Q3 2023 Fintech Payments Public Comp Sheet and Valuation Guide

EMERGING TECH RESEARCH
Fintech & Payments

Public Company
Comp Sheet and
Valuation Guide
Q3
2023
PitchBook Data, Inc.
John Gabbert Founder, CEO
Key takeaways
Nizar Tarhuni Vice President, Institutional Research
and Editorial
Paul Condra Head of Emerging Technology Research Email analysts James Ulan and Rudy Yang to schedule a time this week to speak about fintech & payments valuations.
Institutional Research Group Fintech returns interspersed: The majority of our fintech cohorts underperformed the market in Q3 2023. However, the neobanks,
Analysis brokers, and crypto group as well as high-growth fintech delivered median returns of 12.3% and 19.1%, respectively, during the
Rudy Yang
quarter, outpacing the S&P 500’s -0.4% and the Nasdaq’s 2.0% returns. Not all high-growth companies performed well, however, as
Senior Analyst, Emerging
Technology
the median return for high-growth payments companies trailed at -9.8%.
rudy.yang@pitchbook.com
IPOs drag and some SPACs outperform: Returns for recent fintech and payment IPOs were -5.3% in Q3 2023, underperforming
James Ulan
Lead Analyst, Emerging
the S&P 500 and the Nasdaq. Conversely, shares of recent fintech and payment SPACs significantly outperformed in Q3, returning
Technology
james.ulan@pitchbook.com
10.0%. SPAC outperformance was primarily driven by the increase in share prices for MoneyLion (131.2%), Pagaya (40.2%), and Dave
pbinstitutionalresearch@pitchbook.com (32.3%), though Q2 2023 results from these companies were mixed. Still, not all SPACs have performed well, as illustrated by the
Published on October 9, 2023 -97.1% plummet in Better.com’s shares since merging with its SPAC partner Aurora. Investors still value quality and profitability, and
IPOs have still outperformed SPACs YTD returning 34.5% versus 14.8% for SPACs.
The PitchBook fintech &

payments comp sheet was
constructed with the PitchBook
Excel plug-in utilizing both
PitchBook and Morningstar
data. The tool allows subscribers
to pull financial data and
company information into Excel
for over 55,000 public companies
across the US and the world, as
well as PitchBook’s proprietary
data on over 3.6 million
private companies
Q3 2023 FINTECH & PAYMENTS PUBLIC COMP SHEET AND VALUATION GUIDE 2
Momentum in multiples growth halts: While fintech multiples expanded broadly in Q2 2023, most segments saw valuation
multiples contract in Q3. Cohorts that saw an uptick in their median EV/NTM sales multiples include neobanks, brokers, and crypto
(from 2.0x to 2.7x), as well as high-growth payments (from 3.8x to 4.1x), and high-growth fintech (from 3.9x to 4.5x). Meanwhile,
EV/NTM EBITDA multiples contracted for all groups with the exception of high-growth fintech (from 58.0x to 60.7x), generally due
to declining EBITDA forecasts outpacing EV growth.
M&A yet to pick up: Q3 2023 saw a few more acquisitions, including Zillow’s acquisitions of digital title and escrow company Spruce
as well as real estate media software and content platform Aryeo; Latch’s purchase of proptech startup Honest Day’s Work; and
Wex’s acquisition of employee benefits company Ascensus Health and Benefits. Still, the total number of acquisitions from public
fintech companies in Q3 2023 trailed behind that of Q2, despite broader industry expectations for M&A to pick up. We believe there
is more consolidation to be seen ahead. Fintech multiples were generally expensive in 2021 and 2022, trading at premiums relative
to the S&P 500. However, EV/NTM sales multiples are now priced at significant discounts to the S&P 500’s 10.3x. In an environment
of consolidation, incumbents also stand to benefit from acquiring fintech companies with proven success.
Stripe valuation analysis

