5 Mobile Payment Stocks to Buy Now and Wait for Long-Term Gains

Industry Overview - The mobile payments market is experiencing rapid growth due to the shift from cash to digital transactions, driven by convenience and security [1] - Increased internet penetration and smartphone usage are contributing to the adoption of digital payments, transforming everyday transactions [3] - The industry is diversifying with contactless payment options such as mobile wallets, biometrics, and QR codes to enhance customer engagement and income streams [4] Market Trends - The convergence of digital solutions and physical transactions is reshaping e-commerce and online purchases, with 5G technology enhancing contactless payment capabilities [5] - The segment is expected to thrive as digital wallets and mobile-first systems become dominant in the market [6] Recommended Stocks - Five mobile payments stocks are recommended for long-term investment: Affirm Holdings Inc. (AFRM), American Express Co. (AXP), PayPal Holdings Inc. (PYPL), Visa Inc. (V), and JPMorgan Chase & Co. (JPM) [2][7] Company Insights Affirm Holdings Inc. (AFRM) - Affirm's fiscal second-quarter 2025 earnings exceeded estimates, driven by diverse income streams and partnerships [10][11] - Expected revenue and earnings growth rates for the current year are 36.9% and 89.2%, respectively, with a long-term EPS growth rate of 36.2% [12] American Express Co. (AXP) - American Express is focusing on growth initiatives and targeting Millennials and Gen-Z consumers, which is expected to enhance long-term growth [13][14] - The expected revenue and earnings growth rates for the current year are 8.7% and 14.8%, respectively, with a long-term EPS growth rate of 13.6% [15] PayPal Holdings Inc. (PYPL) - PayPal is benefiting from robust growth in total payment volume and strengthening customer engagement, with a focus on peer-to-peer transactions [16][17] - Expected revenue and earnings growth rates for the current year are 3.7% and 8%, respectively, with a long-term EPS growth rate of 11.7% [18] Visa Inc. (V) - Visa's fiscal 2025 first-quarter earnings beat estimates, supported by strategic acquisitions and a strong shift to digital payments [19][20] - Expected revenue and earnings growth rates for the current year are 10.2% and 12.4%, respectively, with a long-term EPS growth rate of 13.4% [22] JPMorgan Chase & Co. (JPM) - JPMorgan Chase is expanding its branch network and focusing on strategic buyouts, with strong loan demand expected to support its net interest income [23][24] - Expected revenue and earnings growth rates for the current year are -2.8% and -8.2%, respectively, with a long-term EPS growth rate of 5.2% [26]