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Euronet's (EEFT) Unit Ria Money Expands in Italy With Mooney

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Euronet Worldwide, Inc. (EEFT - Free Report) division Ria Money Transfer recently extended its distribution network with the help of an alliance with Mooney. Notably, Mooney is a leading proximity banking and payment company in Italy.

With the help of this collaboration, Ria Money can further establish its dominance by providing its services to Mooney’s 45,000 points of sale and 20 million customers in the European country.

The customers conduct more than a whopping 200 million money transfers yearly. Mooney’s Italian customers can now transfer and receive euros from beyond their national borders with Ria Money’s seamless and competitive international payments system.

This move boosted Ria Money’s deeper penetration in the Italian marketplace. It also builds upon its partnership-led growth strategy.
Ria Money runs the second biggest payments network. In 2019, this subsidiary of Euronet joined Ripple’s blockchain-based payments network seeking faster cross-border payments.

The Ria Money segment is also consistently partnering with post offices around the world. Moreover, Kroger selected Ria Money as its second money transfer service provider in the United States at all its approximately 2000 locations. The company also expanded its footprint in Israel by launching Ria Money service at WIC WorldCom.

Ria Money’s international fund transfer grew 16% year over year in 2020, which is pretty impressive. In the first quarter, the company saw international outbound transaction growth of 27% against the World Bank’s projection of a 7% downfall. The segment also witnessed a whopping 125% rise in its digital transactions. Notably, Ria Money has the most advanced bank deposit network in the world.

Also, the global remittance market is well-placed for growth and coupled with higher adoption of digital transactions, it also bodes well for Euronet in the long haul.

Zacks Rank & Price Performance of Peers

Euronet’s shares have gained 58.1% in a year’s time, outperforming the  industry’s growth of 10.3%. The stock should continue its rally owing to its solid EFT, epay and Money Transfer segments along with increased digital transactions.

Other stocks in the same space including  Alerus Financial Corporation (ALRS - Free Report) , Virtu Financial, Inc. (VIRT - Free Report) and  American Express Company  (AXP - Free Report) have also rallied 81.5%, 25.5% and 68%, respectively, in the same time frame.

Euronet, currently carries a Zacks Rank #5 (Sell).

You can see  the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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