2 top fintech stocks to consider buying for an ISA

There are dozens of financial technology stocks to consider buying for a portfolio today. Why does this writer like these two?

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The worldwide move to digital payments is underpinning strong growth for many financial technology firms, creating no shortage of stock-buying opportunities to assess.

Here are a pair of top fintech firms that I think deserve closer attention right now. 

Cross-border payments 

First up is Wise (LSE:WISE), formerly TransferWise. The company helps individuals, businesses, and financial institutions move money quickly and cheaply across borders.  

In the six months to the end of September, Wise’s cross-border volume increased 24% to £84.9bn, while customer holdings jumped 37% to £25.3bn. Revenue rose 11% to £658m, up from £397m three years earlier.  

If the difference between cross-border volume (24%) and revenue growth (11%) stands out like a sore thumb, that’s to do with Wise’s disruptive business model. Its mission is to drive prices as low as possible to capture market share.

Wise’s average cross-border take rate is at 0.52%, down from 0.64% three years earlier. But this is allowing Wise to capture share in a truly massive global market estimated at roughly £32trn per year. 

Of course, such a large opportunity attracts a fair amount of competition, which adds risk. Wise will have to keep innovating to stay nimble and fend off rivals. 

Meanwhile, with the stock trading at a premium 22.5 times earnings, any growth hiccups could cause problems.  

However, with the share price down 28% since September, I reckon this is a potential buying opportunity worth taking seriously.

Today, Wise has just 1% share of the global small and mid-sized business market, and significantly less in the large enterprise segment of the market. This shows the potential growth opportunity ahead.

Latin American juggernaut

Let’s head to Latin America now with Nu Holdings (NYSE:NU). This is the firm behind Brazilian digital lender Nubank, which continues to grow at a torrid pace.

In Q3, it added another 4.3m new customers, bringing its total to an astonishing 127m. That would be impressive if Nu was a globetrotting lender like HSBC, operating in 57 countries. However, it’s currently in just three (Brazil, Mexico, and Colombia)!

Founded in 2013, Nu is now the third-largest financial institution in Brazil by number of customers, where more than 60% of the adult population use its app. The penetration rate in Mexico (14%) and Colombia (10%) is lower but growing strongly.

This expansion reinforces Nu’s position as the leading digital bank in Latin America and one of the leading fintech platforms globally
Nu, Q3 2025

In Q3, revenue surged 39% at constant currency to $4.2bn, with net income rising by the same amount to reach a record $783m.

Meanwhile, the company’s annualised return on equity (ROE), a key profitability metric, reached a record 31%. This signals high profitability alongside the rapid growth. 

The market has rewarded this top-notch performance with a 47% share price rise over the past year. On paper, this makes the stock look pricey at 32 times earnings. If political instability or inflation hits one of its markets, it might pull back sharply.

However, given the high rate of earnings growth here (above 35% between 2025 and 2027), I feel this premium valuation is justified. The forward earnings multiple actually falls to 15 by 2027, making this another top fintech stock to consider for an ISA.

HSBC Holdings is an advertising partner of Motley Fool Money. Ben McPoland has positions in HSBC Holdings, Nu Holdings, and Wise Plc. The Motley Fool UK has recommended HSBC Holdings, Nu Holdings, and Wise Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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