The rise and rise of Afterpay

Emanuel Datt

We got lucky. A few days after our last wire, discussing two stocks to watch, one of them, Afterpay, released a positive business update and the share price exploded, gaining in excess of 30% within a matter of days. Reading market commentary, a common perception is that Afterpay is overvalued... Show More

Hi Ben, Thank you for sharing your thoughts, our next post will be on the shortcomings of traditional valuation techniques and how an individual can potentially value growth companies.

On How does scalability drive strong returns? -

Thanks for your comments Simon, we agree broadly with your sentiments. Interestingly, Berkshire have invested recently in an emerging market payment platform, so it appears that they're beginning to recognise the value of owning a scalable business.

On How does scalability drive strong returns? -

Alex, Dean has picked this company superbly, with great foresight. Your comments do indicate the degree of ignorance of the company's business model held by the wider investing public; which ultimately will benefit those who do understand the nuances of their business model.

On Afterpay: Silencing the doubters -

Good article Jonathan, I would also add the potential impact of externalities in the 12 categories of debt above. For example, the potential of US student debt to become discharge-able in bankruptcy etc.

On The Dirty Dozen Sectors of Global Debt -

Great suggestions Rodney; they are all very relevant to the long-term success of a company. However, we believe that the location and specific attributes of a deposit are unique and hence the most important piece in the puzzle. Patient, long-term capital and competent managers will always be attracted to great deposits in good locations; whereas a sub-par deposit in a marginal location may only be economic during certain periods in the commodity cycle, making it a far riskier proposition.

On The metal you can't live without -