I understand you struggle with basic Maths and English does not appear to be your first language but there are no need for insults.
I guess I need to SHOUT to get the message across.
IT DOES NOT MAKE ONE IOTA OF DIFFERENCE THE BAD DEBT TO TOTAL TRANSACTION VOLUME RATIO.
THE ONLY METRIC THAT MATTERS IS BAD DEBT TO INCOME AND THAT IS 33 PERCENT.
No company can survive with that ratio.
BNPL has been around for decades in the form of lay-buy but the likes of Klarna simply hooked into the desire of Millennials for instant gratification.
By the same token the stock listings appeal to the same cohort and it's unquenchable thirst for instant gratification in profits
The BNPL companies feed that desire with pretty impressive looking slides, focussing on growth in customer numbers and Merchant numbers but not the fact that every single transaction is making a loss.
Millenials in my experience are the most disloyal cohort of all and change jobs as often as they change their underwear.
The customer and merchant numbers are meaningless as they are non exclusive are not subscription based and the value of a customer is dependant on the whims of a cohort that has proved to be unreliable or flighty at best.
Paypal and Banks entry into the market is not a validation of BNPL in fact the very opposite as they are simply defending their existing businesses.
None of these BNPL companies make a profit apart from Flexigroup and PayPal and the Banks are ensuring they never will and are playing a long game to put them out of business
While the niave millennials are lapping up the stock market professionals are selling it short .
Z1P Price at posting:
$5.99 Sentiment: Sell Disclosure: Not Held
(20min delay)