If you invested $8,500 in this ASX share 6 months ago, you'd have $100,000 now

It might sound crazy, but this company has returned more than 1,200% in the last 6 months alone. Prompted by …

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It might sound crazy, but this company has returned more than 1,200% in the last 6 months alone.

Prompted by massive demand during the coronavirus pandemic, this meal-kit provider has captured a flood of new business.

It's a name you might already be familiar with in your own home if you are the kind of person who appreciates a little evening convenience.

Marley Spoon AG (ASX: MMM) is one ASX small-cap company that Australia has fallen in love with during a time of crisis. However, it's not just Aussies that are signing up, our American and European friends are just as partial to the dinner-time hero.

The global pandemic hit the whole world at the same time, causing people from all cultures, locations and backgrounds to remain indoors far more than they normally would. Marley Spoon was in a prime position to step up to the plate and save us all from eating cans of baked beans for dinner during lockdown.

About Marley Spoon

Marley Spoon creates and distributes meal kits with the goal of bringing healthy seasonal ingredients to people who want a little more convenience at dinner time. Meal kits are a perfect compromise between doing everything yourself and getting a takeaway.

Marley Spoon offer a meal delivery app, which allows subscribers to order what they want, when they want. 

Marley Spoon share price

This company is relatively new to the ASX, listing in July 2018 at around $1.25. The first 18 months or so were a little rough on the Marley Spoon share price. After some volatility, the price settled at an all time low of around 20 cents – a far cry from IPO day. However, Marley Spoon pressed on and when the coronavirus pandemic struck, it really moved into a higher gear.

While other companies began bleeding, Marley Spoon shares soared.

In fact, in the same 30-day period from 24 February to 23 March that the S&P/ASX 200 Index (ASX: XJO) fell almost 40%, the Marley Spoon share price rose a staggering 150%! This was only the beginning for the meal kit provider, as it has continued in a strong upward trend thereafter.

Recent results

During the 2nd quarter of this year, Marley Spoon reported a 103% increase in revenue in Australia alone.

The quarterly report reads like a battle summary, describing how the company has pushed hard to achieve results in spite of bush fires, floods and a global pandemic interfering with its supply chain and operations.

Likewise, the American business reported a revenue increase of 171% and Europe reported an 83% increase. Certainly good news all round.

Is the Marley Spoon share price still a buy?

Normally I wouldn't be interested in a company after it has experienced this amount of growth, as it's very often unsustainable. Usually I would wait for a pullback in price to a place of more value to me as an investor. However, in this case, I don't see anything other than a positive future for Marley Spoon. Even if a short-term pullback should occur, I can't see it lasting.

Foolish takeaway

With a such a convenient and high quality product, I can't see subscription customers leaving Marley Spoon anytime soon. In Australia, Victoria is still struggling to contain the spread of coronavirus and its residents are in the middle of a Stage 4 lockdown. As a relevant point here, only one person per household is currently permitted to visit a grocery store. It makes far more sense for the food to come to you.

Sydney is also making an attempt to control growing daily cases as well. If the pandemic continues, this company should see ongoing strength in revenue. If the pandemic ends tomorrow, I can't see loyal user simply cancelling a product that's so convenient. Either way, the future looks bright for this meal prep superstar.

Motley Fool contributor glennleese has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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.

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