OLB Group, Inc. (NASDAQ:OLB) is a diversified payments and omnicommerce technology services provider looking to bring its “tried and true” financial offerings to underserved and financially underrepresented communities. OLB is an emerging player in the payments sector, and its business segments include eCommerce merchant services, along with a Bitcoin mining subsidiary which is expected to be spun off to OLB’s shareholders in the near future.

OLB Group is expanding its suite of payments activities to also include the service of the underbanked. As of 2021, 4.5% of all households in America– around 5.9 million households – were still completely unbanked, without any bank account whatsoever. Another approximately 13% of the population is underbanked, having to rely on alternative financial services such as money orders or check cashing services to satisfy their financial needs. Traditionally, marginalized groups are the most likely to be unbanked or underbanked in the U.S., yet this demographic group is huge… and growing.

The company also plans to offer microloans to bodega owners, as an expansion of its support for the underbanked. Microlending has increased in popularity over the years as an innovative way to promote financial inclusion for more disadvantaged communities, and the global market for microlending is predicted to reach $550 billion by 2030. 

OLB Group has a strong track record in the payments market, and as individuals and companies look for increasing technological integration of their financial services, the rapidly growing sector is itself poised for growth over the next decade. In 2022, the fintech/payments market was worth $160.8 billion, and it is predicted to be worth $1.09 trillion by 2032, growing at a compound annual growth rate (CAGR) of 19.8% during the forecast period. 

In 2022, OLB Group reported over $30 million in revenue, almost doubling its 2021 revenue of $16.7 million. This revenue growth has been driven in part by acquisitions the company made in 2022, including a portfolio of cannabidiol (CBD) and other merchants who utilize the company’s SecurePay payment gateway. The company’s market cap sits at a modest $13 million (a price to Sales Ratio of less than 0.3 in a peer group where 1 to 2 times sales is more common).

This sentiment led market analyst firm Aegis Capital to issue a “Buy” rating on the stock in a recent report on the company. Aegis highlighted OLB Group’s robust revenue growth and its placement within the payments sector, and assigned a 12-month target price of $3 a share, compared with its current share price of $0.78 as of writing.