Changes are happening - please bear with us while we update our site.

Changes are happening - please bear with us while we update our site. Click here to give us your advice and feedback.

The Zip (ASX:Z1P) share price is up again

The Zip Co Ltd (ASX:Z1P) share price has risen again today. It was up almost 6% in earlier trading.

The Zip Co Ltd (ASX: Z1P) share price has risen again today. It was up almost 6% in earlier trading.

Zip share price keeps going higher

After yesterday’s large rise, Zip has continued to climb. It has been a very volatile last 12 months for Zip:

Source: Rask Media 1-year share price chart.

The cause of the latest surge for the Zip share price was yesterday’s update from its acquisition target QuadPay.

Zip said that QuadPay achieved record monthly transaction volume of more than US$70 million in July, representing a 30% increase in the June quarter average and a 600% increase year on year.

During July alone it added 133,000 customers and surpassed the 2 million customer milestone in August.

Management said that the enterprise sales pipeline going into the holiday period continues to remain strong.

QuadPay has established a strategic partnership with Fiserv (a global provider of payments and fintech services) to offer buy now, pay later services across its US based merchant base, launching with Fanatics.

In terms of profitability, QuadPay has net transaction margins (NTM) of more than 2%.

A few thoughts

Zip and its investments are clearly doing well. Buy now, pay later has shot up in popularity over the past few years, particularly since COVID-19 with consumers looking for ways to fund their purchasing.

However, the hard part is coming up with a fair price. When are these BNPL businesses going to turn profitable? Or is the share price just largely riding the momentum of positive news? I really don’t know. It makes it hard to calculate a good price to buy. It’s also harder to decide when you’d sell. How much competition can the sector sustain? I’d rather go for other ASX growth shares like donation payment business Pushpay Holdings Ltd (ASX: PPH).

$50,000 per year in passive income from shares? Yes, please!

With interest rates UP, now could be one of the best times to start earning passive income from a portfolio. Imagine earning 4%, 5% — or more — in dividend passive income from the best shares, LICs, or ETFs… it’s like magic.

So how do the best investors do it?

Chief Investment Officer Owen Rask has just released his brand new passive income report. Owen has outlined 10 of his favourite ETFs and shares to watch, his rules for passive income investing, why he would buy ETFs before LICs and more.

You can INSTANTLY access Owen’s report for FREE by CLICKING HERE NOW and creating a 100% FREE Rask Account.

(Psst. By creating a free Rask account, you’ll also get access to 15+ online courses, 1,000+ podcasts, invites to events, a weekly value investing newsletter and more!)

Unsubscribe anytime. Read our TermsFinancial Services GuidePrivacy Policy. We’ll never sell your email address. Our company is Australian owned.

Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. That means, the information and advice does not take into account your objectives, financial situation or needs. It is not specific to you, your needs, goals or objectives. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If you don’t know what your needs are, you should consult a trusted and licensed financial adviser who can provide you with personal financial product advice. In addition, you should obtain and read the product disclosure statement (PDS) before making a decision to acquire a financial product. Please read our Terms and Conditions and Financial Services Guide before using this website. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169.

At the time of publishing, the author of this article does not have a financial or commercial interest in any of the companies mentioned.
Skip to content