29c Base Case & $1.51 upside Valuation

Just came across this research report which was published today!!!

Wisr Limited (ASX:WZR) is an online consumer lending platform focused on financial wellness and competing in the rapidly growing marketplace lending sector. Wisr is tracking ahead of our forecasts for loan originations, reporting total loan originations had exceeded $86.9m as at March 31, 2019, three months ahead of our forecasts.

Fiscal year to date originations are up 367% over the first nine months of FY18. We have examined Wisr’s loan performance relative to its unlisted peers and have upgraded our forecasts to a similar growth trajectory. Our forecasts have also been adjusted to align with the company’s practice of capitalising the cost of writing loans in the broker channel and its investment in new initiatives, not previously factored in.

We have also included Wisr’s over-subscribed $15m share placement of 220m shares at $0.068/share, an 8% premium to the last traded price.

Our base case DCF valuation (WACC 14.0%, terminal value 2.2%) has increased to $0.29/share fully diluted for the new issue (previously $0.134/share). The same discount rate derives an upside case valuation of $1.51/share.

You can download the full research report from the below link!!

Talk about validation!

https://raasgroup.com/our-research/#