-ContextLogic's shares as fairly valued; it trades at a discount to its peers, but this is reasonable taking into account its lower revenue growth expectations.
-ContextLogic is not the next Amazon as it focuses primarily on serving the lower-income consumer segment with unbranded products and its average delivery times are still relatively long.
-At the JPMorgan's (JPM) Global Technology, Media and Communications Conference held on May 24, 2021, ContextLogic Inc calls itself "one of the largest global e-commerce platforms, connecting 100 million plus MAUs (Monthly Active Users) in 100 countries to more than 550,000 merchants." The company also highlighted at the conference that its Wish mobile application is "the #1 most downloaded shopping app 3 years in a row now."
-WISH generated 72%, 8% and 20% of the company's fiscal 2020 revenue from its core marketplace, ProductBoost and logistics services, respectively. Europe, North America and South America contributed 46%, 40% and 5% of Wish's top line, respectively in FY 2020; while other international markets accounted for the remaining 9% of the company's sales last year.
Our Opinion:
-May bring 50% returns before dropping!
-ContextLogic is not the next Amazon as it focuses primarily on serving the lower-income consumer segment with unbranded products and its average delivery times are still relatively long.
-At the JPMorgan's (JPM) Global Technology, Media and Communications Conference held on May 24, 2021, ContextLogic Inc calls itself "one of the largest global e-commerce platforms, connecting 100 million plus MAUs (Monthly Active Users) in 100 countries to more than 550,000 merchants." The company also highlighted at the conference that its Wish mobile application is "the #1 most downloaded shopping app 3 years in a row now."
-WISH generated 72%, 8% and 20% of the company's fiscal 2020 revenue from its core marketplace, ProductBoost and logistics services, respectively. Europe, North America and South America contributed 46%, 40% and 5% of Wish's top line, respectively in FY 2020; while other international markets accounted for the remaining 9% of the company's sales last year.
Our Opinion:
-May bring 50% returns before dropping!