In this article, we will look at some of the best payment processing stocks offering attractive upside potential for investors.
On May 3, the Financial Times reported that private equity firm Francisco Partners is in talks to acquire Moneris, a payment processing company jointly owned by Royal Bank of Canada and Bank of Montreal. This proposed deal comes at a time when the payments sector is still undergoing substantial changes, driven by the rise in digital transactions and growing competition from financial technology companies.
In recent years, there has been pressure on traditional financial institutions to rethink their positions in merchant payment processing, as fintech companies have expanded their presence by offering faster digital payment solutions. This shift has contributed to a broader trend of banks divesting payment assets, while private equity investors and specialized payments firms are now looking for ways to strengthen their position in the market.
The payments sector remains an essential part of the financial services ecosystem as businesses and consumers depend more and more on electronic transactions. Moneris has developed into one of the largest merchant payment service providers in Canada, processing over 5 billion transactions per year. Francisco Partners is reportedly considering the acquisition as banks continue to focus on their core businesses while streamlining operations. With that background, let’s explore our 10 Best Payment Processing Stocks to Buy Now.
Our Methodology
To identify relevant stocks for this article, we screened U.S.-listed payment processing companies with market capitalizations above $2 billion. Also, we only shortlisted stocks with at least 30% upside potential, according to consensus, as of the June 17 close. Finally, we selected 10 stocks with the highest upside and ranked them in ascending order.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
10. Remitly Global Inc. (NASDAQ:RELY)
Remitly Global Inc. (NASDAQ:RELY) is one of the 10 best payment processing stocks to buy now. The company’s expansions into new geographies, through strategic integrations, support a favorable stance around the stock. On May 27, Remitly Global Inc. (NASDAQ:RELY) announced the integration of Bre-B, Colombia’s national instant payment system backed by Banco de la República, into its remittance network.
With just the recipient’s phone number, email address, or national ID connected to a partner bank account or digital wallet, customers can now send money to Colombia instantly and around the clock. In just 6 months, Bre-B has handled over 600 million transactions and accumulated over 34 million registered users, according to Banco de la República.
Within 6 weeks of its inception, the remittance platform’s Bre-B transaction volume tripled. Sending money is an act of care, according to Remitly Vice President Nick Moiseff, and this integration gives senders and recipients assurance that money will arrive promptly, consistently, and transparently.
The Bre-B system has also expanded the company’s current payout network in Colombia, which already consists of cash pickup services, conventional bank deposits, and mobile wallets like Nequi, Daviplata, and Bancolombia A La Mano.
Remitly Global Inc. is a cross-border payment company that delivers digital financial services, covering markets across Canada, the U.S., and internationally. It facilitates international money transfers and additional financial services through its mobile application and web platform.
9. WEX Inc. (NYSE:WEX)
WEX Inc. (NYSE:WEX) is one of the 10 best payment processing stocks to buy now. With a moderately bullish consensus sentiment, the stock currently has a 1-year price target of $182.29, resulting in an upside potential of over 34%.
On June 12, Deutsche Bank maintained a Hold rating on WEX Inc. while decreasing the target price from $180 to $160 following a meeting with the company’s management. Despite the downward adjustment to the price target, the estimate still implies more than 18% upside potential at the current level.
The firm noted that the company’s shares experienced a sell-off in recent trading sessions, following news that Amazon.com Inc. (NASDAQ:AMZN) intends to expand its less-than-truckload logistics offerings. However, the firm noted that WEX management does not consider this development a concern for now.
Back in mid-May, WEX Inc. announced a new share repurchase program approved by its Board of Directors. Under this plan, WEX may repurchase up to $1 billion worth of its common stock, in addition to paying any related transaction costs and excise taxes.
WEX Inc. is a commerce platform that offers payment solutions, transaction processing, and analytics through its Mobility segment, alongside embedded payments and accounts payable automation through its Corporate Payments segment. It also offers a SaaS platform for healthcare benefits, COBRA accounts, health savings accounts, and full-service benefit enrolment solutions.
8. Global Payments Inc. (NYSE:GPN)
Recent analyst ratings make Global Payments Inc. (NYSE:GPN) one of the 10 best payment processing stocks to buy now. On June 11, Bryan Bergin from TD Cowen decreased the price target from $86 to $74 on Global Payments Inc. (NYSE:GPN), resulting in a revised upside potential of almost 19%. The analyst reiterated his Hold rating on the stock.
Bergin mentioned that TD Cowen has revised its model to reflect a more cautious outlook with regard to previously disclosed headwinds, which now appear more likely to occur. He pointed out that despite this cautious short-term adjustment, the company’s projections about an expected increase in the second half of 2026 have not changed.
Earlier, on June 3, Susquehanna also reaffirmed its Positive rating on Global Payments Inc.. The firm reduced the price target from $119 to $111, which translates into a revised upside potential of more than 77%.
After a closer look at public transcripts and travel-related assumptions, the firm changed its estimates. Susquehanna toned down its projections by reducing its growth assumptions to 3.2% for the second quarter, 5% for the second half, and 4% for the entire year 2026.
