We recently compiled a list of 10 Best Fintech Stocks to Buy in 2024. In this article, we’ll take a look at where Fiserv, Inc. (NYSE:FI) stacks up against other fintech stocks.

Based on a collaboration between the World Economic Forum and the Cambridge Center for Alternative Finance, a report found that the global fintech sector has been strong post-pandemic, with average global customer growth rates above 50% between 2021 and 2022. In this growing market, fintechs offer tailor-made financial services and products to underserved segments of the population. These segments represent a significant portion of the consumer base of fintech companies operating in both advanced economies and emerging and developing markets.

For the second year in a row, as CNBC reports, payments are the largest industry segment with a 24% share, although it is highly fragmented with many companies moving money around the world. Alternative financing, which includes crowdfunding apps and online lenders, follows with a 16% share. Other segments and their relative shares include 14% neo-banking, 12% wealth management technology, 10% business process solutions, 10% banking solutions, 8% financial planning and 6% digital assets . Nationally, the United States is the largest fintech market, home to 46% of the top 250 fintech companies. Meanwhile, the UK hosts 12% while India is home to 4% of these businesses. India has replaced Germany and France due to its growing digital adoption.

In today’s industry landscape, fintech companies at the lower end of the scale appear to be better off. Previously, the CEO of Bank of America said that the consumer was very stable and not getting worse. On the contrary, Daniel Pinto, chief operating officer of JP Morgan Chase, warned that net interest income would be difficult next year, with expected Fed rate cuts on the horizon. Ally Financial’s chief financial officer cited worse conditions as its borrowers face a weak job market as a growing concern other than inflation.

In an interview with CNBC, Dan Dolev, senior fintech equity research analyst at Mizuho, ​​highlighted the growing consumer credit concerns. According to him, fintech players, more exposed to low-income consumers, are doing better. He mentioned that low-end consumers had a lot of money that they were spending beyond their means. These consumers reduced their spending to repay their loans after exhausting their savings 6 or 12 months ago. Meanwhile, prime consumers now face the same pressure as subprime consumers did several months ago.