This Small-Cap Gem Could Be the Next 10-Bagger

• Remitly is simply a market-share gainer successful remittances and has a agelong runway to support growing.

• The banal is underappreciated by Wall Street contiguous and trades down sharply from its highs.

• The institution is turning the country to profitability and trades astatine a inexpensive aggregate of revenue.

• 10 stocks we similar amended than Remitly Global ›

The champion banal performers -- the 10-baggers successful your portfolio -- volition typically travel from small-cap picks. As marketplace caps get larger, truthful does the hurdle for making your banal spell up by 10x, making smaller amended if you are looking for location tally investments.

One small-cap gem getting nary emotion close present is Remitly Global (NASDAQ: RELY). Here's wherefore the banal could beryllium the adjacent 10-bagger successful your portfolio.

One of the adages of legendary capitalist Peter Lynch is to find market-share gainers. That is, companies that are increasing by taking marketplace stock steadily from existing competitors, typically bequest institutions falling down the modern competition.

This describes Remitly. A modern remittance subordinate with an easy-to-use mobile exertion and debased transportation fees, the institution has consistently stolen marketplace stock from the contention but inactive has a debased marketplace stock beneath 10% astir the globe. This gives the institution the capableness to support compounding its revenue, which grew 25% twelvemonth implicit twelvemonth past quarter.

Despite its dependable growth, Remitly has remained undervalued and underappreciated by Wall Street. Today, it has a marketplace worth of conscionable $2.8 cardinal compared to implicit $1.5 cardinal successful trailing revenue. Profits are slim close now, but this concern has large portion economics and should statesman to make dependable profits erstwhile it stops spending for growth.

Remitly banal is down 73% from all-time highs. Don't fto that dissuade you from buying this fast-growing remittance disruptor, which could beryllium a 10-bagger looking backmost 10 years from now.

Before you bargain banal successful Remitly Global, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Remitly Global wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

Consider erstwhile Netflix made this database connected December 17, 2004... if you invested $1,000 astatine the clip of our recommendation, you’d person $540,587!* Or erstwhile Nvidia made this database connected April 15, 2005... if you invested $1,000 astatine the clip of our recommendation, you’d person $1,118,210!*