A look at Stripe’s latest valuation after Adyen’s rough quarter: Stripe recently raised $6.9 billion of capital at a $43.1 billion pre-money
valuation. The capital is earmarked to cover Stripe employees’ tax liability from stock-based compensation.
Stripe’s May 2023 valuation was 11.9x estimated trailing-12-month (TTM) revenue on 25% to 35% estimated TTM revenue growth.
We compare this to Adyen’s latest EV/TTM net revenue multiple which was 10.7x. Adyen is expected to grow revenue by 15.9% in
2023, 23.2% in 2024, and 24.6% in 2025.
Stripe’s three most recent valuations prior to their latest raise were as follows:
• March 2021: A $95.5 billion valuation on $1.7 billion of estimated TTM revenue and 60% to 70% estimated revenue growth,
resulting in a 54.4x multiple.
• December 2020: A $35.2 billion valuation on $1.6 billion of TTM revenue and 60% to 70% estimated revenue growth, resulting in
a 22.6x multiple
• January 2019: A $22.4 billion valuation on $0.7 billion of estimated TTM revenue and 60% estimated revenue growth, resulting in
a 31.7x multiple
Stripe investors have expressed interest in Adyen’s H1 2023 earnings release after Adyen announced slowing North American
revenue growth due to clients seeking low-cost providers (enterprise belt tightening), as well as heighted hiring to remain
competitive. After the release, analysts lowered their revenue estimates. Adyen’s new median 2024 consensus revenue estimate
declined by about 10% ($2.4 billion to $2.1 billion) from June 30, 2023 to September 30, 2023, and its 2025 revenue estimate
declined from $3.1 billion to $2.6 billion. Similarly, the 2024 EBITDA consensus estimate declined from $1.3 billion to $0.9 billion, and
the 2025 estimate fell from $1.7 billion to $1.3 billion.
All historical financial data, forecasted financial data (consensus estimates), and private-company valuation data is available
through the PitchBook Platform and can be pulled into excel using the PitchBook excel plugin. PitchBook subscribers also have
access to company financial models for large publicly traded firms, including Adyen. PitchBook clients can access the Adyen
financial model here.
Q3 2023 FINTECH & PAYMENTS PUBLIC COMP SHEET & VALUATION GUIDE 4
Stock returns
Source: PitchBook and Morningstar • Geography: Global • *As of September 30, 2023
Valuations
Sources: PitchBook, Morningstar, and FactSet • Geography: Global • *As of September 30, 2023 Sources: PitchBook, Morningstar, and FactSet • Geography: Global • *As of September 30, 2023
Sources: PitchBook, Morningstar, and FactSet • Geography: Global • *As of September 30, 2023
Revenue
Revenue
Gross income
Gross income
EBITDA
EBITDA
Free cash flow
Free cash flow
Earnings per share
Earnings per share
Market cap
1x
Private company valuations
Note: EV/NTM forecast revenue for private companies was estimated using PitchBook revenue data and post-money valuations. Remitly was private through Q2 2021,
Flywire through Q1 2021, and Bill.com through Q1 2020. The bolded text in the table indicates the quarter of the company’s IPO.
Note: The circle on the line chart marks the quarter in which the company exited via IPO.
Note: EV/NTM forecast revenue for private companies was estimated using PitchBook revenue data and post-money valuations. SoFi was private through Q1 2021 and
Robinhood through Q2 2021. The bolded text in the table indicates the quarter of the company’s IPO.
Note: The circle on the line chart marks the quarter in which the company exited via IPO.
PitchBook VC Exit Predictor
PitchBook VC Exit Predictor: Highest likelihood of going public (IPO, SPAC)*
