Yep! Lets hope so anyway. I'd say a lot of day traders and short termers were involved today, especially with yesterdays gains. A little unsure as to where to fall has come from as the Quarterly hit at least expectations. Working back off the revenue figures the share price is still far too low based on the quarters revenue. That's ignoring the fact revenue from July has already hit 65% of the Apr-Jun Qtr total revenue
You'd like to think so but it's certainly not the case
What do you make of their quarterly report which has just been released?Happy with PM1s volume and small rise today. Primed for a breakout with a bit of attention, hopefully an upward trend until September with the new CEO presenting at one of the major conferences and a breakout to follow!
PM1 - Pure Minerals Limited
Good result selling out of AQX today and still very confident in NZS despite a bad day so far brings me to my next tip PM1 - Pure Minerals Limited A good story this one with a good announcement today. Will be a longer hold than both AQX and NZS though In at 1.8c And will top up along the way...
A little disappointing to be honest however their quarterly's have generally been that way. I didn't realise they still had grant money to come which has given me more confidence in their cash reserves though
Some huge buys this morning sees it back to 2.8c and climbing
North Melbourne - 2016 Daw & Anderson Player Sponsor
North Melbourne - 2015 Daw & MacMillan Player Sponsor
Low Carb High Fat - Acolyte
North Melbourne - 2014 Daw, Black, Gibson Player Sponsor
North Melbourne - 2013 Daw, Black and Gibson Player Sponsorship
North Melbourne - North 2012 Player Sponsor
North Melbourne - North 2011 Player Sponsor
Don't get me wrong, I like DW8! I'll buy some after the raise. Plenty will be taking profits once it's completed
It was a good day today
A different spin on Afterpay's success
The extraordinary growth rates achieved by the buy now, pay later darling don't look so great when seen in the context of other payment companies. One doubter says to wait for the bad debt data early next year.
Aug 1, 2020 – 12.00am
It was only when a report on global payments company PayPal hit Chanticleer's inbox that it became clear the local market might well have overhyped the achievements of buy now, pay later darling Afterpay
The report, by Morgan Stanley analyst James E. Faucette, included a table showing 40 different payment companies operating in the United States and their percentage share of the top 477 merchants in the US, with total sales of $US454 billion ($626 billion).
Nick Molnar and Anthony Eisen deserve praise for their entrepreneurship but don't forget the big picture. David Rowe
Afterpay came in at No. 23, with a 5 per cent share of merchants. This can be read two ways. Those bullish on Afterpay will say this shows the enormous opportunity for growth in the US. The bears will say Afterpay's US success should not be seen in isolation from the performance of Affirm, a buy now, pay later company established in 2012 that also appears in the Morgan Stanley table. After eight years of plugging away in the US, Affirm sits at No.12 on the table with an 11 per cent share of the top merchants.
Your rooster has plenty of admiration for the entrepreneurs building global payment businesses such as Nick Molnar and Anthony Eisen at Afterpay. But that should not stand in the way of putting Afterpay's numbers in the context of the big global picture.
Grant Halverson, a payments consultant who mainly works for clients offshore, says it is not well known in Australia that the entire buy now, pay later sector in the US accounts for less than 1 basis point of total money processed through payment companies there.
He says the amount purchased on credit cards in the US in 2018 was $US3.98 trillion, and the amount purchased on debit cards was $US2.75 trillion. Compare that to Afterpay's US sales of $US2.7 billion.
Halverson says the competitive dynamic in the US is very different to Australia where people are shedding credit cards rapidly. A total of 5 million credit card accounts were closed between 2016 and 2020. In the US, 45 million new cards were issued over the past year.
It's all about context
Halverson says the latest figures published by Afterpay showing strong growth in new customers should be seen in the context of what has happened to other payment companies during the COVID-19 pandemic.
"I think the recent Afterpay results are very disappointing when you consider the massive once-in-a-lifetime free kick ecommerce has been given due to lockdowns in every market they operate in," Halverson says.
"Afterpay has not kept pace with the massive online explosion, and its Australian and New Zealand business is still 60 per cent of all revenue."
Halverson says in the six months to June, Afterpay lifted its customer base by 200,000. PayPal added 1.3 million new customers in the first three months of the year, taking its total customer base in Australia to 8.4 million.
PayPal came out of the Morgan Stanley table as a star. It is accepted by 79 per cent of the top merchants in the US and has one of the lowest churn rates of any payment option. It added 20 million new users in the three months to the end of March.
Afterpay has 3.3 million "active" consumers in Australia and New Zealand. Halverson says Afterpay added only7300 merchants in the first half, its slowest growth rate ever.
Has it peaked?
He wonders if buy now, pay later has peaked in this part of the world given the combined Australian and New Zealand population is 30 million with about 12.3 million classed as Millennials and Gen Z.
"So 3.3 million is 27 per cent of the total, which is hardly great after six years," he says. "Even worse, $6.6 billion sales in Australia and New Zealand is only 38 basis points of ANZ electronic transactions."
Halverson says Afterpay's recent UK numbers are simply awful.
"They launched in the UK before the USA and they have sales of $600 million from 1 million consumers with a very low $330 annual spend in a boom market," he says.
"Sure, they added 700,000 merchants – but the UK economy is in a very, very deep hole running at 75 per cent of pre-COVID levels."
Halverson says Afterpay's US sales of $US2.7 billion is 3 basis points of the old online figure as at March 30 – but 1.6 basis points of the expected new COVID-19 online market, which is running at more than $US125 billion per month.
He says Afterpay is not keeping pace with Klarna, which added 14 million customers in the first half of this year and now has 98 million global consumers.
Klarna launched in the US at a similar time to Afterpay but its consumer base is now about 50 per cent higher than Afterpay's.
Halverson says the US ecommerce market is unique because of the power of Amazon. Pre-COVID it controlled about 49 per cent of the market but Halverson says most analysts now believe Amazon has a 58 to 60 per cent share.
Amazon does not accept buy now, pay later in the United States and if it did decide to do so, it would create its own payment solution, according to Halverson.
He says the biggest concern he has about buy now, pay later is the likely spike in bad debts because of the pandemic-induced recession. These will probably come through early next year.
I have MSB on my watchlist with GSS (Genetic Signatures)
CNB doing quite well this last week. Assays due any time soon for GSM and CDT.
IBX is my punt of all punts in the BioMed sector.
Thanks! I'll check it out. Currently tied up (way more than I like to admit to myself) in IMM in the same sphere so am unfortunately well aware of the gamble.
I'll have a look at IMM.Thanks! I'll check it out. Currently tied up (way more than I like to admit to myself) in IMM in the same sphere so am unfortunately well aware of the gamble.
I do like an educated punt though
