20 Fintech Stocks Riding the AI Wave Higher

10. BILL Holdings, Inc. (NYSE:BILL)

Number of Hedge Fund Holders: 45

BILL Holdings, Inc. (NYSE:BILL) is a leading provider of financial operations platforms tailored for small and midsize businesses (SMBs). The company’s offerings include a software-as-a-service (SaaS) solution that automates accounts payable and receivable transactions, streamlining connections between businesses and their suppliers or customers. By eliminating cumbersome expense reports, managing cash flow, and enhancing office efficiency, BILL Holdings, Inc. (NYSE:BILL) positions itself as a vital player in the fintech space.

Analysts are closely monitoring BILL Holdings, Inc. (NYSE:BILL) performance, with KeyBanc maintaining a Sector Weight rating on September 25, following the announcement of product enhancements. These upgrades include an expanded Invoice Financing offering and the new Local Transfer feature for same-day international payments, which bypasses the traditional SWIFT network to reduce costs. Deutsche Bank reiterated its Buy rating, citing a 16% year-over-year revenue growth, while Mizuho adjusted its price target downward due to a decline in the net revenue retention rate. Despite mixed analyst sentiments, the enhancements introduced are seen as positive indicators for BILL Holdings, Inc. (NYSE:BILL) future growth.

In its recent earnings call, CEO Rene Lacerte highlighted BILL Holdings, Inc. (NYSE:BILL) commitment to innovation and customer support, emphasizing how AI plays a pivotal role in enhancing the company’s platform. The company has made significant strides in developing an integrated platform that incorporates advanced analytics and AI capabilities, providing SMBs with comprehensive cash flow visibility and control. These features are particularly important as businesses navigate an uncertain economic landscape.

Fiscal 2024 was marked by substantial revenue growth, reaching $1.3 billion, up 22% year-over-year, alongside a 68% increase in non-GAAP operating income. The company’s proactive approach in utilizing AI to streamline operations and offer sophisticated financial tools has attracted a growing network of users, now totaling 7.1 million, a 21% increase from the previous year. With BILL Holdings, Inc. (NYSE:BILL) strategic initiatives, including partnerships with major financial institutions and a $300 million share buyback program, investors remain optimistic about the company’s ability to leverage AI to enhance its offerings and drive future growth in the fintech sector.