One ASX buy now, pay later (BNPL) has had a stellar month, outperforming Zip Co Ltd (ASX: ZIP) and other payment technology shares.
The Splitit Ltd (ASX: SPT) share price surged to 33 cents before midday today. This is 113% higher than the 15.5 cent closing price one month ago on 4 April. The company’s share price has since retreated to 28.5 cents at close of trade on Wednesday.
So why is the Splitit share price surging?
What’s going on with this ASX BNPL share?
The Splitit share price exploded 55% on 28 April alone. Driving this share increase was the CEO outlining a new vision for the company.
Splitit is a BNPL that allows customers to split payments using their available credit. This makes the company’s business model different to other BNPL shares.
In a CEO presentation, Splitit revealed it is looking to expand its Google partnership to United States customers.
The company also reported quarterly results. Revenue increased by 6% on the prior corresponding period, while sales volume jumped 23% year on year.
Finally, the company also approved a US$150 million Goldman Sachs credit facility at the annual general meeting on 28 April.
CEO Nandan Sheth commented on the company’s direction:
Splitit is uniquely positioned as it bridges the gap between BNPL and credit cards by making instalment payments possible on any credit card purchase at the point of sale.
The Splitit share price also surged 50% between market close on 19 April and 27 April. On 27 April, Splitit responded to a share price query from the ASX. Splitit said it was not aware of any information explaining recent trading of the company’s shares.
Splitit has outperformed other BNPL shares in the past month. The Zip share price has slipped 33% since market close on 4 April, while Block Inc (ASX: SQ2) has descended 20%.
Share price snapshot
The Splitit share price has fallen 60% in the past year. It has recouped some of those losses, jumping 19% year to date.
In the past week alone, it has surged 50%.
Splitit has a market capitalisation of about $134 million based on the current share price.
The post Guess which ASX BNPL share has soared 100% in a month. Hint: it’s not Zip appeared first on The Motley Fool Australia.
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