Daily Price Movement / General Discussion, page-32703

Buy now, pay later firm Zip Co Ltd drops 3.5% to A$6.63 after Citi downgrades the stock to "neutral" from "buy"

** Also cuts Zip's PT by 7% to A$7.4

** Citi lowers customer growth forecasts as app downloads in the U.S. fall for a sixth straight month in September

** Sees U.S. customer growth of 520,000, 14% lower than in Q4, to 4.957 mln

** Citi, like Jefferies, says the rebrand of Zip's U.S. business and top growth driver, Quadpay, is hurting website visits, app downloads

** Says data shows website visits down 60% m/m in Sept, 68% y/y

** Rival website visits rising, with Sezzle's up 27% in Sept y/y and Affirm's up 49% y/y - Citi

** Says further capital may be needed in FY23 as Zip expands aggressively, but for now, the balance sheet is fine

** Zip is looking to become a global BNPL firm to keep up with rivals such as Klarna and Afterpay

You do realise if they miss on the top line the stock will get slaughtered