10 Hot New Stocks to Buy Now

7. Sezzle Inc. (NASDAQ:SEZL)

6-Months Performance: 166.86%

Analyst Upside Potential: 6.19%

Number of Hedge Fund Holders: 19

Sezzle Inc. (NASDAQ:SEZL) is a financial technology company that provides “buy now, pay later” services. It allows customers to split purchases into smaller installments, typically four interest-free payments, and makes money by collecting processing fees from merchants. It aims to empower consumers, especially Gen Z and Millennial customers, by providing tools to manage spending and promote financial independence.

The stock has been under the spotlight for its impressive gains in 2024. Sezzle Inc. (NASDAQ:SEZL) has been growing its subscriber count, which reached 529,000 in the fiscal third quarter of 2024 after rising by 67,000 in a single quarter. As a result, the revenue increased 71.3% year-over-year, with margins at 22.1%. Its ‘Pay-in-4’ product is gaining traction as it allows customers to use Sezzle anywhere Visa is accepted, even without a subscription.

On January 16, Michael Grondahl, an analyst at Northland Securities, maintained a Buy rating on the stock with a price target of $360. The consensus of analysts rating provides a 6.19% upside from the current levels making Sezzle Inc. (NASDAQ:SEZL) a hot new stock to buy now. Looking ahead, management has raised its full-year guidance for 2024 and now expects net income to be around $71.5 million against the previous guidance of $55 million.