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Z1P - What will be the bottom before the bounce., page-762

  1. 5,524 Posts.
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    I never said Z1P's margins being squeezed will kill them... Please make sure you read what I write not what you want to read. I have provided details of how Z1P's margins will be impacted in the medium to long-term, and that includes positive margin growth from lower loss rates and lower funding costs (see objective analysis) and have also pointed out that there is uncertainty on how badly low profitable products will impact margins... Uncertainty.... For all we know, the positive impacts of what I listed could completely offset the negative impact from lower profitable products... That's simply the uncertainty I'm pointing out because we don't know and we won't know for another 6-12 months.

    I've also repeatedly stated that this margin uncertainty would already be priced in because any investor worth a dime understands that margins would be impacted by offering these products. So no, margins will not kill Z1P, or at least I think it's unlikely.
 
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