CHYM Is My 2026 Pick - Here's Why

In this I would like to talk about Chime Financial, Inc. (CHYM) and why I believe at this current price it presents a great opportunity. Chime Financial, Inc. (CHYM) recently debuted as a publicly traded company on June 12th, 2025 at $27 per share, raising over $864,000,000, and at a valuation of $11,500,000. Right now (CHYM) is one of the fastest growing banks in America. So far in 2025 they have grown their members by 21% Y/Y and been the number one destination for customers earning up to $100,000 according to recent third party surveys. I will cover more on their new relationships with higher income earners and TAM in that segment later on in this article. Another one of the most important things to note in CHYM’s growth is that they are the number one bank when it comes to new checking accounts when J.D. Power conducted a survey asking 80,000 people. CHYM was in the lead at 13% of accounts opened being their accounts. But what is even more important? Their new customer profitability has decreased from 7 to now only 5-6 quarters while experiencing 8x+ LTV:CAC. Which is HUGE! That means each new customer that sticks only will continue to become more profitable as CHYM rolls out new products and options for their customers. To top it all off, customers are adapting new products much quicker than in previous quarters at only two quarters to attach to four products that CHYM offers instead of 8 quarters when Chime first debuted in 2016. Average revenue per active member did grow at 6% Y/Y currently at $245 but down slightly from the high in q1 of 2025 of $251. Right after the q4 2024 rollout of my pay. One of the most exciting parts of this company that I would like to talk about is their expansion into higher income earners. Which will be what takes them to the next level. In a U.S. regional bank analysis (over $40B in assets), profitability is highly skewed: the top 1.56% of customers account for 50% of profits, and the top 7.56% for 80% with an average tenure of 5.4 years as a customer. Higher income customers will lead to higher profits, higher LTV’s and options for more products for the higher income user. An interesting note is that CHYM as began to do a beat and raise on earnings like their friendly competitor SoFi has done since their IPO. Here’s a few quick points to end: they are doing a $200 million buyback, they have over 9 million monthly active users which has grown at the previously mentioned 21% mark y/y and they haven’t even touched business banking. A few things to be cautious of is the rise of CAC which so far is down for them Y/Y by 10%, the competitive banking market as large incumbents lose market share, and if they are able to Overall I think at this price which I originally started following at $17 is very undervalued still at $24 as of making this video on (this date). A few things I’m watching for in Q4 earnings is their member growth, expanding towards profitability and their expansion towards higher income members.