Team Strawpeople,

I have long been a fan of ZIP (also my largest real life holding) but I lack the ability to correctly price this one and hoping for some help to fill in the gaps.

Why I like ZIP:

• Growing Company in a Growing Sector.
• Growing predominantly in the US.
• Trump policies to deregulate the financial sector + appointment of David Sacks as head of the Presidential Working Group on Digital Asset Markets (PWG) bodes well (this is an opinion from a US investor I follow, admitting I dont know enough but Sacks has Affirm which is a competitor as part of his portfolio). At a high level, I agree policy will be beneficial.
• Rumours of a takeover
• Chat about ZIP moving in to other loan markets such as housing.

My concerns with ZIP:

• Trump policies may slow the economy (Tariffs, Inflation etc.)
• Competitors are big names, Affirm, Klarna, Afterpay.

Is the price right:

• I dont know.
• The recent results I felt were good and the reaction with stock price drop felt like an overreaction. This is just me being qualitative and using zero investor skills.
• EDIT: UBS value it at $3.50.

I in general wonder to (this is more my curiosity than investment):

• Does a high cost of living mean more people use such credit services or less use?
• Natural disasters are horrendous and ruin lives. We here in Australia would understand the pain of the California fires. I do wonder the impact of such events on using BNPL on big ticket items to replace what was lost. (TVs etc.)