Even Kim Kardashian is ramping AfterPay Touch Group Ltd shares

The AfterPay Touch Group Ltd (ASX:APT) share price could rocket if it succeeds in the US.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

It's rare for the mundane world of ASX share market investing to meet with Hollywood A-list glamour as many of the companies on the local market don't set the pulse racing. For example brick-maker Brickworks Limited (ASX: BKW) or vacuum cleaner business Godfreys are unlikely to grab the attention of Hollywood A-lister Kim Kardashian West.

However, buy-now-pay-later consumer credit provider AfterPay Touch Group Ltd (ASX: APT) has the model and entrepreneur promoting the business to her 59 million Twitter followers and 120 million odd Instagram followers.

To readers of an older generation Twitter and Instagram are social media photo and message sharing platforms that Afterpay's target market (18 to 34-year-old fashion conscious shoppers) spend almost their entire lives on.

Source: Kim Kardashian Twitter, November 24

There seems to be little doubt that if Afterpay wins market share in the US like it has in Australia then the business is going to be wildly successful in the years ahead.

On November 8 2018 Afterpay revealed that it has made a strong start to its expansion in the US because in less than 6 months it had generated over A$115 million in underlying sales through the Afterpay platform to the end of October 2018.

It also reported that it has signed up 900 retailers and 300,000 consumers to use the platform, with another 1,300 retailers in the process of joining the platform as at November 8.

Afterpay already estimates that the total addressable market it has signed up in the US is larger than "the total online apparel market in Australia". This shows the potential size of the prize if Afterpay succeeds in the US and starts to turn actual profits.

For now it remains in a heavy investment stage in the US and continues to "target an FY19 EBITDA loss for its US operations of approximately $20m (pre accounting change and FX impacts".

However, with support from the likes of celebrity superstars Kim Kardashian it looks a good bet for the future, but there may be EVEN BETTER under-the-radar opportunities out there to grow your wealth….

Motley Fool contributor Yulia Mosaleva has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool Australia has recommended Brickworks. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Share Market News

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why EML, GQG Partners, IGO, and Integrated Research shares are sinking today

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a strong gain. At the time of…

Read more »

Man drawing an upward line on a bar graph symbolising a rising share price.
Share Gainers

Why EOS, News Corp, Polynovo, and Pro Medicus shares are roaring higher today

These shares are starting the week positively. But why?

Read more »

A couple stares at the tv in shock, one holding the remote up ready to press.
Mergers & Acquisitions

Telstra share price climbs amid $3.4b Foxtel sale

Who is buying the Foxtel business? Let's find out.

Read more »

A young man pointing up looking amazed, indicating a surging share price movement for an ASX company
Share Market News

Brokers say these ASX 200 growth stocks could rise 50% to 70%

Analysts think these shares could be dirt cheap and destined to generate big returns.

Read more »

Two people having a meeting using a laptop and tablet to discuss Seven West Media's balance sheet
Broker Notes

Why these ASX shares could be top SMSF options in 2025

Analysts are bullish on these high-quality shares. Let's find out why.

Read more »

The words short selling in red against a black background
Share Market News

These are the 10 most shorted ASX shares

Let's see which shares short sellers are targeting this week.

Read more »

Smiling man with phone in wheelchair watching stocks and trends on computer
Share Market News

5 things to watch on the ASX 200 on Monday

A good start to the week is expected for Aussie investors. Here's what to watch.

Read more »

A businessman compares the growth trajectory of property versus shares.
Opinions

What's the outlook for shares vs. property in 2025?

The experts have put out their new year predictions...

Read more »