$WISH Undervalued and Not a Meme Stock
Let’s look at this;
- Expected revenue for 2021- $3.25 billion.
- Cash on balance sheet- approx. $2 billion.
- Revenue increased 75% compared to last year.
- WISH is also most downloaded e-commerce app in the world for last 3 years.
- In 2015, Amazon had offered $10 billion in cash but WISH walked away.
- Current Enterprise Value = $6 billion (Market cap.) – Cash (2 billion) = $4 billion
- Currently trading at 1.23 times expected 2021 revenues.
Wish is one of the largest and fastest growing global ecommerce platforms and should be trading at least 5-6 times revenue i.e. $16 to $20 billion and stock price between $25-$30.
With economies reopening it will be easy to facilitate shipping and will favourably impact WISH. In addition, low income group which were adversely impacted will be back.
As you can see there are lot of tail winds for this stock and it can easily muti-bagger at this dirt cheap price.
You don’t make money without patience. Just buy and hold and let compounding do it’s magic.
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June 11, 2021 at 10:49AM