The Remitly Review: Insights from Divisadero's $95 Million Exit on the Digital Currency Landscape
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 03 2025
0mins
Should l Buy RELY?
Source: NASDAQ.COM
Divestment Details: Divisadero Street Capital Management, LP sold 5,036,343 shares of Remitly Global, reducing its position by approximately $94.68 million, which now accounts for only 0.04% of the fund's $2.29 billion AUM.
Impact on Remitly Global: The significant sell-off removes a major institutional holder, prompting investors to reassess Remitly's current market position and future profitability in the competitive digital remittance landscape.
Company Overview: Remitly Global specializes in digital cross-border remittance services, primarily targeting immigrant families, and aims to provide secure and efficient money transfer solutions across approximately 150 countries.
Market Challenges: The company faces increased competition from digital-first rivals and traditional banks, alongside high customer acquisition costs and tightening regulatory requirements, necessitating a focus on profitability and customer retention.
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Analyst Views on RELY
Wall Street analysts forecast RELY stock price to rise
5 Analyst Rating
5 Buy
0 Hold
0 Sell
Strong Buy
Current: 16.930
Low
17.00
Averages
22.67
High
28.00
Current: 16.930
Low
17.00
Averages
22.67
High
28.00
About RELY
Remitly Global, Inc. is a provider of digital financial services that transcend borders, in over 170 countries around the world. Its cross-border payments app helps customers with a fast, reliable, and transparent money movement experience. The Company’s technology platform is purpose-built to localize consumer experiences, enables a robust network of partner integrations, and uses data to optimize business performance. The Company provides a digital cross-border remittance product that is accessible via its mobile app or the Web. It offers a mobile-centric suite of products, global network, localization expertise at scale and a data-driven approach. Its mobile app for cross-border remittances provides an easy-to-use, end-to-end process. The Company's global network of funding and disbursement partnerships enables it to complete money transfers in over 5,100 corridors without the need to deploy local operations in each country.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Remitly Stock Drops 5% Amid AI Disruption Fears
- Market Panic Impact: Remitly's stock fell 5% to $16.25 due to panic triggered by a blog post discussing AI's potential disruption of the financial payments sector, reflecting investor anxiety about future payment methods.
- Analyst Rating Upgrade: Despite market pressures, Cantor Fitzgerald raised Remitly's price target from $17 to $20 while reiterating an overweight rating, indicating analysts' confidence in the company's future performance.
- Stablecoin Experimentation: Remitly has begun experimenting with stablecoins to mitigate potential market disruption; however, customers remain cautious about using stablecoins for remittances, highlighting the company's reliance on trust in its operational model.
- Improving Profitability: Despite poor stock market performance, Remitly reported strong growth and improving profitability in Q4, with a positive outlook for 2026, suggesting resilience in the cross-border payments sector.
See More
Remitly Faces Potential AI Disruption Risks
- Stock Decline: Despite Cantor Fitzgerald raising Remitly's price target from $17 to $20, the stock fell 5% due to market panic over AI potentially disrupting the financial payments sector, highlighting the fragility of market sentiment.
- Analyst Optimism: Cantor Fitzgerald reiterated an overweight rating on Remitly, citing strong fourth-quarter results and a positive outlook for 2026, indicating potential for sustained growth despite market challenges.
- AI Disruption Concerns: A hypothetical scenario from Citrini Research suggested that AI could replace credit cards with stablecoins, although Remitly's resilience in cross-border payments shows some capacity to withstand such pressures, yet market confidence is shaken.
- Competitive Market Pressure: Despite improvements in profitability, Remitly's stock performance remains weak, and it was not included in the analyst's recommended best stocks list, reflecting cautious investor sentiment regarding its future growth prospects.
See More
Remitly Global Shares Surge 30% on Strong Q4 Earnings and Growth Outlook
- Strong Earnings Growth: Remitly Global reported a 26% year-over-year revenue increase in Q4, with active customers up 19% and send volume rising 35%, which has significantly boosted investor confidence as the company rapidly gains market share.
- Profitability Improvement: The company achieved a record GAAP operating margin of 9% in Q4, indicating strong operating leverage at scale, although aggressive investments in marketing and product development are masking its true profit potential.
