Australian (ASX) Stock Market Forum

ZIP - Zip Co Limited

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Miner said:
Good luck mate @frugal.rock
I do not have any more Lotto Luck or coins to be at Crown after reading the following clocks for 1 day , 7 days and 30 days scenarios.
Could be misleading data to influence market however. Could stoppage of Russia money flow be a blow for these BNPL stocks ? Who knows wherefrom the BNPL companies money to support the lending ?? :

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A coin has two sides and stories.
Directors bought because of their skin on the game and that is good solidarity, unlike PDN directors who sold substantial out.
However financial institutions have no love excepting the blood and that too they need fresh or leave the prey to catch up another.
 
Some stocks are a little different to lotto Mr Miner... Explorers are more like lotto tickets.

The OBV indicator paints a picture ? Will history repeat, yet again?

Screenshot_20220310-131825.png
 
Took a bite yesterday. Just for fun.
With IV at 81% or so I bought a very small amount of the stock and immediately sold covered calls against them. Not surprising there is good premium.
Went down 6% or so today, but hoping to sell covered calls every 2-3 weeks.
Let’s see if I can get some premium for a few weeks/months.
If they continue to fall ill just try to keep getting premium and sell for CGT losses against my main investment portfolio gains. I’ll sell an equivalent gain/loss amount (of another stock) for gains against the Z1P loss, and Ms. Gunnerguy will buy back the sold company at the same time.
Gunnerguy.
(God damn tired of the continuous narrative of Covid).
 
Does anyone know where I can get historical options pricings (and deltas) on ASX shares ?

Gunnerguy
 
Considering .....similar to my Z1P trade earlier (except that I don't actually like Z1P).

OZL : Buy 1,000 @ 26.89 = $26,890.
Sell 27C 21April, 27 DTE, PM = $1,000.
If assigned => Net $1,110 on $26,890 = 4% in 27 days.
If no assigned => Retain PM of $1,000.

I like OZL for long term so if I don't get assigned I am happy.

Any thoughts ?

Gunnerguy.
 
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Hey Garp, ZIP, SZL and SQ2 walk into a bar and order a round of drinks. The bartender asks them to pay now and drink later.
 
Shares of Zip are down over 10.8%, trading at $1.03, with just over an hour of trading still to go today.

Selling pressure seems to be stemming from a statement released by the company this morning in which they announced the release of a large volume of shares from voluntary escrow over the coming weeks.

All trading carries risk, but after already testing they key psychological level of $1 last week, it will be interesting to see if the stock can bounce again, or will this finally see it break below.
 
ZIP has gone through so many "reasonable" support levels that nothing seems reasonable now.

I only hope that the next Gov't will regulate the BNPL as credit providers and put an end to them.
 
...... holding a small amount of ZIP shares specially for CGT losses on my tax return ....

???????

Gunnerguy
 
Hi there, can anyone throw any Light on ZIP Shares.My Daughter has a lot & down an extremely amount of Money.
There is talk on other Forums they are headed for Bankruptcy.
We are terribly concerned as she was talked into by a friend .
They say the CEO is a bit Dodgy.
We are trying to talk her into
selling what but of money she has left.Thank you in Advance .
 
Summer said:
Hi there, can anyone throw any Light on ZIP Shares.My Daughter has a lot & down an extremely amount of Money.
There is talk on other Forums they are headed for Bankruptcy.
We are terribly concerned as she was talked into by a friend .
They say the CEO is a bit Dodgy.
We are trying to talk her into
selling what but of money she has left.Thank you in Advance .
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I suppose she has to ask herself why she bought them and if those reasons are still valid. Did she have an actual plan for holding, selling, short-term, long-term. I've got no idea if these guys are making any money, but by the chart it looks like whatever they were supposed to deliver a year ago has not been achieved, or their business model is wrong, or the sector they're trading in has gone a little off the boil. Chart looks disastrous. If this is the only thing she's invested in it might be a good lesson to not put all your eggs in one basket, or do a bit more research and have a plan to sell if you lose X amount of dollars. Sounds like she didn't have a plan at all. Good luck.