Global Payments Inc. provides payment technology and software solutions for card, digital, and check payments. It offers authorization, consolidated billing and reporting services, settlement and funding, customer support, and chargeback resolution solutions. The company is also engaged in terminal rental, customer support, chargeback resolution, sales and deployment, and payment security services.
7. Toast Inc. (NYSE:TOST)
Toast Inc. (NYSE:TOST) is one of the 10 best payment processing stocks to buy now.
On June 11, Billy Fitzsimmons from Piper Sandler set a price target of $32 while assuming an Overweight rating on Toast Inc.. The estimate leads to a target price of almost 29% at the prevailing level.
The analyst believes that there is “room left to run” for the company within its primary restaurant markets. Fitzsimmons also added that Toast’s strategy of entering new markets is likely to offer support to its long-term growth.
Back in mid-May, Toast Inc. announced that its enterprise technology suite would be implemented across Hungry Howie’s entire footprint of approximately 500 restaurant locations. Hungry Howie’s represents the second enterprise pizza brand to select the technology platform this year, joining a variety of other pizza customers.
The platform is designed to support high-volume operations, while its partner ecosystem, which features integration partners such as Cartwheel and Stream, enables operators to build a customized technological infrastructure aimed at ensuring smooth business operations and maintaining staff and guest satisfaction.
Toast Inc. operates within the restaurant industry, providing SaaS through its cloud-based digital platform. It covers various functions of a restaurant, such as vendor management, online orders, kitchen display system, payroll management, supply chain, and more.
6. StoneCo Ltd. (NASDAQ:STNE)
StoneCo Ltd. (NASDAQ:STNE) is one of the 10 best payment processing stocks to buy now. The stock has been getting mixed ratings from analysts in recent weeks. Despite that, it offers more than 38% upside potential to investors, based on its 1-year median target price. The stock also carries a moderately bullish consensus sentiment, with 5 of the 8 analysts who provided coverage assigning Buy ratings.
On May 29, UBS upheld its Buy rating for the stock, while cutting down the firm’s price target from $19 to $17. Despite the downward revision, UBS’s projection offers 51% upside potential at the prevailing level.
In mid-May, Citi lowered the rating on StoneCo Ltd. from Buy to Neutral and decreased the price target from $18 to $11. The firm also placed a downside 90-day catalyst watch on the stock.
The firm noted that the recent price adjustments implemented by StoneCo will result in a curtailment in volumes. Furthermore, Citi expects intensifying competitive pressures to cause a weakness in the company’s take rates. The firm believes current trends in the payments sector highlight the vulnerability of independent merchant acquiring business models.
StoneCo Ltd. sells financial technology and software solutions to merchants and integrated partners across in-store, online, and mobile channels in Brazil. The company provides financial services, payment solutions for electronic payments and alternative payment methods, digital products, and tap-on-phone solutions. The company serves offline, online, and omni-channel sales customers.
5. Jack Henry & Associates Inc. (NASDAQ:JKHY)
Jack Henry & Associates Inc. (NASDAQ:JKHY) is one of the 10 best payment processing stocks to buy now.
On June 2, to strengthen the robustness of its nationwide pay-by-bank network and increase its instant payment capabilities, Aeropay stated that it is using Jack Henry & Associates, Inc. ‘s embedded payments technology. Aeropay also shared that it expands its bank connectivity capabilities and adds more payment rail infrastructure throughout its ecosystem by integrating with Jack Henry Payments Orchestrator.
On May 12, Jack Henry & Associates Inc. announced that its Board of Directors expanded its existing share repurchase program by authorizing an additional 5 million shares. In addition to the 1.4 million shares that were previously accessible, this increases the total capacity to 6.4 million shares.
During the 2026 fiscal year, over two million shares have already been repurchased by the company. Despite continuous expenditures in technical innovation, Mimi Carsley, Chief Financial Officer and Treasurer, said that recent tax legislation has put the company back in a strong cash flow position. She added that the increased repurchase authorization demonstrates a commitment to creating shareholder value and ongoing confidence in the operations.
Jack Henry & Associates Inc. is a financial technology company that connects people and financial institutions. The company facilitates this with core banking platforms such as Symitar, CIF 20/20, Silverlake, and Core Director, as well as fraud management solutions, payment processing, and digital banking services. It also offers hardware systems, software licensing, data center services, and professional services to banks and credit unions.
4. Fidelity National Information Services Inc. (NYSE:FIS)
Fidelity National Information Services Inc. (NYSE:FIS) is one of the 10 best payment processing stocks to buy now.
On June 8, Fidelity National Information Services Inc. and Fuse entered into a strategic partnership, in an effort to offer indirect car and equipment lenders in the U.S. and Canada a cutting-edge, end-to-end origination platform. Fidelity claims that by assisting lenders whose present origination processes were not built to meet the expectations and speed of the modern industry, the partnership aims to close a market gap.
Under this partnership, Fuse will be connected with FIS Asset Finance and FIS AutoSuite, resulting in a comprehensive ecosystem that covers the full lending process.
