5 Biggest BNPL Companies In The World

3. Block, Inc. (NYSE:SQ)

Market Capitalization: $36 Billion

Block, Inc. (NYSE:SQ) creates tools that enable sellers to accept card payments and provide reporting and analytics and next-day settlement. The firm recently acquired Afterpay, an Australia-based financial technology company which is known for its BNPL services. The company was founded in 2014 and has expanded operations in Australia, US, UK, Canada, and New Zealand over the years. The company works on the model of providing facilitation to customers in online payments. Afterpay allows in-store and online customers to make a purchase immediately and pay through four equal fortnightly repayments which are interest-free. The company has announced that it will enter the US, which is a $1.5 trillion global subscription payments market, by offering customers payment installments for subscriptions, like gym memberships, entertainment subscriptions and online services. 

Among the hedge funds being tracked by Insider Monkey, St. Petersburg, Florida-based investment firm ARK Investment Management is a leading shareholder in Block, Inc. (NYSE:SQ) with 9.2 million shares worth more than $505.5 million. 

In its Q2 2022 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and Block, Inc. (NYSE:SQ) was one of them. Here is what the fund said:

“Block, Inc. (NYSE:SQ) provides point-of-sale technology to small businesses and operates the Cash App ecosystem of financial services for individuals. Shares fell due to mixed quarterly results with more modest growth in the Seller business offsetting strength in Cash App. While the integration of recently acquired Afterpay is progressing well and credit metrics remain healthy, the buy-now-pay-later business slowed due to greater competitive intensity. We continue to own the stock due to Block’s long runway for growth, sustainable competitive advantages, and unique corporate culture.”