FXL Share Price Up, Is FlexiGroup Making its Comeback?
Today we take a look at what’s happening right now with the FlexiGroup Ltd [ASX:FXL] share price.
The Australia-based fintech had seen a decline in its fortunes over the years, with the FXL share price falling over 79% from 2013–2019. 2019 was looking positive for the company, before the coronavirus smashed global equities.
This spanner in the works saw the FXL share price fall again from a February 2020 high. It ended up shedding 85% to the March low.
But is finding this new low just what the doctor ordered?
What FXL has done recently
In February 2020 FlexiGroup announced Bundll, their offering for the ‘buy now pay later’ (BNPL) sector.
BNPL has changed the way consumers shop and pay for goods and there are many companies offering this type of finance now.
As wonderful as these payment solutions are from the leaders in the BNPL sector, they’re not without their limitations.
Not all merchants will offer Afterpay or Zip, and this is where Bundll aims to fill the gap.
Zip for instance have engaged in a strategic partnership with Mastercard and in doing so have access to Mastercard’s network.
This could greatly enhance the use of the product as Mastercard has deep market penetration.
Rebecca James, Flexigroup’s CEO said:
‘Flexigroup is proud to be launching bundll in Australia as a world first. It’s Buy Now Pay Later in your pocket and it gives you complete control over where you shop, when you pay and how you budget — all from the convenience of your mobile phone.’
On the back of this, Flexigroup recently announced they’ve seen over 600,000 downloads of their app and their interest-free instalment customers now exceed 2.1 million.
Where can the FXL share price go?
At the time of writing, FXL’s share price was trading at $1.34 or up 9.84%. Should the FXL share price continue moving to the upside, then the levels of $1.51 and $1.90 may become the focus.
On the downside, if FXL shares were to fall, the historical levels of $1.15 and $0.98 may be where price finds support.
For Money Morning