At the time of writing, the share price of Openpay Group Ltd [ASX:OPY] is up more than 25%, trading at $2.73.
In the coming days, it will be interesting to see if the OPY share price can continue to snap the downtrend from a late August high:
Let’s look at the main points from the announcement that sent the share price higher today.
OPY share price shoots up on launch in lucrative US market
Here are the key details from the US launch announcement. It’s worth noting that growth in multiple countries was key in pushing the OPY share price higher:
‘• Openpay reports November as new record month with a Total Transaction Value (TTV) of $35.7m, up 121% on pcp, which included the best week of TTV ever at $10.9m, driven by internal initiatives and seasonal trading
‘• Major merchant wins and launches recorded during November for Openpay Australia included the go-live of an agreement with Hearing Australia
‘• Openpay UK saw significant growth in Active Plans (up 1,919% vs pcp) and Active Customers (up 961% vs pcp) during November. Agreements now in place with 53 Merchants.’
Openpay is going after not just retail, but the automotive and healthcare sectors.
Healthcare strikes me as the most intriguing proposition, given the well-documented lucrative healthcare market in the US.
Outlook for the Openpay share price
The momentum may continue in the weeks ahead, as this long-awaited announcement snapped the OPY share price out of its slumber.
In a recent long-form article, I may have cast aspersions on certain OPY investors who bought the top.
I may eat my words eventually, but they were part of broader comments on risk management.
BNPL (buy now, pay later) went through the roof and FOMO-driven investors may have expected more, having hopped on the train late.
That being said, the niche that OPY is trying to carve out looks to have potential, at least from the outside.
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- A unique technical analysis strategy, from our chart guru Murray Dawes, to manage risk on volatile stocks (like OPY).
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For Money Morning