Afterpay Touch Group Ltd (ASX: APT) has announced US board appointments, will the share price rise?
Afterpay Touch is the owner of the popular “buy now, pay later” app. As of mid 2019, Afterpay had over 5.2 million registered users worldwide, making it one of Australia’s true technology success stories.
Afterpay’s New US Advisory Board Appointments
Afterpay has announced that former US Treasury Secretary Lawrence H. Summers will join its US Advisory Board.
Other members of the new advisory board include Uli Becker who is the former CEO of Reebok and Matthew Kaness who is the former president and CEO of ModCloth – a fashion ‘e-tailer’, Mr Kanesss was also Chief Strategy Officer for Urban Outfitters for nearly eight years.
Afterpay said that this new US Advisory Board was formed to help the company identify key business opportunities and partnerships at a time when American consumers are increasingly turning to alternative payment methods to avoid revolving and extended debt.
Afterpay US CEO Nick Molnar said: “Our new US Advisory Board represents the best minds and most reputable experts in the commerce and financial technology market. With their support, Afterpay will continue to build on our business momentum and forge strong partnerships with brands who want to offer their customers a way to pay that encourages responsible spending, control and convenience.”
In the announcement Afterpay boasted about now being offered by over 6,500 US retailers representing more than 10% of the US fashion and beauty market. It also said it now has more than 30,000 retail partners and 5.2 million customers using the platform worldwide.
Is The Afterpay Share Price A Buy?
Afterpay seems to be doing all the right things to expand strongly in the US. It’s hired good employees and now it has a good advisory board.
I really don’t know if a share price of $35, $30 or $40 is a good price to buy shares. At the moment it isn’t generating a net profit (after tax). I’m not sure how profitable it will be in a couple of years, it’s not the type of business I want in my own portfolio – but I can see why many people are attracted.
If I were going for growth I’d much rather invest in rapidly rising companies like the ones in the free report below.
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