Remitly Global, Inc. (RELY) Hit a 52 Week High, Can the Run Continue?

Shares of Remitly Global, Inc. (RELY) have been strong performers lately, with the stock up 11.4% over the past month. The stock hit a new 52-week high of $27.15 in the previous session. Remitly Global has gained 94.4% since the start of the year compared to the -8.3% move for the Zacks Business Services sector and the -3.6% return for the Zacks Financial Transaction Services industry.

What's Driving the Outperformance?

The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on August 5, 2026, Remitly Global reported EPS of $1.07 versus consensus estimate of $0.29.

For the current fiscal year, Remitly Global is expected to post earnings of $1.57 per share on $1.98 in revenues. This represents a 390.63% change in EPS on a 21.38% change in revenues. For the next fiscal year, the company is expected to earn $1.68 per share on $2.36 in revenues. This represents a year-over-year change of 7.01% and 18.74%, respectively.

Valuation Metrics

Remitly Global may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.

On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.

Remitly Global has a Value Score of C. The stock's Growth and Momentum Scores are A and B, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 17.1X current fiscal year EPS estimates, which is a premium to the peer industry average of 13.5X. On a trailing cash flow basis, the stock currently trades at 48X versus its peer group's average of 8.2X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks Rank

We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Remitly Global currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Remitly Global fits the bill. Thus, it seems as though Remitly Global shares could still be poised for more gains ahead.

How Does RELY Stack Up to the Competition?

Shares of RELY have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Marqeta, Inc. (MQ). MQ has a Zacks Rank of #2 (Buy) and a Value Score of C, a Growth Score of A, and a Momentum Score of D.

Earnings were strong last quarter. Marqeta, Inc. beat our consensus estimate by 100.00%, and for the current fiscal year, MQ is expected to post earnings of $0.28 per share on revenue of $704.36 million.

Shares of Marqeta, Inc. have gained 1% over the past month, and currently trade at a forward P/E of 60.42X and a P/CF of 145.61X.

The Financial Transaction Services industry may rank in the bottom 64% of all the industries we have in our universe, but there still looks like there are some nice tailwinds for RELY and MQ, even beyond their own solid fundamental situation.

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This article originally published on Zacks Investment Research (zacks.com).

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