Afterpay shares open 7% higher after announcing Afterpay Day

The Afterpay Touch Group Ltd (ASX: APT) share price opened 7% higher this morning after announcing Afterpay Day.

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

The Afterpay Touch Group Ltd (ASX: APT) share price has opened 7% higher this morning on news the company released to the ASX before market open that its 'Afterpay Day' biannual two-day sale will take place across August 14 and 15.

Here's some of what Afterpay had to say:

Just in time for back-to-school shopping, participating Afterpay partners will celebrate Afterpay Day with promotions and discounts across retailers such as NARS Cosmetics, Schutz, APL, Steve Madden, RE/DONE, Tarte Cosmetics, amongst others, from August 14 to 15.  Hundreds of offers will be available over 48 hours to celebrate the 2 million+ U.S. active customers who have made purchases from retail partners using the Afterpay product.

Launched in the U.S. market just over a year ago, Afterpay is now partnering with, or onboarding, over 6,500 local retailers, which represent more than 10% of the online fashion and beauty industry in the U.S.

Investors have reacted in an understandable way as the last 'Afterpay Day' sales were a huge success for the company, with CEO Nick Molnar stating that "during the last Afterpay Day sale in March 2019, the business saw over 400 US retail partners participate with an average increase in sales volume of more than 110% over a two-day period, with some retailers generating a 300%+ increase in sales volume."

Afterpay is the largest 'buy-now, pay-later' company on the ASX. It allows customers to receive products immediately and pay for the purchase over four instalments. The company aggressively targets 'millenials', who it believes prefer buy-now, pay-later services like Afterpay over traditional credit providers. Afterpay shares have pulled back after opening but are still 5.6% higher, trading for $24.06 at the time of writing.

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. 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 smiling businessman in the city looks at his phone and punches the air in celebration of good news.
Broker Notes

These ASX 200 shares could rise 50% to 60%

Brokers believe these shares could deliver big returns for investors.

Read more »

A girl is handed an oversized ice cream cone with lots of different flavours.
Best Shares

8 ASX All Ords shares that tripled in value in FY25

Just 8 out of the 500 companies making up the ASX All Ords achieved share price growth of 200% or…

Read more »

Broker written in white with a man drawing a yellow underline.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

Woman with a scared look has hands on her face.
Broker Notes

Bapcor shares fell more than 30% yesterday. Should investors buy in the dip?

Is this a value opportunity?

Read more »

A man sits thoughtfully on the couch with a laptop on his lap.
Broker Notes

Broker raises price targets on 2 ASX 200 shares to buy

Ord Minnett has just upped its 12-month share price targets on 2 buy-rated ASX 200 stocks.

Read more »

Man with rocket wings which have flames coming out of them.
Share Gainers

Guess which ASX All Ords stock just rocketed 34% on strong earnings growth

Investors just sent this ASX All Ords stock surging 34%. Here’s what’s happening.

Read more »

A male investor wearing a blue shirt looks off to the side with a miffed look on his face as the share price declines.
Share Fallers

Why DroneShield, Gentrack, Metals X, and Northern Star shares are tumbling today

These shares are ending the week in the red. But why?

Read more »

A businessman looking at his digital tablet or strategy planning in hotel conference lobby. He is happy at achieving financial goals.
Share Gainers

Why Dimerix, Newmont, Regal Partners, and Titomic shares are storming higher

These shares are having a good finish to the week. Let's see why.

Read more »