Selfwealth Ltd (ASX: SWF) shares are continuing to tumble today. At the time of writing, the Selfwealth share price is trading 1.79% lower at 55 cents. Today’s falls have contributed to losses of more than 14% for the company’s shares over the past month.
Selfwealth is an Australian-based company, engaged in the provision of flat-fee online brokerage services.
The Selfwealth platform allows users to trade in various securities, including ordinary shares, Australian listed property shares, investment company shares, debt securities and exchange-traded funds (ETFs).
It offers various account types, including for individuals, companies, trusts, self-managed super funds, and joint accounts. The company derives its revenue from trading, membership subscriptions and interest income.
Selfwealth’s recent record
Selfwealth could be excused for feeling a little hard done by given its current share price losses are in the wake of a 178% increase in annual revenue, reported four days ago.
In its quarterly appendix, the company announced a record quarterly operating revenue of $5.78 million, a record quarterly increase of 18,645 active traders to 85,944 (up 166% year on year) and a positive quarterly cash flow from operating activities of $558,000.
It also recorded promising US results. The performance of its new US trading product throughout the GameStop trading frenzy was “particularly pleasing” according to the report, amidst platform issues and trading restrictions at competing trading platforms.
This led to record client acquisition for SelfWealth together with a “much larger than expected” 25% take-up of the US trading functionality.
The Selfwealth share price falls are possibly a slight market correction, given its share price has rocketed by more than 290% over the past 12 months. However, Selfwealth shares have declined each day since the release of the company’s quarterly update.
Selfwealth share price snapshot
The Selfwealth share price has fallen 5.17% this week, meaning the company’s shares are now trading flat for the year so far.
It is up by around 235% against the broader financial services sector over the past year but is now a long way off its all-time high of 79 cents, reached in September last year.
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More reading
- SelfWealth (ASX:SWF) share price on watch following trading update
- SelfWealth (ASX:SWF) share price flat despite new CEO
Motley Fool contributor Lucas Radbourne-Pugh has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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