Very intriguing play here that I have had my eye on for quite some time.
From Google Finance:
NetSpend Holdings, Inc. (NetSpend) is a provider of general-purpose reloadable prepaid debit cards (GPR) cards, and related alternative financial services to underbanked consumers in the United States. NetSpend’s GPR cards are tied to the Federal Deposit Insurance Corporation (FDIC)-insured depository accounts and can be used to make purchase transactions at any merchant that participates in the MasterCard, Visa or PULSE networks and to withdraw funds at participating automated teller machines (ATMs). The Company also offers to its cardholders direct deposit, interest-bearing savings accounts, bill pay and card-to-card transfer functionality, personal financial management tools and online and mobile phone card account access
The stock IPO’d in 2010 and I have basically let it settle into a chart pattern, as is my style. You can see on the updated daily below of NTSP that $9.70 has defined itself as a major level for the stock to break. With the financials showing good strength in recent months, I think this is a play to watch going forward.
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Aren’t debit cards pre-paid by definition?
i think the point is that this company serves people without a bank acct. as banks continually raise fees, this market should stand to benefit from increasing demand