Hello, Fintech Friends!

May was a busy month for publicly traded Fintech companies, as they reported their Q1 2024 results. Most of the companies have adjusted to the new reality, executing on their commitment to delivering "profitable growth", which in some cases, even meant delivering profitability on a non-adjusted basis.

However, investor optimism about the Federal Reserve cutting rates soon continued to wane, which put pressure on most growth stocks, including the Fintech companies. Thus, according to the CME FedWatch Tool, investors now assign a very low probability of the Federal Reserve cutting rates until autumn.

High interest rates, that are staying high for longer, require delivering higher growth rates. So it was not enough to meet analysts' expectations and reiterate growth targets (which many Fintech companies did). If a company didn't raise the guidance, its stock was taken to the woodshed.

Anyways, stock market volatility aside, fundamentally it was a strong earnings season for most Fintech companies. They delivered growth, expanded to new markets, launched new products, and hit record profitability levels. So let's dive into the key stories of the month!

Best-performing Fintech stocks

Dave (NASDAQ: DAVE), Robinhood (NASDAQ: HOOD), and Nubank (NYSE: NU) lead the Fintech companies in terms of year-to-date stock performance. As of June 8, 2024, their stocks were up 348%, 74%, and 42% year-to-date respectively. See the other best-performing Fintech stocks below 👇🏻

Key Highlights

Nubank (NYSE: NU)