In its first day of trading since listing on the ASX, Splitit Payments Ltd [ASX:SPT], a monthly instalment payment solution, has quickly accelerated from its initial $0.20 to as high as $0.35 per share. But by midday this has subsided.
Splitit’s share price is currently trading at $0.33 a share.
Currently, Splitit is operating in 27 countries with 380 Active Merchants, and has seen continued growth across all of its key performance metrics.
But when it comes to picking the best stocks, it takes a little bit more than seeing growth potential.
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Splitit Payments could be bigger than Afterpay for Aussie customers
The foreign company, first registered in Israel, is providing shoppers in over 27 countries with payment solutions. It’s one of the first instalment payment solutions that could potentially rival Afterpay Touch Group Ltd [ASX:APT] with its services.
Interestingly, shares of Afterpay are trading lower today, down 2.83% upon Splitit’s news.
The good news for investors? Shares of Splitit are less than half the price.
The company gave key business operation updates. In what is positive news for the company, Splitit has increased the number of Active Merchants (+22%), the number of unique shoppers (+44%), underlying Merchant Transactions (+52%), as well as Merchant Fees (+22%) since its replacement Prospectus in 20 December 2018 and when compared from Q3 2018 to Q4 2018.
Investors will also be happy to hear that this accelerated growth is reflected in Splitit Payments’ share price. Of course that’s not much to go off, but the increase in Splitit’s average order value (+17%) is a positive sign.
Splitit’s motto of Get Now, Pay Later offers a flexible environment for shoppers, which is attracting new online shoppers through its ‘try, fix and feel’ approach.
Splitit Payments, the way to go?
Splitit Payments continues to take on new merchants, as its global footings deepen in both direct and distribution channels, which is positive news for the company and the potential results it might yield in 2019.
As shoppers continue to look for smarter payment options, services such as Splitit will become increasingly popular.
For now, Splitit Payments might just be a stock you want to keep an eye on.
For Money Morning
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