APT 0.00% $66.47 afterpay limited

back to 20, page-238

  1. 5,511 Posts.
    lightbulb Created with Sketch. 1390
    Why? With lower volume of transactions APT will have lower transaction costs and bad debt charges, as well as the ability to scale back expenditures on marketing and technology.
    There is no reason why APT can't weather this storm, especially if there is a stimulus that helps (at least to some extend) people pay their existing Afterpay committments.

    It's the existing debt that was always the problem but with Afterpay's dynamic credit model they will be scaling back risky borrower's limits as we speak and to some extend will shut them off completely. APT can reduce volume, reduce costs and use the $400m warchest to absorb any negative cashflow over the foreseeable future. By my calculations APT has more than 24 months before they would have to think about raising capital. For my analysis on APT expenses see the thread "Making sense of it all".

    Happy for you to share your analysis as to why APT will head back down.
 
watchlist Created with Sketch. Add APT (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.