Chime's Nasdaq Debut: A New Hope or Phantom Menace for Fintech?

A Jump in the Force There Is

Hmm a shake up in the Force I sense. Chime the provider of online banking services onto Nasdaq it has leaped! Shares soared they did a 37% jump I hear. An $11.6 billion valuation the IPO gave them. Much excite the investors felt yes. But a long way to go there is before victory we can declare. 'Size matters not. Look at me. Judge me by my size do you?' Perhaps size in valuation matters hmm?

A Valuation Questionable Is It

A step down this IPO valuation is from 2021 when the private tech markets were strong hmmm. Valued at $25 billion back then they were. Hubris perhaps it was? Or the market it has changed? The Force it can be fickle yes. Remember 'Fear is the path to the dark side. Fear leads to anger. Anger leads to hate. Hate leads to suffering.' Fear not Chime but be wise you must.

Hope Rekindled Has It Been?

The fintech IPO market frozen for years now thawing it seems. Etoro and Circle they debuted strongly. Optimism it has returned a little. But remember 'Always two there are no more no less. A master and an apprentice.' Chime the master now? Or the apprentice still learning? Time will tell it will.

Revenues Up Profits… Not So Much?

$518.7 million in revenue in the last quarter reported they have. A 32% increase it is. But net income slightly down hmmm. $12.9 million it narrowed to. 'Do. Or do not. There is no try.' Try harder Chime you must to turn revenue into profit. A strong foundation it is for a promising future if managed wisely it is.

A Loyal Following They Have Built

Americans earning less than $100,000 they serve. A group overlooked by traditional banks yes. Helping members avoid fees and build credit they are. A noble cause it is. 'You must feel the Force around you; here between you me the tree the rock everywhere yes.' Feel the force of your customers Chime. Listen to their needs you must.

The Future Unwritten Is

Klarna Gemini and Bullish they are also planning IPOs. Chime's performance it will set the tone. If well it goes more will follow. If not they will wait. 'Difficult to see; always in motion is the future.' Be patient Chime. Be wise. And may the Force be with you... always.