IPO Last known Last known Total Last financing IPO Last known Last known Total Last financing
Company probability valuation ($M) valuation date raised ($M) date HQ country Company probability valuation ($M) valuation date raised ($M) date HQ country
Addepar 97% $2170.0 December 22, 2021 $495.1 March 4, 2022 United States eToro 97% $3500.0 August 1, 2023 $1671.4 August 1, 2023 United Kingdom
Cross River Bank 97% $3000.0 May 1, 2022 $1157.1 June 1, 2023 United States Zopa 97% $1052.5 September 8, 2023 $907.9 September 8, 2023 United Kingdom
Chime 96% $25000.0 September 10, 2021 $2646.3 July 28, 2023 United States Klarna 97% $6700.0 July 11, 2022 $4648.1 March 1, 2023 Sweden
Tradeshift 96% $2700.0 March 15, 2021 $909.5 August 14, 2023 United States Wealthsimple 97% $4004.5 May 3, 2021 $875.6 September 1, 2021 Canada
iCapital 95% $6000.0 June 23, 2022 $678.4 August 1, 2022 United States Revolut 96% $33000.0 July 1, 2021 $1693.8 N/A United Kingdom
Varo 95% $1850.0 March 1, 2023 $1042.3 March 1, 2023 United States Creditas 96% $4800.0 January 21, 2022 $883.3 January 21, 2022 Brazil
Fundbox 93% $1100.0 November 30, 2021 $383.5 November 30, 2021 United States bolttech 95% $1600.0 September 21, 2023 $493.0 September 21, 2023 Singapore
Bolt 92% $11000.0 February 9, 2022 $957.0 April 29, 2022 United States N26 95% $3000.0 N/A $1879.8 N/A Germany
Gemini 92% $7100.0 November 18, 2021 $400.0 February 1, 2022 United States Starling Bank 94% $3429.2 April 26, 2022 $1006.5 February 8, 2023 United Kingdom
Jerry 92% $571.8 April 29, 2022 $232.6 March 17, 2023 United States Aye 94% $251.3 June 24, 2020 $230.5 N/A India
Public Holdings 92% $1200.0 July 14, 2021 $311.0 December 6, 2021 United States BharatPe 94% $5500.0 January 1, 2023 $1201.5 N/A India
Stripe 92% $50000.0 March 15, 2023 $9105.0 April 30, 2023 United States Raisin 94% $762.8 February 5, 2019 $321.0 March 23, 2023 Germany
Xpansiv 92% N/A N/A $703.0 January 11, 2023 United States Micro Connect 93% N/A N/A $603.0 July 8, 2023 Hong Kong
Gusto 91% $9630.0 May 12, 2022 $751.3 May 12, 2022 United States WeLab Holdings 93% $2000.0 November 21, 2022 $728.7 November 21, 2022 Hong Kong
Petal 91% $800.0 January 5, 2022 $1208.8 N/A United States Moonfare 93% N/A N/A $211.9 March 17, 2023 Germany
Pie Insurance 91% $876.0 March 25, 2021 $620.3 September 21, 2022 United States Toss 92% $7000.0 December 20, 2022 $1375.0 December 20, 2022 South Korea
Current 90% $2200.0 April 27, 2021 $411.2 April 27, 2021 United States Klar 92% $500.0 June 9, 2022 $347.8 August 15, 2023 Mexico
Prosper Marketplace 90% $850.0 September 20, 2017 $679.9 January 1, 2023 United States OurCrowd 92% N/A N/A $187.5 June 1, 2023 Israel
Ramp 90% $5800.0 August 22, 2023 $1722.9 August 22, 2023 United States Solfácil 92% N/A N/A $288.1 June 15, 2023 Brazil
Trumid 90% $2400.0 October 12, 2021 $733.3 October 12, 2021 United States Gojo & Company 91% $380.4 December 17, 2020 $246.1 August 16, 2023 Japan
C2FO 88% $2540.0 January 31, 2022 $549.8 January 31, 2022 United States Gojek 91% $10000.0 April 30, 2020 $6801.0 September 1, 2023 Indonesia
Kin 88% $1000.0 September 13, 2023 $421.1 N/A United States Cover Genius 91% $657.0 November 1, 2022 $153.2 November 1, 2022 Australia
Circle 87% $4500.0 May 28, 2021 $1114.0 August 21, 2023 United States SumUp 89% $8175.4 July 28, 2022 $1187.2 August 9, 2023 United Kingdom
Collective Health 87% $1530.0 May 4, 2021 $759.0 March 31, 2023 United States Monzo 88% $4596.8 January 3, 2022 $1304.3 January 3, 2022 United Kingdom
Republic 87% $835.0 November 16, 2021 $212.2 January 31, 2023 United States Wayflyer 88% $1600.0 February 1, 2022 $1911.0 September 6, 2023 Ireland
