In this article, we will be taking a look at the 10 Most Promising Fintech Stocks to Buy Now.
On July 6, CNBC reported that Swedish fintech company Klarna Group plc (NYSE:KLAR), known for its buy now, pay later offerings, stated that it has applied to federal and state regulators to establish a US bank subsidiary.
If regulators approve the application, Klarna Bank USA would become a Federal Deposit Insurance Corp.-backed institution chartered in Utah.
According to the report by CNBC, Klarna Group plc’s (NYSE:KLAR) application is the latest sign that fintech companies, which mostly relied on partnerships with US banks to offer services, now want to own their own charters. In April, fintech firm Mercury also secured conditional approval to establish its own bank, joining several fintech and crypto companies looking to become part of the traditional banking system.
Owning a bank gives fintech companies several advantages. It allows them to use their own customer deposits to fund loans instead of relying on more expensive wholesale financing. It would also enable them to offer products such as checking accounts and credit cards directly to customers while reducing their dependence on third-party banking partners.
With this background in mind, let’s take a look at the 10 most promising fintech stocks to buy now.
Our Methodology
To compile our list of the 10 most promising fintech stocks to buy now, we looked for the biggest fintech companies. We reviewed our own rankings, financial media reports, ETFs, and various online resources to compile a list of the best fintech stocks. Next, we focused on the top 10 most promising stocks most favored by institutional investors. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey’s Q1 2026 database of 1022 elite hedge funds. Finally, the 10 most promising fintech stocks were ranked in ascending order based on the number of hedge funds holding stakes in them as of Q1 2026.
Why do we care about what hedge funds do? 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. Insider Monkey’s quarterly newsletter 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 Most Promising Fintech Stocks to Buy Now
10. Fiserv, Inc. (NASDAQ:FISV)
Number of Hedge Fund Holders: 61
Fiserv, Inc. (NASDAQ:FISV) is one of the most promising fintech stocks to buy now. On July 9, Goldman Sachs analyst Will Nance reduced the firm’s price target on Fiserv, Inc. (NASDAQ:FISV) from $70 to $60 and maintained a Neutral rating on the stock.
The analyst noted that the payments sector appears to be in a relatively strong position heading into Q2 earnings because of improved fundamentals, despite weak share performance so far this year.
Also on July 9, Wells Fargo cut its price target on Fiserv, Inc. (NASDAQ:FISV) from $62 to $56 and maintained its Equal Weight rating on the stock.
The research firm said it believes the company’s second-quarter estimates are achievable, but does not expect the earnings report to provide a boost to the stock. According to Wells Fargo, investors remain focused on the company’s steep expected growth in the second half of the year and its sudden CEO change.
Wells Fargo said key areas to watch include guidance for merchant transactions, the leadership transition, visibility into the expected second-half acceleration, the core banking business, and the potential debit network sale.
Fiserv, Inc. (NASDAQ:FISV) is a global financial technology and payments company that offers solutions for banking, merchant acquiring, global commerce, billing and payments, and point-of-sale.
9. Block, Inc. (NYSE:XYZ)
Number of Hedge Fund Holders: 63
Block, Inc. (NYSE:XYZ) is one of the most promising fintech stocks to buy now. On July 9, Mizuho reaffirmed its Outperform rating on Block, Inc. (NYSE:XYZ) with a price target of $100 on the stock.
The research firm said its recent survey of Cash App users to assess the potential of Neighbourhoods, the company’s new loyalty program for both Cash App users and Sellers, showed encouraging results.
Around two-thirds of users suggested they would either be likely or very likely to join the Neighborhoods loyalty program. Mizuho expects that Block, Inc.’s (NYSE:XYZ) new loyalty program has the potential to support user engagement and monthly active user growth over time.
During the company’s first-quarter earnings call, Block, Inc.’s (NYSE:XYZ) management described Neighborhoods as “probably the biggest lever” that the company has and pointed out that it “has the ability to just fundamentally change the size of our network and the trajectory of growth, but we’re in early days there.”
Management also noted that approximately half of the Neighborhoods following had not been active on Cash App in the month before they joined the platform.
Block, Inc. (NYSE:XYZ) is an American financial technology company that offers a range of financial products and services to consumers and merchants.
8. Coinbase Global, Inc. (NASDAQ:COIN)
Number of Hedge Fund Holders: 65
Coinbase Global, Inc. (NASDAQ:COIN) is one of the most promising fintech stocks to buy now. On July 7, US Tiger Securities upgraded its rating on Coinbase Global, Inc. (NASDAQ:COIN) from Hold to Buy and set a price target of $200 on the stock.
The research firm has a more constructive view on Bitcoin’s risk and reward outlook. According to US Tiger Securities, Bitcoin has likely entered the last quartile of the current bear market.
Bitcoin has fallen sharply from its cycle high reached in October 2025. The firm also pointed out that the cryptocurrency has experienced a significant reset in on-chain profitability and the market has seen about three meaningful waves of realized-loss capitulation.