On May 28, Truist reduced its price target on Fidelity National Information Services Inc. from $50 to $45, while reiterating a Hold rating on the stock. This change is a component of a larger update to the firm’s payments-related financial models.
The firm noted that its prediction for the 2027 fiscal year decreased across a number of metrics, despite a rise in second-quarter estimates. The reason for this lower revision is rooted in concerns about a possible slowdown in organic revenue growth starting in the second half of fiscal year 2026. The firm also added that it is still unclear if its current guidance takes into account the company’s tuck-in acquisitions.
Fidelity National Information Services Inc. is a fintech solutions provider that delivers various services to financial institutions and enterprises around the globe. It offers Banking, Capital Markets, and Corporate services. These include online banking, risk management, card and retail payment, funds transfer, wealth management, syndicated lending, and treasury solutions.
3. Shift4 Payments Inc. (NYSE:FOUR)
Shift4 Payments Inc. (NYSE:FOUR) is one of the 10 best payment processing stocks to buy now.
On May 27, Truist lowered its price target on Shift4 Payments Inc. from $50 to $46, while maintaining a Hold rating. The price target adjustment is based on revisions to the firm’s projections across core metrics. However, it increased the adjusted earnings per share forecast to the low single digits.
Truist expects the second quarter to be another solid period for the business. This momentum is likely to be supported by the ongoing World Cup event in North America.
Back in mid-May, it was revealed that Shift4 Payments Inc. businesses can now accept Tether (USDT-USD) while settling payments in local currency, thanks to the company’s partnership with Lydian to enhance Shift4’s Pay with Crypto solution. Customers can use any major wallet to make payments with Shift4’s Pay with Crypto solution.
Without keeping or managing digital assets, merchants receive money directly in their local currency. According to Shift4 CEO Taylor Lauber, the company created its Pay with Crypto solution in reaction to the increasing use of cryptocurrencies as a common form of payment. He pointed out that accepting Tether gives businesses a safe and easy way to make payments, building on the program’s success without adding further complications.
The approach, he continued, enables businesses to cater to a rapidly expanding customer base that prefers to use stablecoins for payment.
Shift4 Payments Inc. is a payment processing company that provides software and payment solutions worldwide. The company facilitates an end-to-end payment process covering various payment types, including credit, debit & contactless cards, Europay, QR Pay, and mobile wallets.
2. PayPay Corp. (NASDAQ:PAYP)
PayPay Corp. (NASDAQ:PAYP) is one of the 10 best payment processing stocks to buy now. With roughly 82% upside potential, the stock carries moderately bullish consensus views. Moreover, the management’s acquisitive strategy is also driving an optimistic view around the stock.
On June 5, the Board of Directors of PayPay Corp., a subsidiary of SoftBank Group (SFTBY), approved the purchase of a 70.2% share in T&D Financial Life Insurance from T&D Holdings. This transaction makes T&D Financial Life a subsidiary of PayPay. It is anticipated that PayPay’s current cash reserves will be used to finance the deal.
PayPay and T&D Holdings have signed a share purchase agreement for the transaction. T&D Financial Life is expected to become a SoftBank Group subsidiary upon completion of the deal. Additionally, since T&D Financial Life’s capital will account for at least 10% of SoftBank Group’s capital, it is anticipated to be recognized as a designated subsidiary of SoftBank Group.
On a related note, One Investment Management, an asset management company not affiliated with PayPay, also proposed paying T&D Holdings cash for a 14.9% stake in T&D Financial Life through its affiliate, OneIM Indigo Holdings.
PayPay Corp. is a financial technology company that serves users and merchants in Japan. The company facilitates mobile Payments via its app, as well as banking & lending, investment & securities, CFD trading, asset management, and credit & financing services. It also offers value-added services, such as insurance and marketing, with the option to subscribe.
1. Chime Financial Inc. (NASDAQ:CHYM)
Chime Financial Inc. (NASDAQ:CHYM) is one of the 10 best payment processing stocks to buy now.
On May 29, Chime Financial Inc. commenced its The Compound Combine initiative in New Jersey with Invest America. This event forms the inaugural part of the latest rounds of community programs dedicated to financial education.
The Compound Combine Initiative highlights ongoing efforts alongside the Treasury Department to advance financial literacy amongst individuals, and is expected to offer impetus to the Trump Account program.
Chime’s Co-founder and CEO, Chris Britt, who also serves as Invest America’s CEO Council member, reflected on his company regarding this initiative. He highlighted that Chime currently services over ten million members, many of whom are gaining exposure to investments for the first time. He stated:
“We serve more than 10 million members, many of whom are new to investing. Our mission has always been about helping everyday people unlock their financial progress, and Trump Accounts give us a powerful new way to deliver on that promise at scale. Chime has already helped families elect to open an estimated 130,000 Trump Accounts, and we’re just getting started.”
Chime Financial Inc. is a financial technology company serving in the U.S. and internationally. The company sells spending and liquidity products, debit cards, ATM and cash deposit networks. It also offers credit solutions like FICO score tracking, Instant Loans, community-focused products, savings and perks products, and other support functions.
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