Avant 86% $2000.0 October 14, 2015 $2180.7 N/A United States Scalable Capital 88% $1704.4 June 8, 2021 $319.9 August 31, 2023 Germany
Best Egg 86% N/A N/A $313.3 March 10, 2022 United States Kriya (Financial Services) 87% $128.3 June 9, 2021 $719.1 N/A United Kingdom
Next 86% $4000.0 March 30, 2021 $896.3 February 1, 2023 United States Finaktiva 87% N/A N/A $66.2 June 30, 2023 Colombia
Tipalti 86% $8300.0 December 8, 2021 $737.0 May 15, 2023 United States Smart 86% $530.3 May 14, 2023 $383.9 May 14, 2023 United Kingdom
Upgrade 86% $6280.0 November 16, 2021 $600.1 December 1, 2022 United States Solaris 86% $1632.8 October 13, 2021 $482.7 N/A Germany
Acorns 85% $1800.0 March 9, 2022 $637.0 N/A United States Clearco 86% $2000.0 April 5, 2021 $1077.0 October 4, 2023 Canada
Alchemy Insights 85% $10450.0 February 8, 2022 $413.6 N/A United States Polkadot 85% N/A N/A $255.1 August 18, 2022 Switzerland
FalconX 85% $8000.0 June 2, 2022 $427.0 June 2, 2022 United States Funding Societies 85% $528.7 February 15, 2022 $468.9 September 26, 2023 Singapore
SpotOn 85% $3600.0 May 18, 2022 $928.0 May 18, 2022 United States SEBA Bank 84% $1977.1 January 24, 2022 $153.0 N/A Switzerland
ConsenSys 84% $7000.0 October 12, 2022 $733.0 January 1, 2023 United States Indifi 84% $75.6 November 24, 2021 $129.2 June 13, 2023 India
BlueVine 83% $602.5 October 11, 2019 $426.3 February 5, 2022 United States GoCardless 83% $2100.0 May 9, 2022 $620.8 May 9, 2022 United Kingdom
Mosaic 83% $1000.0 July 1, 2022 $475.2 July 1, 2022 United States Konfio 83% $1300.0 September 29, 2021 $781.8 March 2, 2023 Mexico
MX 83% $1900.0 January 13, 2021 $445.0 N/A United States Neo 82% $782.4 June 9, 2022 $234.0 June 9, 2022 Canada
Brex 82% $12300.0 January 11, 2022 $1231.6 February 1, 2023 United States Dunamu 81% $12568.3 January 27, 2022 $574.6 March 1, 2023 South Korea
Sources: PitchBook• Geography: Global
Source: PitchBook • Geography: Global *As • *As
ofof September22,
September 30,2023
2023
Note: Probability data based on PitchBook VC Exit Predictor methodology.
PitchBook VC Exit Predictor
Source: PitchBook • Geography: Global • *As of September 30, 2023

Note: Probability data based on PitchBook VC Exit Predictor methodology.
M&A
Source: PitchBook and Morningstar • Geography: Global • *As of September 30, 2023
Note: Company descriptions and deal commentaries are sourced from the companies themselves and modified and abridged to be more concise.
Traditional financials comparables
Source: PitchBook, Morningstar, and FactSet • Geography: Global • *As of September 30, 2023
Disclaimer: Any -0 values are negative values that have been rounded up to 0.
©2023 by PitchBook Data, Inc. All rights reserved. No part of this publication may be reproduced in any form or by any means—graphic, electronic, or mechanical,
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are based on information from sources believed to be reliable, but accuracy and completeness cannot be guaranteed. Nothing herein should be construed as any
past, current or future recommendation to buy or sell any security or an offer to sell, or a solicitation of an offer to buy any security. This material does not purport
to contain all of the information that a prospective investor may wish to consider and is not to be relied upon as such or used in substitution for the exercise of
independent judgment.

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EMERGING TECH RESEARCH

Fintech & Payments

The PitchBook fintech &

Stripe valuation analysis

Source: PitchBook • Geography: Global • *As of September 30, 2023

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