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Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 3 stocks made the list for top value stocks in the Financial Services industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.

Why Focus on Undervalued Financial Services Stocks?

Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.

AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

What Goes Into AAII’s Value Grade?

Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.

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3 Undervalued Financial Services Stocks

Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 3 undervalued stocks in the Financial Services industry for Sunday, February 08, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the Financial Services industry median.

Company	Ticker	Price/Sales	Price/Earnings	EV/EBITDA	Shareholder Yield	Price/Book Value	Price/Free Cash Flow	Value Grade
Euronet Worldwide, Inc.	EEFT	0.76	11.1	6.2	9.2%	2.36	9.6	A
PagSeguro Digital Ltd.	PAGS	0.17	8.0	1.9	7.4%	1.14	0.9	A
Block, Inc.	XYZ	1.43	11.2	19.4	1.0%	1.52	18.8	C

The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.

The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)

Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).

As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.

Euronet Worldwide, Inc.’s Value Grade

Value Grade:

Metric	Score	EEFT	Industry Median
Price/Sales	26	0.76	2.03
Price/Earnings	18	11.1	13.3
EV/EBITDA	15	6.2	10.6
Shareholder Yield	6	9.2%	0.5%
Price/Book Value	56	2.36	1.37
Price/Free Cash Flow	22	9.6	13.1

Euronet Worldwide, Inc. provides payment and transaction processing and distribution solutions to financial institutions, retailers, service providers, and individual consumers worldwide. It operates through three segments: Electronic Funds Transfer (EFT), epay, and Money Transfer. The EFT segment provides automated teller machine (ATM) cash withdrawal and deposit services, ATM network participation, outsourced ATM and point-of-sale (POS) management solutions, credit and debit and prepaid card outsourcing, card issuing, and merchant acquiring services. It also offers ATM and POS dynamic currency conversion, domestic and international surcharge, foreign currency dispensing, advertising, digital content sales at ATMs, customer relationship management, prepaid mobile top-up, bill payment, money transfer, fraud management, foreign remittance payout, cardless payout, banknote recycling solutions, and tax-refund services; and integrated electronic financial transaction software solutions for electronic payment and transaction delivery systems. The epay segment distributes and processes prepaid mobile airtime and other electronic content and payment processing services for various prepaid products, cards, and services. The Money Transfer segment offers consumer-to-consumer money transfer services through a network of locations and its website riamoneytransfer.com; account-to-account money transfer; and money transfer services through its website xe.com, Xe app, and customer service representatives. It also provides foreign currency exchange information on its currency data websites xe.com and x-rates.com; cash management solutions and foreign currency risk management services to small-and-medium-sized businesses; and payment processing services to third-party partners. The company was formerly known as Euronet Services, Inc. and changed its name to Euronet Worldwide, Inc. in August 2001. Euronet Worldwide, Inc. was founded in 1994 and is headquartered in Leawood, Kansas.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Euronet Worldwide, Inc. has a Value Score of 92, which is considered to be undervalued.

When you look at Euronet Worldwide, Inc.’s price-to-sales ratio at 0.76 compared to the industry median at 2.03, this company has a lower price relative to revenue compared to its peers. This could make Euronet Worldwide, Inc.’s stock more attractive for value investors.

Euronet Worldwide, Inc.’s price-earnings ratio is 11.10 compared to the industry median at 13.25. This means it has a lower share price relative to earnings compared to its peers. This could make Euronet Worldwide, Inc. more attractive for value investors.

Now, let’s assess Euronet Worldwide, Inc.’s EV/EBITDA ratio, also known as enterprise multiple. At 6.2, when compared to the industry median of 10.6, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.

Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. Euronet Worldwide, Inc.’s shareholder yield is higher than its industry median ratio of 0.50%. Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.

As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. Euronet Worldwide, Inc.’s price-to-book ratio is higher than its industry median ratio of 1.37. This could make Euronet Worldwide, Inc. less attractive to investors looking for a new addition to their portfolio.

Lastly, let’s take a look at Euronet Worldwide, Inc.’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Euronet Worldwide, Inc.’s price-to-free-cash-flow ratio is lower than its industry median ratio of 13.10. This could make Euronet Worldwide, Inc. more attractive because the lower P/FCF ratio indicates that Euronet Worldwide, Inc. is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.