US Tiger Securities said it is not trying to predict the exact market bottom. However, the firm believes that the largest part of cycle de-risking is already behind the market. The firm believes the remaining downside increasingly looks like the final phase of a bear market.
Analyst Bo Pei wrote that the potential upside is expected to come from the next cycle of liquidity recovery, institutional allocation, and improving crypto risk appetite.
Coinbase Global, Inc. (NASDAQ:COIN) is an American company that operates a platform for people and institutions to engage with crypto. It allows users to buy, sell, transfer, trade, stake, and store cryptocurrency assets.
7. PayPal Holdings, Inc. (NASDAQ:PYPL)
Number of Hedge Fund Holders: 76
PayPal Holdings, Inc. (NASDAQ:PYPL) is one of the most promising fintech stocks to buy now. On July 9, Goldman Sachs raised its price target on PayPal Holdings, Inc. (NASDAQ:PYPL) from $41 to $48 and maintained its Sell rating on the stock.
In a research note, the firm said that the payments sector is relatively well positioned ahead of Q2 earnings, supported by stronger business fundamentals despite the weak performance year-to-date.
A day earlier, on July 8, Barclays analyst Nik Cremo initiated coverage of PayPal Holdings, Inc. (NASDAQ:PYPL), giving the stock an Underweight rating and setting the price target for the stock at $42.
The analyst noted that after a broad reset across the sector, investors can focus on identifying and selecting companies with durable business models that are well positioned for long term growth. These comments come as Barclays launched coverage of the US payments and fintech industry.
PayPal Holdings, Inc. (NASDAQ:PYPL) is a global financial technology company that operates an online payment system and offers digital payments to consumers and merchants. The company provides online payment solutions in about 200 markets.
6. Robinhood Markets, Inc. (NASDAQ:HOOD)
Number of Hedge Fund Holders: 84
Robinhood Markets, Inc. (NASDAQ:HOOD) is one of the most promising fintech stocks to buy now. On July 7, Compass Point lifted its price target on Robinhood Markets, Inc. (NASDAQ:HOOD) from $107 to $130 and kept its Buy rating on the stock.
The research firm expects the company to report an 18% EBITDA beat in Q2, supported by stronger volumes and take rates. The last time Robinhood Markets, Inc. (NASDAQ:HOOD) exceeded analyst expectations was in the third quarter of 2025, when the stock was trading near $130.
Robinhood Markets, Inc. (NASDAQ:HOOD) experienced a sharp decline after missing Wall Street expectations in two straight quarters. However, since its Q1 earnings miss, the stock has now rebounded.
Compass Point believes Robinhood Markets, Inc. (NASDAQ:HOOD) has room to outperform expectations in the second half of 2026, supported by higher take rates, prediction volumes, and savings from the company’s 10% workforce reduction, which was announced on June 16, 2026. Prediction volumes for the second quarter were 57% higher than in the fourth quarter of 2025, despite a seasonally softer sports calendar.
Robinhood Markets, Inc. (NASDAQ:HOOD) is an American financial services and technology company that offers trading services for stocks, options, futures, swaps, and crypto.
5. Shopify Inc. (NASDAQ:SHOP)
Number of Hedge Fund Holders: 88
Shopify Inc. (NASDAQ:SHOP) is one of the most promising fintech stocks to buy now. On July 7, Bank of America reinstated coverage of Shopify Inc. (NASDAQ:SHOP) with a Buy rating and a $150 price target.
The research firm said that Shopify Inc. (NASDAQ:SHOP) is in a good position to benefit from the shift toward AI-driven agentic commerce. The price target is based on a 22 times 2027 estimated enterprise value-to-gross profit multiple, which is higher than the 18.1 times average for software companies.
The price target implies a 22 times 2027E enterprise value to gross profit multiple, a premium to the software peer group average of 18.1x. Analyst Tal Liani said Shopify Inc.’s (NASDAQ:SHOP) premium is justified because of the company’s faster revenue growth expectations. Bank of America expects the company’s revenue to increase 28.3% in 2026 and 24% in 2027, both above the average growth expected for its peers.
Analysts are debating whether AI could weaken Shopify Inc.’s (NASDAQ:SHOP) role in the commerce stack by moving discovery and transactions to AI-native interfaces. The firm believes these concerns about a possible “platform bypass” have contributed to the stock’s decline year-to-date, which has created “an attractive entry point.”
The analyst pointed out that “as discovery shifts to agentic interfaces, value accrues to the transaction and infrastructure layers, where Shopify is deeply embedded.”
Shopify Inc. (NASDAQ:SHOP) is a Canadian multinational commerce and financial technology company that offers an all-in-one e-commerce platform and a wide range of financial tools and services.
4. MercadoLibre, Inc. (NASDAQ:MELI)
Number of Hedge Fund Holders: 102
MercadoLibre, Inc. (NASDAQ:MELI) is one of the most promising fintech stocks to buy now. On July 8, Citi maintained its Hold rating on MercadoLibre, Inc. (NASDAQ:MELI) with a price target of $1,950 on the stock.
