This Insider Explains How to Better Evaluate Fintech Stocks
A flock of fintech companies hit the public markets this year, exciting investors with their ability to leverage technology, data, artificial intelligence, and machine learning to better serve the financial needs of customers. The year was filled with huge run-ups of fintech stocks like Upstart Holdings, Affirm Holdings, and SoFi Technologies, as well as lots of volatility that has ultimately led to a broad sell-off in the sector as the year winds down.
Investors have been intrigued by this new batch of players but also have been left with questions about evaluating the technology powering these innovative companies.
So I caught up with Dan O'Malley, the chief executive officer of Numerated, a private fintech that creates and distributes technology to help banks and credit unions more efficiently lend to businesses. Numerated's platform uses data to streamline the entire business lending process, from application to decision to close. More than 500,000 businesses have leveraged the Numerated digital loan-origination system to process more than $50 billion in business loans.
Source Fool.com
