Share markets both in Australia and the US are in turmoil at the moment.
In fact, the S&P/ASX 200 Index (ASX: XJO) has sunk 8.7% since 4 January as investors abandon their shares in anticipation of interest rates rises in the US.
In such times of economic uncertainty, it’s prudent to take a look at what financial services Australians might need.
Medallion Financial Group analyst Jean-Claude Perrottet certainly took this angle, picking out 2 ASX shares to buy that will serve vastly different clientele:
‘Consistent revenue growth in the past decade’
Credit Corp Group Limited (ASX: CCP) is a debt buyer and collector. As such, its business could increase in times of economic distress, like when interest rates head up.
Perrottet told The Bull that the company operates in the US and New Zealand, as well as Australia.
“Credit Corp has generated consistent revenue growth in the past decade,” he said.
“CCP has lifted earnings and investment guidance for fiscal year 2022 following the recent acquisition of Radio Rentals. The acquisition could continue to provide significant upside moving forward.”
Credit Corp shares ended Tuesday at $32.15.
The stock is up more than 10% over the past year, and pays out a handy 2.24% dividend yield.
‘Bright outlook for the future’
Shares for fintech RAIZ Invest Ltd (ASX: RZI) have arguably been frustrating to own the past 12 months.
Despite excellent growth numbers for its micro-investment app, both in terms of user numbers and funds under management, the stock price was up and down over 2021.
And with an 18.6% drop over the past week or so, it’s only 7.7% higher than where it was a year ago.
Perrottet still has faith that the growth numbers will start to filter through to investor enthusiasm.
“In December, management confirmed an impressive 70.8% increase in funds under management to $1 billion amid significantly increasing the number of clients,” he said.
“Positive metrics paint a bright outlook for the future.”
Raiz shares finished Tuesday at $1.40.
The post 2 cheap financial ASX shares to buy right now appeared first on The Motley Fool Australia.
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Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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