Emze don't you think it's important to warn people about the oncoming slaughter that the RBA merchant fee regulations will bring to Zip?
Should we just pretend it's not going to happen soon?
It doesn't matter WHEN in 2025 it happens, but when it does it's going to be a -30 to -60% drop on the day. The entire business model in Australia will be destroyed when the customer gets charged the merchant fee back to them.
When the RBA comes out with this sometime in 2025, BNPL in Aus = DEAD. Zip Aus makes up a huge part of the business and Zip US can't carry the almost $3 share price alone. Zip will get smashed on the day.
Picture it, RBA announce this outside of market hours, how do you think the Zip share price will go? SERIOUSLY?
I think it will be a -30 to 60% drop on the day, then keep dropping and/or until low $1s.
ZIP Price at posting:
$2.91 Sentiment: None Disclosure: Not Held
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