New Purchase Afterpay Touch [APT]July 24, 2018
We jumped in on some exciting Australian Fintech stock last week with Afterpay Touch, ticker [APT].
Afterpay offers customers a buy it now, pay it later system on both online stores and retail storefronts. It breaks the purchase up into 4x fortnightly interest free payments. This is a nice alternative to credit cards and also has some clever practices in place to prevent people going overboard and spiralling into debt.
The website and mobile phone apps are clean and simple to use.
The take-up for Afterpay has been extremely successful and they are just starting to spread into overseas markets like the US.
They currently have a market cap of $3.28 billion which ranks them at 115 on the ASX. Afterpay Touch stock has a 1 year return rate of 377.81%
Afterpay is used by some big retailers such as
- Culture Kings
- Car Mods Australia
- Best & Less
- Ben Sherman
- Country Road
Read through their FAQ if you’d like to know more on how it works.
Some highlights from their most recent business update
- Over 200 retailers are currently transacting on the platform since the US market expansion
- There are roughly 16,500 retailers on-boarded in total
- They have maintained a low fraud rate on the platform
- 95% of instalment payments received in FY18 did not incur late fees
- Outstanding account balances are low (>90% of accounts have less than $500 outstanding; >75% of accounts have less than $350 outstanding)
- Afterpay’s customer base is large (approximately 2.2 million customers have transacted with Afterpay since inception