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I have traded ZIP 3 times (2 wins 1even) I haven't paid any real attention to its financial side. It was heavily pushed on social media which led to many inexperienced investors? buying it. It peaked at around $14 and now down to $0.79. I think every year it made bigger losses than previous years with no sign a profit in sight.

Its seems to have lost its media support and institution support so who knows where it will bottom. It is levelling out a bit but still making lower lows.
@peter2 suggested Zip's on the way to zero, zilch, nada. It does have a very large customer base and with a better product may avoid zero but I am not willing to back that.

@Summer Sorry for your daughters losses but without an exit plan at a small loss ZIP becomes a problem (quite common amongst a lot of investors).

Chart looks bad, fundamentals look bad, sector looks bad.

If she has already lost maybe 80 - 90%, may be too late to sell and it is trading around its July 2018 value.

Its up to her to decided based on her financial position.
 
In the Fin:

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As the stock’s implosion accelerated through 2022, retail investors actually got offered last March’s capital raising at a $1.48 per share, on a 22 per cent discount to what the professionals paid at $1.90.

But with shares at 79¢ today everybody’s underwater and the retail bag holders are nursing paper losses around $11 million from the $24 million cash they paid for more Zip shares.

In just a few months total paper losses on the raising are close to $100 million on the $172.7 million raised. The latter amount is only just enough to cover the $148.3 million in bad debts Zip wracked up over the six months to the end of 2021.

That fact goes a long way to explaining why Zip shares can’t catch a bid like they used to and why some Gen Z investors are facing painful financial lessons.
 
Sean K said:
As the stock’s implosion accelerated through 2022, retail investors actually got offered last March’s capital raising at a $1.48 per share, on a 22 per cent discount to what the professionals paid at $1.90.

But with shares at 79¢ today everybody’s underwater and the retail bag holders are nursing paper losses around $11 million from the $24 million cash they paid for more Zip shares.
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It seems like 79c was a wonderful trade, and not so long ago. .... now 47c.

Sean K said:
In just a few months total paper losses on the raising are close to $100 million on the $172.7 million raised. The latter amount is only just enough to cover the $148.3 million in bad debts Zip wracked up over the six months to the end of 2021. That fact goes a long way to explaining why Zip shares can’t catch a bid like they used to and why some Gen Z investors are facing painful financial lessons.
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and yet they're not giving up, ...

Zip has moved to reassure the market that it is “well placed to respond to, and offset, the effects of rising interest rates” through a series of new initiatives which are underway. These include
  • consumer fee increases,
  • merchant repricing,
  • increased customer repayment velocity, and
  • weighted average margin benefits from the refinancing of legacy receivables.
“The US business in particular is resilient to a rising rate environment relative to credit cards and other consumer credit businesses, with any 25 basis point rise in base rate only impacting cost of funds by around 2 basis points per transaction,” Zip said.
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The company said it had “sufficient headroom” to support transaction growth, with $401.9 million undrawn and available in Australia, and $US168.1 million in the US as of March 31.

Zip added it remains “well-funded” with $303 million in cash and liquidity, plus an additional $24 million raised from its share purchase plan in April, which it expects to be sufficient to see it through to cash flow breakeven in FY24.

..............................
all I see is that they are well placed to fall in a heap. Do you take the tax loss this year, or next?

(DNH)
 
Dona Ferentes said:
It seems like 79c was a wonderful trade, and not so long ago. .... now 47c.


and yet they're not giving up, ...

Zip has moved to reassure the market that it is “well placed to respond to, and offset, the effects of rising interest rates” through a series of new initiatives which are underway. These include
  • consumer fee increases,
  • merchant repricing,
  • increased customer repayment velocity, and
  • weighted average margin benefits from the refinancing of legacy receivables.

The company said it had “sufficient headroom” to support transaction growth, with $401.9 million undrawn and available in Australia, and $US168.1 million in the US as of March 31.

Zip added it remains “well-funded” with $303 million in cash and liquidity, plus an additional $24 million raised from its share purchase plan in April, which it expects to be sufficient to see it through to cash flow breakeven in FY24.

..............................
all I see is that they are well placed to fall in a heap. Do you take the tax loss this year, or next?

(DNH)
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Take the tax loss next year ..... it’ll be bigger
????
 
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