Remitly Global, Inc. (RELY): A Bull Case Theory

We came across a bullish thesis on Remitly Global, Inc. on The Reservist’s Substack by Yehoshua Zlotogorski. In this article, we will summarize the bulls’ thesis on RELY. Remitly Global, Inc.'s share was trading at $13.23 as of December 1st. RELY’s trailing P/E was 150.50 according to Yahoo Finance.

Remitly stands out in the payment space as one of the few B2C companies consistently rated near five stars by customers—an uncommon feat in an industry built on trust. The company operates a global digital remittance platform that allows users to send money across borders directly to recipients’ bank accounts, mobile wallets, or for cash pickup. Unlike broader payment peers such as PayPal, Western Union, or Wise, Remitly is a pure play on digital remittances, recently expanding into digital wallets and SMB remittance to deepen its ecosystem.

Financially, Remitly appears to be at a pivotal point similar to where Uber was before turning profitable—a fast-growing business transitioning toward sustained cash flow generation. With over 8 million active users, the company is now realizing operating leverage, as revenue growth outpaces cost increases, expanding margins and driving operating income improvement. If this trajectory continues, Remitly could generate several hundred million dollars in free cash flow within a few years, making its current $3.5 billion valuation attractive.

However, the long-term upside depends on its ability to maintain high growth and defend its niche amid intense competition from Wise, Western Union, PayPal, and emerging crypto-based remittance solutions. The company’s addressable market is closely tied to global migration patterns, with key send corridors from the U.S. to the Philippines, India, and Mexico. While questions remain around competitive moats and TAM, Remitly’s operational momentum, improving financials, and focused strategy suggest meaningful upside potential as the business scales.

Previously we covered a bullish thesis on Remitly Global, Inc. by LongTermValue Research in April 2025, which highlighted its strong execution, margin expansion, and earnings growth potential. The stock has depreciated approximately 38.11% since our coverage as sentiment softened despite stable fundamentals. The thesis still stands as Remitly improves operating leverage. Yehoshua Zlotogorski shares a similar view but emphasizes free cash flow inflection.

Remitly Global, Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 39 hedge fund portfolios held RELY at the end of the second quarter which was 46 in the previous quarter. While we acknowledge the potential of RELY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.