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Reasons Why You Should Retain Green Dot in Your Portfolio

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Key Takeaways

  • GDOT is expanding via prepaid and co-branded cards, while its BaaS platforms generate additional income.
  • GDOT partners with Amazon, Apple, Intuit, Uber and Walmart to deliver fintech banking and Walmart MoneyCard.
  • GDOT added Stripe and Workday deals, expanding cash deposit access and earned wage services across markets.

Green Dot Corporation’s (GDOT - Free Report) collective growth is fueled by the rising adoption of BaaS (Banking-as-a-Service) solutions by business houses. Its new acquisitions and AI innovations aid it in gaining access to diverse markets.

The company’s earnings for 2025 and 2026 are expected to rise 1.5% and 9%, respectively, year over year. Revenues are expected to increase 20.3% in 2025 and 11.3% in 2026.

Factors That Bode Well for GDOT

GDOT drives long-term business growth by expanding its user base through the issuance of prepaid cards, both under its brand in stores and through co-branded cards like the Walmart Money Card. Its BaaS (which involves white-label banking products) platforms generate revenues through interchange fees from customers' debit card usage and by retaining deposits, which incur additional interest income. Additionally, GDOT is gaining access to a substantial customer base internationally by delivering BaaS products to global firms.

Partnerships with large consumer and technology companies, including Amazon, Apple, Intuit and Uber, help GDOT design and develop fintech banking solutions through its BaaS platform. A long-standing relationship with Walmart is a key driver of its operating revenues. The company designs and delivers the Walmart MoneyCard product, providing all ongoing program support, including network IT, website functionality, regulatory and legal compliance, customer service and loss management.

During the third quarter, GDOT announced a new partnership with Stripe, a global payment and financial infrastructure platform, enabling its Small Market Businesses customers to leverage Stripe’s network and make cash deposits across multiple locations. Recently, it also signed a new agreement with Workday (a finance platform) to use its marketplace for GDOT’s earned wage access offering, which provides early salary access.

A Risk

GDOT had a current ratio of 0.54, lower than the industry's average of 1.14 in the third quarter of 2025. A current ratio below 1 often suggests that a company may not be well-positioned to meet its short-term obligations.

Zacks Rank & Stocks to Consider

GDOT currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here

A couple of better-ranked stocks in the industry are Global Payments Inc. (GPN - Free Report)  and Fidelity National Information Services, Inc.  (FDS - Free Report) .

Global Payments carries a Zacks Rank #2 (Buy) at present. It has a long-term earnings growth expectation of 11.5%.

GPN beat earnings estimates in three of the last four quarters and missed once, with an earnings surprise of 1.9% on average.

Fidelity National Information carries a Zacks Rank of 2 at present. FDS has a long-term earnings growth expectation of 10.7%.

The company beat earnings estimates in three of the last four quarters and matched once, with the earnings surprise being 1.6%, on average.


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FactSet Research Systems Inc. (FDS) - free report >>

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Green Dot Corporation (GDOT) - free report >>

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