While the market has recently rallied around tourism and bank shares, some mid-cap ASX fintech shares have enjoyed double digit growth. Checkout.com, the UK's fastest growing fintech, recently purchased Perth based Pin Pay, underscoring the level of international interest currently being garnered by Australian fintech companies. This is primarily for our $33 billion business-to-consumer eCommerce marketplace, but also for our access to Asia.
These 4 mid-cap ASX fintech shares have each grown by over 30% this month alone.
ASX fintech mid-caps
Pushpay Holdings Ltd (ASX: PPH) has registered the largest amount of growth in May among the sector so far. If you invested in Pushpay at its low point on 16 March, your investment would have grown by 156%. The company is predominantly a donor payment management service. Its customers include faith based organisations and not-for-profit companies across Australia, New Zealand and the United States.
The Zip Co Ltd (ASX: Z1P) share price has surged by nearly 63% month to date. Zip Co is 1 year older than Australian fintech rival Afterpay Ltd (ASX: APT). The company offers credit lines and joined the buy-now-pay-later credit market in 2019 via acquisition. I personally think this company has a very long runway ahead of it. As a side note, the company also owns Pocketbook, a truly free budget planner.
EML Payments Ltd (ASX: EML) is the next largest growing mid cap Australian fintech for May. Its share price grew by 38% month to date with only a few trading days left. The company's core revenue earner is one-off payments via gift cards at supermarkets. This is a high-margin activity that I believe is likely to enjoy further growth as we emerge from lock down.
Tyro Payments Ltd (ASX: TYR) has seen its share price rise by 37% month to date. From its lowest point on 19 March, the Tyro share price has risen 290%, almost 4 times. The company processes EFTPOS payments along with offering other merchant services such as e-commerce.
Foolish Takeaway
The ASX fintech sector is attracting a lot of attention globally. Along with world leaders like Afterpay, we are fortunate to have a range of up and coming, mid-cap growth shares listed on the ASX. Each of the 4 shares I've looked at here represents a billion-dollar-plus company. I believe all of them offer good growth opportunities and I'd be happy to add them in my portfolio.
