Marqeta (MQ) $5.35
Marqeta is a credit card processor with clients like Block (Square), Affirm, and DoorDash.
Marqeta should grow in 2025, after two years of a slowdown in 2023 and 2024 (estimated).
Total Bookings with new clients and expansions with existing clients are growing well at over 50% and 60%. They’ve also done a good job on cost reduction.
The stock, though, could likely stagnate since they’re far from profitability. The other negative is that this is a commodity business with a lot of strong older players and several new upstarts, without any real competitive advantages. But Marqeta has a strong business relationship with Block, (51% of business) so that’s a plus, and their contract is in place through 2028.
The valuation is around 5X sales, and once growth resumes should be seen as cheap.
I think it’s worth looking into around $5. I’ll keep an eye on updates.