The recent market downturn hasn’t exactly been kind to high-growth fintech stocks, with most underperforming the S&P 500 by a significant margin. However, some of these companies continue to post impressive growth even in this difficult environment and could rebound sharply if economic conditions improve. Here are two in particular to keep an eye on in 2023 and beyond.
An under-the-radar payment company with a lot of traction
Shift4 Payments (FOUR 3.32%) isn’t quite as well known as some of its payment processing peers, but it has done a fantastic job of executing on its growth strategy. And even in the challenging environment we’re in now, the company’s momentum remains strong. In fact, Shift4 produced all-time highs for payment volume, gross profit, and free cash flow in the third quarter, while its stock price lost 40% from its highs.
A relatively small player compared to companies like Block (SQ -0.21%) and PayPal, Shift4 is building market share, with end-to-end payment volume more than quadrupling since 2019. Plus, the business is profitable and generated over $95 million…