I took seven high profile FinTech stocks (SCHW, V, MA, PYPL, HOOD, INTU and SOFI) and ran them through my Value Score model:
[FinTech Valuation](https://docs.google.com/spreadsheets/d/1FI2cIQe4WIE-2_Zl79MUgxGskPaOU-5HqFb2x-hgEYQ/edit?usp=sharing)
At first glance, 4 stocks (SCHW, V, MA and HOOD) easily passed my 40 minimum Value Points threshold and 4 stock passed my 2.0 minimum Value Score threshold (SCHW, V, MA and PYPL).
Yet, outside of HOOD (+188.0% YTD) and SOFI (+63.6% YTD), these stocks have not done anything this year. What gives?
Obviously, there has been bias against non-AI stocks this year. While the Mag 7 got all of the attention, there are plenty of companies under the radar that kept growing and improving their margin.
There is also bias against financials in general because of a perceived commodity business and credit risk. SCHW, HOOD and SOFI do make loans and earn interest income. I can do a deeper dive on their business models later if there is interest.
Given that financial stocks in general trade at lower multiples than tech stocks, I would raise my minimum Value Score threshold from 2.0 to 3.0 for this analysis. That puts SCHW, V and MA firmly in the Worth More Analysis category.
