, endless paperwork — it’s stuck in the past.
Remitly saw an opening here. Its pitch? A slick app that makes international transfers fast, cheap, and simple. That’s not rocket science, but in a sector dominated by slow-moving giants like Western Union and legacy banks, it’s revolutionary enough.
What sets Remitly apart is its focus on the user experience — not just sending money, but making sure the recipient has a seamless process too. It’s no surprise the company carved out strong positions in routes like U.S. to Mexico and India early on.
And it’s expanding fast. That’s where things start to get interesting.
A Fast-Growing Business With Real Profits
Last quarter tells the story in numbers. Revenue jumped 34% year over year, reaching $362 million. Not only that — send volume exploded by 41%.
And here’s the kicker: Remitly is profitable. It earned $11.4 million in net income. That might sound modest, but most fintechs at this stage are still burning cash.
Even more promising? Growth is ramping up outside North America. Revenue from international corridors (non-U.S. senders) nearly doubled over the past year. It’s a sign that this isn’t just a niche play — Remitly’s model is portable.
How Cheap Is Remitly Compared to Its Potential?
Let’s talk valuation — because this is where the stock starts to shine for long-term investors.
Remitly’s market cap sits at around $4 billion. Compare that to trailing revenue of $1.36 billion. If it can grow to $3 billion in revenue and maintain 20% net income margins (totally plausible given its 60% gross margin), it could be posting $600 million in annual earnings within five years.
Now do the math.
That would imply a forward P/E of roughly 6.7. For a growth stock? That’s basically unheard of — especially one that’s already profitable and expanding fast.
Still, not everything is smooth sailing.
Stablecoins and a Potential Tax: Real Risks, or Overblown Worries?
So why isn’t Remitly’s stock price flying? Well, a few clouds are hovering.
One is the rise of stablecoins. With the Circle IPO and U.S. legislative chatter, some investors fear crypto could sideline services like Remitly. But here’s the thing — even stablecoins need a reliable platform to move money across borders.
Crypto might be the currency, but someone still has to run the rails. Remitly could be that someone.
Then there’s the proposed 3.5% remittance tax in a U.S. bill. That’s definitely something to keep an eye on. But let’s be real — people aren’t going to stop sending money to family just because it costs a few dollars more.
So yes, there are risks. But they don’t seem like deal-breakers.
Just a quick breather again.
Investors Are Ignoring the Bigger Picture
Look at the trends, and it’s hard not to get bullish. Here’s a quick glance at Remitly’s recent performance:
| Metric | Latest Quarter (YoY) |
|---|---|
| Revenue | +34% |
| Send Volume | +41% |
| Non-North America Revenue | +~100% |
| Net Income | $11.4 million (positive) |
| Gross Margin | ~58% |
And it’s not just numbers — it’s behavior. Consumers are more mobile than ever. Traditional remittance players are losing relevance. Even big banks aren’t innovating fast enough.
Remitly’s mobile-first, fee-light approach feels built for the next decade, not the last one.
Here’s the part that matters:
Remitly isn’t betting on a hypothetical future. It’s executing on a clear, growing opportunity — and doing it profitably.
Why $1,000 in Remitly Could Go a Long Way
Some stocks scream potential. This one whispers it.
At today’s price of around $18.91, down 30% from earlier highs, the stock looks mispriced. Investors chasing hot AI names and mega caps might be overlooking Remitly. But that’s exactly where the opportunity lies.
It’s easy to ignore stocks like this — low hype, low drama, and low price. But quietly, this company is building something solid. And if it keeps scaling like this, there’s a real chance it’ll become one of the big names in global finance a few years from now.
It just needs time. And maybe a little faith.
