1. BILL Holdings, Inc. (NYSE:BILL)
Year-to-Date Performance: -34.32%
Average Price Target Upside Potential According to Analysts: 57.61%
Number of Hedge Fund Holders: 64
BILL Holdings, Inc. (NYSE:BILL) is an American financial technology company that provides automated, cloud-based software for financial operations. The company focused on small and mid-sized businesses in a range of industries. BILL Holdings, Inc. (NYSE:BILL) helps businesses streamline their financial workflow, generate and process invoices, streamline approvals, send and receive payments, sync with their accounting system, and manage their cash. As a result, the company plays a key role in the accounts payable and accounts receivable operations for businesses. BILL ranks among the worst-performing stocks to buy in the fintech sector.
The company is continuously innovating to meet the expanding and changing financial operations needs of small and mid-sized businesses (SMBs). Some recent examples by BILL Holdings, Inc. (NYSE:BILL) include procure-to-pay experience and powerful multi-entity tools that allow larger businesses to drive more automation and improve efficiency. Additionally, BILL Holdings, Inc. (NYSE:BILL) has significantly enhanced its payment offerings, particularly card services. This strategy has led to card adoption more than tripling over the past 2 years among the accounts payable and accounts receivable customers.
The company is focused on transforming financial operations for millions of SMBs by leveraging its AI-enabled platform and efficient go-to-market strategies to drive growth and leadership in the market. In the second fiscal quarter of 2025, which ended December 31, 2024, BILL Holdings, Inc. (NYSE:BILL) processed $84 billion in total payment volume, up 13% compared to the same quarter in the previous year. BILL Holdings, Inc. (NYSE:BILL) processed 30 million transactions during the quarter, an increase of 17% year-over-year.
Overall, BILL ranks first among the 10 worst-performing fintech stocks to buy according to analysts. While we acknowledge the potential of fintech companies, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than BILL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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