ASX fintechs have gained an average of 258pc in 3 months
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One of the ASX sectors that has seen the sharpest resurgance is the fintech sector.
It’s gained 258 per cent in the last three months and all 18 on Stockhead’s list are in positive territory.
While there are some stocks in negative territory on a 12-month basis, the average annual performance is still a solid 60 per cent gain.
Here’s a table of all ASX fintechs and their performance (note: yearly figures in yellow denote the stock’s performance since IPO):
Scroll or swipe to reveal table. Click headings to sort.
| Code | Name | Price (I) | 3 Month % Return | 1 Year % Return | Market Cap |
|---|---|---|---|---|---|
| SZL | SEZZLE INC-CDI | 4.28 | 970 | 251 | $763.3M |
| OPY | OPENPAY GROUP LTD | 2.41 | 560 | 50 | $267.5M |
| SPT | SPLITIT PAYMENTS LTD | 1.415 | 490 | 107 | $499.6M |
| IP1 | INTEGRATED PAYMENT TECHNOLOG | 0.019 | 394 | 24 | $7.6M |
| Z1P | ZIP CO LTD | 5.9 | 359 | 96 | $2.3B |
| APT | AFTERPAY LTD | 58.19 | 288 | 126 | $15.9B |
| QFE | QUICKFEE LTD | 0.535 | 282 | 165 | $104.5M |
| TYR | TYRO PAYMENTS LTD | 3.49 | 226 | 27 | $1.7B |
| MNW | MINT PAYMENTS LTD | 0.02 | 186 | -20 | $18.2M |
| WZR | WISR LTD | 0.23 | 180 | 70 | $242.8M |
| CCA | CHANGE FINANCIAL LTD | 0.135 | 169 | 284 | $34.5M |
| EML | EML PAYMENTS LTD | 3.58 | 148 | 26 | $1.3B |
| MME | MONEYME LTD | 1.245 | 108 | -1 | $217.7M |
| PGL | PROSPA GROUP LTD | 1.01 | 104 | -72 | $171.8M |
| RZI | RAIZ INVEST LTD | 0.665 | 80 | 55 | $49.8M |
| FTC | FINTECH CHAIN LTD | 0.1 | 64 | -33 | $65.1M |
| MNY | MONEY3 CORP LTD | 1.565 | 61 | -22 | $299.2M |
| CWZ | CASHWERKZ LTD | 0.17 | 13 | -42 | $31.4M |
| FXL | FLEXIGROUP | 1.24 | 211 | -23 | $491.0M |
Much of the hype in the fintech sector is over Afterpay (ASX:APT), which fell below $10 in March but is now over $57.
Afterpay was actually outperformed by all but one of its peers, with Openpay (ASX:OPY), Zip Co (ASX:Z1P), Splitit (ASX:SPT) and Sezzle (ASX:SZL) all recording higher gains.
While Flexigroup (ASX:FXL) trailed its peers, it has still more than tripled.
Among other fintechs, lenders were solid as well with Prospa (ASX:PGL) and Wisr (ASX:WZR) witnessing gains.
Another group moving higher was payment platforms, which includes Change Financial (ASX:CCA) and Tyro Payments (ASX:TYR).
But will the run last?
While many analysts are tipping these stocks to rise further, they are divided on the extent of the rise.
Blue Ocean Equities has tipped Wisr to hit 80c, a near four-fold increase, while Shaw & Partners thinks it can only make 35c.
MoneyMe has received three different buy recommendations at $1.53 from Ord Minnett, $2 from RBC and $1.71 from Morgans.
As for industry giant Afterpay, it has been separately tipped to rise to $65 by Bell Potter & Ord Minnett while Morgans tipped it to fall to $45.96.
Nevertheless, analysts tend to agree that moves either way in the broader sector will hinge on the recovery from COVID-19 and how well positioned these individual companies are.
Earlier this week JP Morgan tipped Tyro Payments to rise to $3.90, a 16 per cent increase over its current $3.34 share price.
Analyst Bob Chen said the company was on track as Australia’s economy returned to normal levels of activity, noting its June figures were strong.
“The positive comps in June provide a solid base into FY21 and the improvement in app download and utilisation data highlights a gradual recovery in merchant acquiring activity,” he said.
“We expect Tyro to benefit from the staged easing of COVID-19 restrictions into early FY21, as well as an accelerated transition to a cashless economy.
“In addition, Tyro remains well capitalised and continues to provide the best value and technology proposition for payments acceptance in the domestic market, and we expect Tyro will continue to gain market share from its competitors.”
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