Originally Posted by
BlackPeter
OK - so they achieved another quarter of growth as planned. Great. I am sure the punters will flow in and create (now or later) a RAK / WYN / XRO / PEB - like peak. Great times for traders (who know when to exit) ahead. Question is - how does the SP look after that? Is this where the faith industry comes into play?
Maybe I don't understand their business model (and very interested to learn), but from where I stand: they are offering just another way to (electronically) transfer funds from a client account to a receivers account using a mobile app.
Basically mobile internet banking as any other banking app, including a bit of accounting on the receiving end (to allow the preparation of annual donation slips).
Did I get this right? If yes - what is their moat? What stops Apple (Apple pay), Pay Pal, Amazon, Google Wallet or any of the credit card companies (to name just a few) to move into this field if the numbers start to look interesting?
Given that their incredible market cap ($475m) is based on basically exponential growth assumptions - where will this growth coming from, given that it is not hard for competitors to move into this market?
Are we sure the emperor is wearing any clothes?