The Canadian FinTech stocks on our list are rapidly changing the landscape of payment processing and consumer-facing financial services
SmallCapPower | January 27, 2017: FinTech—where technology meets financial services—is a booming sector in Canada, which saw a 35% increase in venture capital funding year-over-year. FinTech provides alternatives for everything from bill payments to borrowing, and is revolutionizing the financial services industry with offerings such as Bitcoin and Apple Pay. Today, we have identified four Canadian FinTech stocks that are set to have a big year in 2017.
First Global Data Ltd (TSX: FGD) – $0.31
Investment Holding Companies
First Global Data Limited is a technology company. Its geographic segments include USA and Canada. It operates in the payments sector. The Company’s principal activity includes financial technology and remittance of services from Canada and the United States. Its services include consumer-to-consumer money transfer, which are provided under First Global Money brand and Mobile Payments, which are provided under PayQwik brand. Its technology platform stores information provided by various regulatory bodies on suspected money launderers and terrorist financiers. It also provides dynamic foreign exchange (FX) services, whereby the system gathers FE from multiple providers, and presents customers with a rate they would receive when sending monies from one currency to another.
- Market Cap: $55 million
- Total Revenue (LTM): $5 million
- Total Debt (FQ0): 12.58
- YTD Price PCT Change: +14.8%
GoldMoney Inc. (TSX: XAU) – $3.20
Online Services
GoldMoney Inc., formerly BitGold Inc., is a financial technology company. It operates a global, full-reserve and gold-based financial services group. It provides financial services as a limited third party, combining the attributes of gold with technology. It operates through two segments: GoldMoney and BitGold. Through BitGold, it operates a self-directed gold savings platform and a gold payments network allowing individuals and businesses to make purchases or sales of gold, receive online payments, or transact with online merchants. Through GoldMoney Wealth, it offers precious metals custody and wealth services, trading and execution, card services, tax-free retirement accounts and independent research to high net worth individual investors and institutions.
- Market Cap: $220 million
- Total Revenue (LTM): $445 million
- Total Debt (FQ0): 0.00
- YTD Price PCT Change: -2.4%
Mogo Finance Technology Inc. (TSX: MOGO) – $2.36
Consumer Lending
Mogo Finance Technology Inc. is a Canada-based financial technology company, which is focused on building a digital financial brand, Mogo. The Company’s technology platform provides consumers with access to responsible credit solutions. The Company leverages big data algorithms and the technologies to manage the customer experience. It has over 180,000 Mogo Members and over 1.2 million loans originated. The Company offers liquid installment loans with amounts of up to approximately $35,000.
- Market Cap: $43 million
- Total Revenue (LTM): $51 million
- Total Debt (FQ0): $87.0 million
- YTD Price PCT Change: +22.9%
Versapay Corp. (TSXV: VPY) – $1.35
Business Support Services
Versapay Corp is a Canada-based financial technology company that provides a Cloud-based accounts receivable automation software and integrated payment solutions for businesses. The Company operates through two segments: VersaPay Solutions and Point of Sale Merchant Services (POS). Through its VersaPay Solutions segment, the Company focuses on electronic invoice presentment with its ARC software (ARC) and develops value added payment technologies, such as its PayPort and VersaPay Gateway. Through its POS segment, the Company acts on behalf of financial institutions to provide merchants with the ability to process credit and debit card payments for card-not-present and card-present transactions, including Internet businesses, mail-order/telephone-order merchants and retail point-of-sale merchants in Canada and the United States.
- Market Cap: $41 million
- Total Revenue (LTM): $6 million
- Total Debt (FQ0): $0.1 million
- YTD Price PCT Change: +12.5%
