At time of writing, the Douugh Ltd [ASX:DOU] share price is up more than 6%, trading at 17 cents.
After a strong retracement following a sharp spike upwards, the DOU share price is trading a long way off the heady days of October when it almost cracked 50 cents:
We look at the latest growth figures out of DOU, and the outlook for the DOU share price.
Strong numbers indicate traction but still early days for DOU
Here are the key highlights from today’s update:
- Debit card spend in Q3 up 6.5 times from Q2, total deposits up 5.5 times, customer acquisition up 2.6 times
- Android App in ‘late stage development’
- Savings Jars on track for Q4
- Douugh Wealth is planned to expand to include the offerings of stock and crypto investments
A picture emerges of a company in the early stages of its development, with a few key milestones in the offing.
Douugh Wealth stands as the biggest major hurdle and the company provided no time frame on that deployment in this update.
Outlook for DOU share price
DOU shares are still in a downtrend despite today’s uptick, and it’s possible a consolidation phase may ensue.
Investors could be looking for a major bit of news flow as a catalyst to a big move.
If all that sounds vague, consider this:
DOU is entering an increasingly competitive market, despite having some relatively unique product offerings.
The key will be to maintain uptake levels and grow the platform, while at the same time building trust in the platform to ensure customer retention.
Companies like Square Inc [NASDAQ:SQ] come to mind.
It’s not just about the ability to win market share, but the ability of the company to successfully satisfy the desires of a new generation of investors and savers.
I’ve got little doubt that the big banks will face competition from the likes of DOU in the years to come.
So if the fintech wave has you excited, be sure to read this report on three small-cap fintechs.
Each offers a niche product that could help reorder the current financial system.
You can get the full rundown on these companies right here.
For Money Morning