- Future Growth Outlook: Remitly is guiding for up to 20% revenue growth by 2026, with adjusted EBITDA projected between $340 million and $360 million, attracting investor interest and contributing to the stock's surge.
- Attractive Stock Valuation: With a market cap of $3.6 billion, Remitly's stock trades at just a 10x multiple on its adjusted earnings guidance for 2026, making it appealing given its sustained double-digit growth, and management is considering expanding its repurchase program.
See More
Remitly Reports Strong Q4 Growth and Profitability
- Significant Customer Growth: Remitly's active customers increased by 19% year-over-year in Q4, indicating rapid expansion in the remittance market, which enhances its market share and brand influence.
- Surge in Revenue and Send Volume: The company reported a 26% year-over-year revenue growth and a 35% increase in send volume for Q4, reflecting the success of its business model and rising market demand.
- Improved Profitability: Remitly achieved a GAAP operating margin of 9% in Q4, a record high, demonstrating significant operating leverage gained through scaling its operations.
- Future Growth Outlook: The company is guiding for a 20% revenue growth in 2026, with adjusted EBITDA projected between $340 million and $360 million, further solidifying its competitive position in the industry.
See More
U.S. Stocks Close Lower, Dow Jones Falls Over 300 Points
- Market Performance: U.S. stocks closed lower on Thursday, with the Dow Jones index dropping over 300 points, a decline of 0.64% to 49,346.38, indicating investor concerns about the economic outlook.
- Walmart Earnings: Walmart reported upbeat fourth-quarter results with adjusted earnings per share of 74 cents, exceeding the expected 73 cents, but its fiscal 2027 outlook fell short, projecting earnings between $2.75 and $2.85, below the consensus estimate of $2.96.
- Sales Growth: Walmart's sales reached $190.70 billion, a 5.6% year-over-year increase, surpassing the analyst consensus of $190.43 billion, demonstrating the company's strong performance in the retail market.
- Energy Stocks Rise: Despite the overall market decline, energy stocks gained 1.1%, reflecting investor confidence in the sector, likely driven by oil prices rising 2.1% to $66.53.
See More
Remitly Reports Record Earnings, Stock Soars
- Record Earnings Report: Remitly announced Q4 2025 revenue of $442.2 million, a 26% year-over-year increase, with net income of $41.2 million, marking the company's first GAAP profitability, indicating strong business growth potential.
- Customer and Transaction Volume Growth: Active customers rose 19% to 9.3 million, while remittance volume surged 35% to $20.8 billion, demonstrating Remitly's increasing competitiveness in the digital remittance market and attracting more users to its platform.
- Optimistic 2026 Outlook: Management projects 2026 revenue growth between 19% and 20%, reaching $1.94 billion to $1.96 billion, with adjusted EBITDA expected between $340 million and $360 million, showcasing sustained profitability improvements ahead.
- Leadership Transition and Market Reaction: Founder Matt Oppenheimer handed the CEO role to Sebastian Gunningham, with the market responding positively as shares surged 29.24% to $17.59 on Thursday, reflecting investor confidence in the company's future direction.
See More
Remitly Stock Drops 5% Amid AI Disruption Fears
- Market Panic Impact: Remitly's stock fell 5% to $16.25 due to panic triggered by a blog post discussing AI's potential disruption of the financial payments sector, reflecting investor anxiety about future payment methods.
- Analyst Rating Upgrade: Despite market pressures, Cantor Fitzgerald raised Remitly's price target from $17 to $20 while reiterating an overweight rating, indicating analysts' confidence in the company's future performance.
- Stablecoin Experimentation: Remitly has begun experimenting with stablecoins to mitigate potential market disruption; however, customers remain cautious about using stablecoins for remittances, highlighting the company's reliance on trust in its operational model.
- Improving Profitability: Despite poor stock market performance, Remitly reported strong growth and improving profitability in Q4, with a positive outlook for 2026, suggesting resilience in the cross-border payments sector.
See More
Remitly Faces Potential AI Disruption Risks
- Stock Decline: Despite Cantor Fitzgerald raising Remitly's price target from $17 to $20, the stock fell 5% due to market panic over AI potentially disrupting the financial payments sector, highlighting the fragility of market sentiment.
