Remitly Global stock price target lowered to $20 at Wolfe Research

Investing.com - Wolfe Research has lowered its price target on Remitly Global Inc (NASDAQ:RELY) to $20.00 from $25.00 while maintaining an Outperform rating on the digital remittance company. The company, currently trading at $15.48, has shown strong revenue growth of 35% over the last twelve months, with analysts maintaining a bullish consensus despite the stock trading below InvestingPro’s Fair Value estimate.

The firm believes Remitly remains well positioned to capitalize on secular trends in digital money transfer and financial services, which should enable the company to continue taking market share from legacy, retail-driven providers.

Wolfe Research notes that as average industry prices for digital transfers drop below 3-4%, customers may become less price sensitive and place greater emphasis on reliability, user experience, and convenience—areas where Remitly has focused its efforts.

The firm highlights Remitly’s partnerships that address the need for cash payout at disbursement points, demonstrating the company’s technological and software leadership, particularly in underdeveloped financial markets serving migrant communities.

According to Wolfe’s analysis of Apptopia download data, Remitly has continued to gain market share in the U.S., accounting for approximately 35% of U.S. downloads over the past twelve months, compared to just 9% of downloads before the pandemic.

In other recent news, Remitly Global Inc has reported several notable developments that could interest investors. Wolfe Research upgraded Remitly’s stock rating to Outperform with a price target of $25.00, highlighting the company’s strong position to leverage trends in digital money transfers and financial services. Meanwhile, JMP Securities adjusted its price target for Remitly to $23.00 from $32.00, maintaining a Market Outperform rating but citing concerns about management’s third-quarter guidance and potentially optimistic 2026 revenue forecasts.

Additionally, Citizens JMP reiterated its Market Outperform rating with a $23.00 price target, praising Remitly as a leading growth vehicle in the FinTech sector. The company also launched Remitly One, a financial membership program for cross-border money management, offering services like Remitly Flex, which allows users to send money now and pay later. This new membership aims to enhance customer convenience by providing instant access to funds for members.

JMP Securities also emphasized Remitly’s strategic expansion into the small and medium-sized business market, creating opportunities in a segment where competitors focus on larger enterprises. These recent actions and analyses reflect ongoing confidence in Remitly’s potential despite some near-term challenges.

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