Affirm partners with Amazon, page-155

First 155 Last

Share
Profile

Follow
AJ7

15,927 Posts.

1166

29/08/21

00:40

Post #: 55653940
Share

Originally posted by SebbyV: ↑

I think you're taking an extreme view on this single deal. There's a few things that I consider:
- From memory the US is a $5.5 trillion market, or whatever the number that APT and Zip use in their reports/presentations - Amazon is a massive retailer, but they're one of a number of massive retailers. What we'll see eventually is all of them will likely offer 2, maybe 3, BNPL options. We may find in time Zip is offered at Home Depot and Walmart, Sezzle at Target and Best Buy, Affirm at Walmart and Amazon, Afterpay at Amazon and Walmart etc etc. My point is this is still very early on in the piece and these sorts of deals only accelerate where this sector is going

- Klarna and Afterpay have valuations of $60bln and $40bln respectively and haven't bagged a single major retailer. Why? Because the value of their business is the sum of their merchants and customers, not a single partnership or deal. Zip feels tiny because of its sh*thouse market cap, but it's roughly half the size of APT's business and doubling each year, so it's a major player on its own terms.

- Splitit isn't a great comparison as its business is rotten - it has very little revenue and little customer growth. It won't survive because it doesn't solve a problem.

- I agree Zip need something major to get this going again - but they've bagged major retailers in Australia, there's no reason to think they can't sign a large retailer in the US. We have to remember that to-date there really has only been 3 major deals - Affirm with Walmart, Sezzle with Target and now Affirm with Amazon. All those retailers will likely add further BNPL options and there is still all the other major retailers to go too, not to mention the rest of the entire market.

I'm confident something is going to snap here soon - there is too much attention and activity in this space to have a quality operation that is on track to bank $700m+ this year just go unnoticed. Zip is arguably No.4 pure-play BNPL in the US at the start of this story and currently valued at about $USD2.9bln. Ridiculous.

Expand

something big will land soon and accumulation time is now..imo even if zip SP goes up on the back of Affirm/Amazon deal...this will be dragged back to under $7 by new rent seeking & pip Shorters because this is nothing material for zip. how many rumors/media articles/ peers valuation we have seen so far but it all ends up with zip landing itself on something big!

once we land material deal and market properly on ASX, only then we will break above this 6 months down trend.

Z1P Price at posting: $6.90 Sentiment: Hold Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

MIN

Movers and Shakers: Zip Co, MinRes, Kuniko, more – The week's top ASX gainers

MIN

Ellison slapped with $20M sanction from MinRes but will stay on as leader – for now

Week 44 Wrap: Relatively boring week ahead of US election; HotCopper's most watched; Oz inflation at 3.5%

Bitcoin hits fresh record as instos pile into BTC ETFs – and Trump helps, too

Palladium's the newest geopolitical hot commodity. But ASX exposure is limited

There are more pages in this discussion • 37 more messages in this thread...

First 155 Last

Add ZIP (ASX) to my watchlist

(20min delay)
Last $2.93		Change -0.030(1.01%)		Mkt cap ! $3.838B

Open	High	Low	Value	Volume
$3.00	$3.00	$2.90	$11.97M	4.078M

Buyers (Bids)

No.	Vol.	Price($)
34	51431	$2.93

Sellers (Offers)

Price($)	Vol.	No.
$2.94	236360	26

View Market Depth

No.	Vol.	Price($)
27	63294	2.930
17	68142	2.920
23	140070	2.910
70	397365	2.900
24	210177	2.890

Price($)	Vol.	No.
2.940	238208	22
2.950	166674	20
2.960	232420	19
2.970	311894	20
2.980	79318	9

Last trade - 13.16pm 04/11/2024 (20 minute delay)

ZIP (ASX) Chart

Affirm partners with Amazon, page-155

Movers and Shakers: Zip Co, MinRes, Kuniko, more – The week's top ASX gainers

Ellison slapped with $20M sanction from MinRes but will stay on as leader – for now

Week 44 Wrap: Relatively boring week ahead of US election; HotCopper's most watched; Oz inflation at 3.5%

Bitcoin hits fresh record as instos pile into BTC ETFs – and Trump helps, too

Palladium's the newest geopolitical hot commodity. But ASX exposure is limited

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Affirm partners with Amazon, page-155

Top Stories

Movers and Shakers: Zip Co, MinRes, Kuniko, more – The week's top ASX gainers

Ellison slapped with $20M sanction from MinRes but will stay on as leader – for now

Week 44 Wrap: Relatively boring week ahead of US election; HotCopper's most watched; Oz inflation at 3.5%

Bitcoin hits fresh record as instos pile into BTC ETFs – and Trump helps, too

Palladium's the newest geopolitical hot commodity. But ASX exposure is limited

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News