PagSeguro Digital Ltd.’s Value Grade

Value Grade:

Metric	Score	PAGS	Industry Median
Price/Sales	8	0.17	2.03
Price/Earnings	9	8.0	13.3
EV/EBITDA	4	1.9	10.6
Shareholder Yield	8	7.4%	0.5%
Price/Book Value	28	1.14	1.37
Price/Free Cash Flow	2	0.9	13.1

PagSeguro Digital Ltd., together with its subsidiaries, engages in the provision of financial and payment solutions for consumers, individual entrepreneurs, micro-merchants, and small and medium-sized companies in Brazil and internationally. It provides digital banking solutions, including deposits, top-ups, debt management services, tax collections, wire transfers, ATM withdrawals, and various online and point-of-sale (POS) payment solutions; cards, such as debit, credit, cash, and prepaid cards; and credit products comprising FGTS withdrawals, payroll loans, working capital loans, and overdraft accounts. The company offers insurance services, including account, card, home, business, health assistance, life, and credit life insurance; investment services, such as investment and portfolio advisory, financial education, brokerage, fund management, treasury, and research services; and operates Shopping PagBank, a marketplace for various brands. In addition, it provides software solutions comprising PagVendas, a POS software app; ClubPag, a marketing tool that allows merchants to advertise across client base, available for POS devices; and PlugPag, a wireless solution that connects the machine to the commercial automation system, via Bluetooth technology. The company was founded in 2006 and is headquartered in São Paulo, Brazil.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

PagSeguro Digital Ltd. has a Value Score of 99, which is considered to be undervalued.

PagSeguro Digital Ltd.’s price-earnings ratio is 8.0 compared to the industry median at 13.3. This means that it has a lower price relative to its earnings compared to its peers. This makes PagSeguro Digital Ltd. more attractive for value investors.

PagSeguro Digital Ltd.’s price-to-book ratio is higher than its peers. This could make PagSeguro Digital Ltd. less attractive for value investors when compared to the industry median at 1.37.

You can read more about PagSeguro Digital Ltd.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Block, Inc.’s Value Grade

Value Grade:

Metric	Score	XYZ	Industry Median
Price/Sales	41	1.43	2.03
Price/Earnings	18	11.2	13.3
EV/EBITDA	74	19.4	10.6
Shareholder Yield	36	1.0%	0.5%
Price/Book Value	40	1.52	1.37
Price/Free Cash Flow	46	18.8	13.1

Block, Inc., together with its subsidiaries, builds ecosystems focused on commerce and financial products and services in the United States and internationally. It operates through two segments: Square and Cash App. The Square segment offers commerce products for restaurants, appointments, retail, point of sale, online, online checkout, and invoices, as well as virtual terminals, risk and order managers, and payment and commerce application programming interfaces; managed payment services; software solutions; hardware products, such as registers, terminals, stands, and readers for contactless and chips; banking services consisting of lending, instant transfer, and checking and savings accounts; and full-service setup and support services. This segment also provides loyalty, marketing, team management, and payroll services; and gift cards. It also offers Square Handheld, a portable point-of sale device for transaction purposes. The Cash App segment offers financial tools, including peer-to-peer payments, bitcoin, and stock investment brokerage; Cash App Card, a debit card; direct deposit, cash boost, and tax preparation services; and Afterpay, a buy now, pay later platform. In addition, the company operates TIDAL, a platform for musicians and fans; TBD, an open developer platform focused on making the decentralized financial world accessible; Bitkey, a self-custody bitcoin wallet; and proto. The company was formerly known as Square, Inc. and changed its name to Block, Inc. in December 2021. Block, Inc. was incorporated in 2009 and is based in Oakland, California.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Block, Inc. has a Value Score of 60, which is considered to be fairly valued.

Block, Inc.’s price-earnings ratio is 11.2 compared to the industry median at 13.3. This means that it has a lower price relative to its earnings compared to its peers. This makes Block, Inc. more attractive for value investors.

Block, Inc.’s price-to-book ratio is lower than its peers. This could make Block, Inc. more attractive for value investors when compared to the industry median at 1.37.

You can read more about Block, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Other Financial Services Stock Grades

Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.

Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Financial Services stocks as well as other industrys.

Choosing Which of the 3 Best Financial Services Stocks Is Right for You

Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.

Euronet Worldwide, Inc. stock has a Value Grade of A.
PagSeguro Digital Ltd. stock has a Value Grade of A.
Block, Inc. stock has a Value Grade of C.

Now that you have a bit more background about each of the 3 undervalued stocks in the Financial Services industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.

We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.

A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Additional Resources About Financial Services Stocks

Want to learn more about Financial Services stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.