Shares of Remitly Global (RELY 0.26%) jumped 30% this week, according to data from S&P Global Market Intelligence. The mobile remittance platform reported Q4 earnings and guided to strong growth in 2026, which led investors to bid up the stock. Plus, the company is now producing strong operating leverage at scale, leading to huge profit gains.
Here's why Remitly Global stock popped this week, and whether it is a buy right now.
NASDAQ: RELY
Key Data Points
Fast growth, margin expansion
In the fourth quarter, Remitly posted strong growth across the board. Active customers were up 19% year-over-year, revenue was up 26% year-over-year, and send volume was up 35% year-over-year. This impressive double-digit growth has been a multi-year journey for the remittance upstart, enabling the business to gain rapid market share in the sector.
What's more, Remitly is now profitable. The business posted a GAAP (generally accepted accounting principles) operating margin of 9% in Q4, a record for the business. At the same time, Remitly is investing aggressively in marketing and product development, which is masking its true profit margin potential.
In 2026, Remitly is guiding for up to 20% revenue growth, along with adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) of $340 million to $360 million.
Image source: Getty Images.
Is Remitly stock still a buy?
After this pop, Remitly now has a market cap of $3.6 billion. That is just a 10x multiple on its adjusted earnings guidance for 2026.
Even though these figures exclude stock-based compensation, Remitly stock looks incredibly cheap for a business growing in the double digits, and has been for years. With management looking to expand its repurchase program, Remitly's stock looks appetizing as a potential buy right now.