- Analyst Optimism: Cantor Fitzgerald reiterated an overweight rating on Remitly, citing strong fourth-quarter results and a positive outlook for 2026, indicating potential for sustained growth despite market challenges.
- AI Disruption Concerns: A hypothetical scenario from Citrini Research suggested that AI could replace credit cards with stablecoins, although Remitly's resilience in cross-border payments shows some capacity to withstand such pressures, yet market confidence is shaken.
- Competitive Market Pressure: Despite improvements in profitability, Remitly's stock performance remains weak, and it was not included in the analyst's recommended best stocks list, reflecting cautious investor sentiment regarding its future growth prospects.
See More
Remitly Global Shares Surge 30% on Strong Q4 Earnings and Growth Outlook
- Strong Earnings Growth: Remitly Global reported a 26% year-over-year revenue increase in Q4, with active customers up 19% and send volume rising 35%, which has significantly boosted investor confidence as the company rapidly gains market share.
- Profitability Improvement: The company achieved a record GAAP operating margin of 9% in Q4, indicating strong operating leverage at scale, although aggressive investments in marketing and product development are masking its true profit potential.
- Future Growth Outlook: Remitly is guiding for up to 20% revenue growth by 2026, with adjusted EBITDA projected between $340 million and $360 million, attracting investor interest and contributing to the stock's surge.
- Attractive Stock Valuation: With a market cap of $3.6 billion, Remitly's stock trades at just a 10x multiple on its adjusted earnings guidance for 2026, making it appealing given its sustained double-digit growth, and management is considering expanding its repurchase program.
See More
Remitly Reports Strong Q4 Growth and Profitability
- Significant Customer Growth: Remitly's active customers increased by 19% year-over-year in Q4, indicating rapid expansion in the remittance market, which enhances its market share and brand influence.
- Surge in Revenue and Send Volume: The company reported a 26% year-over-year revenue growth and a 35% increase in send volume for Q4, reflecting the success of its business model and rising market demand.
- Improved Profitability: Remitly achieved a GAAP operating margin of 9% in Q4, a record high, demonstrating significant operating leverage gained through scaling its operations.
- Future Growth Outlook: The company is guiding for a 20% revenue growth in 2026, with adjusted EBITDA projected between $340 million and $360 million, further solidifying its competitive position in the industry.
See More
U.S. Stocks Close Lower, Dow Jones Falls Over 300 Points
- Market Performance: U.S. stocks closed lower on Thursday, with the Dow Jones index dropping over 300 points, a decline of 0.64% to 49,346.38, indicating investor concerns about the economic outlook.
- Walmart Earnings: Walmart reported upbeat fourth-quarter results with adjusted earnings per share of 74 cents, exceeding the expected 73 cents, but its fiscal 2027 outlook fell short, projecting earnings between $2.75 and $2.85, below the consensus estimate of $2.96.
- Sales Growth: Walmart's sales reached $190.70 billion, a 5.6% year-over-year increase, surpassing the analyst consensus of $190.43 billion, demonstrating the company's strong performance in the retail market.
- Energy Stocks Rise: Despite the overall market decline, energy stocks gained 1.1%, reflecting investor confidence in the sector, likely driven by oil prices rising 2.1% to $66.53.
See More
Remitly Reports Record Earnings, Stock Soars
- Record Earnings Report: Remitly announced Q4 2025 revenue of $442.2 million, a 26% year-over-year increase, with net income of $41.2 million, marking the company's first GAAP profitability, indicating strong business growth potential.
- Customer and Transaction Volume Growth: Active customers rose 19% to 9.3 million, while remittance volume surged 35% to $20.8 billion, demonstrating Remitly's increasing competitiveness in the digital remittance market and attracting more users to its platform.
- Optimistic 2026 Outlook: Management projects 2026 revenue growth between 19% and 20%, reaching $1.94 billion to $1.96 billion, with adjusted EBITDA expected between $340 million and $360 million, showcasing sustained profitability improvements ahead.
- Leadership Transition and Market Reaction: Founder Matt Oppenheimer handed the CEO role to Sebastian Gunningham, with the market responding positively as shares surged 29.24% to $17.59 on Thursday, reflecting investor confidence in the company's future direction.
See More