The research firm noted that MercadoLibre, Inc. (NASDAQ:MELI) continues to deliver solid credit performance, with no signs of weakening. In its Q1 2026 results, the company said its fintech business remained strong. Monthly active users (MAUs) climbed 29% year-over-year to reach 83 million. MercadoLibre, Inc. (NASDAQ:MELI) added nearly 20 million users in one year. The company also said that growth accelerated in both Brazil and Mexico, while new customers are showing the highest levels of retention and engagement the company has seen.
Assets under management (AUM) reached nearly $20 billion, up 77% year-over-year. The company said this growth was more than double the pace of MAU growth, showing that users are keeping more of their money in Mercado Pago. According to MercadoLibre, Inc. (NASDAQ:MELI), customers are attracted by deposit returns that are difficult for incumbent banks to match.
The company also said the expansion of its credit portfolio reflects higher user engagement and the company’s ability to monetize its cross-sell of fintech services. MercadoLibre, Inc. (NASDAQ:MELI) credit portfolio grew 87% year-over-year to $14.6 billion in the first quarter of 2026, marking the largest quarterly increase in nominal terms.
MercadoLibre, Inc. (NASDAQ:MELI) is the leading e-commerce and financial technology company in Latin America with a presence in 18 countries.
3. Nu Holdings Ltd. (NYSE:NU)
Number of Hedge Fund Holders: 104
Nu Holdings Ltd. (NYSE:NU) is one of the most promising fintech stocks to buy now. On June 26, Needham initiated coverage on Nu Holdings Ltd. (NYSE:NU), giving the stock a Buy rating and setting the price target at $17.
The research firm pointed out that the company operates as a neobank and a digital lending platform with a strong focus on Brazil. According to Needham, Nu Holdings Ltd. (NYSE:NU) is the world’s largest neobank, serving more than 135 million customers. It has a leading position in Brazil, where about 60% of the country’s adult population uses its platform.
The firm noted that Nu Holdings Ltd.’s (NYSE:NU) large and profitable customer base can support its growth in other Latin American markets, including Mexico and Colombia. Needham also pointed to the company’s strategic investment in Tyme, a large neobank operating in South Africa and the Philippines.
Needham also said it expects Nu Holdings Ltd. (NYSE:NU) to begin operating in the United States within the next year through organic expansion.
Nu Holdings Ltd. (NYSE:NU) is a financial technology company that operates a digital banking platform. The company has a fully digital model and offers a wide range of financial services to customers in Brazil, Mexico, and Colombia.
2. Mastercard Incorporated (NYSE:MA)
Number of Hedge Fund Holders: 157
Mastercard Incorporated (NYSE:MA) is one of the most promising fintech stocks to buy now. On July 8, Barclays initiated coverage of Mastercard Incorporated (NYSE:MA), giving the stock an Overweight rating and a price target of $640.
The research firm said that after a broad reset across the sector, it has become important for investors to identify and select stocks with durable business models and long-term growth potential. Barclays initiated coverage of the US payments and fintech industry.
Earlier, on June 30, Piper Sandler analyst Bill Carcache also initiated coverage of Mastercard Incorporated (NYSE:MA) with an Overweight rating and a price target of $597.
Piper Sandler said it has a “selectively constructive” outlook on the payments and consumer finance sector. The firm said its Overweight-rated companies are those that can turn “durable network activity, customer engagement, credit discipline, capital return, operating leverage, or GAAP EPS scaling into share appreciation without requiring broad multiple expansion.”
Mastercard Incorporated (NYSE:MA) is an American multinational financial services company that provides transaction processing and payment-related products and services to individuals, businesses, and organizations worldwide.
1. Visa Inc. (NYSE:V)
Number of Hedge Fund Holders: 181
Visa Inc. (NYSE:V) is one of the most promising fintech stocks to buy now. As of July 10, 2026, Wall Street analysts are bullish on Visa Inc. (NYSE:V), with the stock holding a consensus Buy rating. Analysts have set a median 12-month price target of $410, which suggests a potential upside of 18% from the current stock price.
On July 8, Barclays analyst Nik Cremo initiated coverage of Visa Inc. (NYSE:V), giving the stock an Overweight rating and setting the price target at $420. While initiating coverage of the US payments and fintech industry, the analyst noted that after a broad reset across the sector, investors should focus on identifying and picking companies with durable business models and long-term growth potential. Barclays highlighted Visa Inc. (NYSE:V) as one of its preferred names.
Earlier, on July 6, Baird lifted its price target on Visa Inc. (NYSE:V) from $370 to $412 while keeping its Outperform rating on the stock.
The research firm expects Visa Inc. (NYSE:V) to report fiscal third-quarter revenue and earnings per share that exceed market expectations by more than 1%. Baird also forecasts a slight increase to the company’s fiscal 2026 revenue guidance and continues to see Visa Inc. (NYSE:V) as a long-term compounder with strong secular trends.
Visa Inc. (NYSE:V) is an American multinational digital payments company that provides a wide range of payment products and payment processing to facilitate electronic payments in over 200 countries and territories.
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