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Fintech sector: Wedbush analyst talks valuation concerns

Wedbush Securities Managing Director of Equity Research David Chiaverini joined Market Domination to provide insights into the fintech landscape. Chiaverini observed that buy now, pay later (BNPL) transactions currently represent "a very small share" of overall retail sales. However, he highlighted that these platforms are growing faster than overall sales, leading him to conclude that "the outlook for BNPL providers is favorable here." Analyzing specific companies, Chiaverini discussed Affirm (AFRM). While expressing concern about the company's valuation at 8x earnings, he noted that the fundamentals are trending positively, with continued growth and improved credit quality. Turning to SoFi (SOFI), which he currently rates as underperform, Chiaverini acknowledged the company's successful positioning in this year's fintech rebound. Nevertheless, he reiterated valuation concerns as a key point of caution. To watch more expert insights and analysis on the latest market action, check out more Market Domination here. This post was written by Angel Smith Read More...

Wedbush Securities Managing Director of Equity Research David Chiaverini joined Market Domination to provide insights into the fintech landscape.

Chiaverini observed that buy now, pay later (BNPL) transactions currently represent “a very small share” of overall retail sales. However, he highlighted that these platforms are growing faster than overall sales, leading him to conclude that “the outlook for BNPL providers is favorable here.”

Analyzing specific companies, Chiaverini discussed Affirm (AFRM). While expressing concern about the company’s valuation at 8x earnings, he noted that the fundamentals are trending positively, with continued growth and improved credit quality.

Turning to SoFi (SOFI), which he currently rates as underperform, Chiaverini acknowledged the company’s successful positioning in this year’s fintech rebound. Nevertheless, he reiterated valuation concerns as a key point of caution.

To watch more expert insights and analysis on the latest market action, check out more Market Domination here.

This post was written by Angel Smith

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