Wells Fargo analyst Jeff Cantwell launched global coverage of the payments and fintech sector with a bullish stance. He saw a $1.5 trillion annual revenue opportunity for fintech companies globally and expects 6 percent yearly growth over the ensuing decade. Cantwell initiated Shopify Inc. with an Overweight rating and an $834 price target (18.2 percent upside). After the recent pullback, he views the valuation as “more palatable” for Shopify, which he thinks should grow GMV rapidly in FY22 and FY23 with concurrently strong revenue growth. The ongoing launches of value-added products and services highlight a crucial theme, vendor consolidation, that he expects to drive sustained share gains. Cantwell initiated PayPal Holdings Inc. with an Overweight rating and a $152 price target (27.9 percent upside). PayPal is the payments leader currently trading at a “reasonable multiple post-reset.” The stock’s reset is overdone as the company has “operating tailwinds” across its platforms, producing strong growth after eBay’s lapping, driving …
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