Spotlight Growth
No Result
View All Result
Tuesday, August 16, 2022
  • Login
  • Home
  • News
    • Bio/Med/Pharma
    • Cannabis
    • Commodities
    • Consumer Goods
    • Crowdfunding
    • Cryptocurrency
    • Crypto Cheat Sheets
    • Earnings
    • Entertainment
    • Financials
    • Market News
    • Opinion
    • Politics
    • Technology
    • Venture Capital/Private Equity (VC/PE)
  • Video
  • Stock and Crypto Screener
  • Home
  • News
    • Bio/Med/Pharma
    • Cannabis
    • Commodities
    • Consumer Goods
    • Crowdfunding
    • Cryptocurrency
    • Crypto Cheat Sheets
    • Earnings
    • Entertainment
    • Financials
    • Market News
    • Opinion
    • Politics
    • Technology
    • Venture Capital/Private Equity (VC/PE)
  • Video
  • Stock and Crypto Screener
No Result
View All Result
No Result
View All Result
Home Opinion

Where Does ContextLogic (NASDAQ: WISH) Fit in the Global eCommerce Market?

by admin
August 11, 2021
in Consumer Goods, Opinion
0
ContextLogic NASDAQ WISH Spotlight Growth

ContextLogic NASDAQ WISH Spotlight Growth

After an IPO opening at $24 and peaking just over $31 in February, the morning number of $10.55 today may not seem all that impressive, but ContextLogic, Inc. (NASDAQ: WISH) may turn out to be one of the better buys of 2021. The price appears to have leveled off and early indicators from Q2 financials being released on August 12th show year-over-year growth of 2-4%.

Those aren’t Amazonian numbers, but they do bode well for an eCommerce platform building brand awareness and tapping into a price-conscious consumer space that is growing rapidly as inflation looms large shortly. With a sharper focus on lifetime value (LTV) and increased monetization efforts, the company appears to be gaining some momentum.

ContextLogic and Consumer Wish Lists

ContextLogic was founded by former Google engineer Piotr Szulczewski in September 2010. It was rebranded as Wish in May 2011 when Piotr’s college friend Danny Zhang joined the team. Their initial goal was to simply fulfill consumer “wish lists.” It wasn’t until 2013 that they became a true eCommerce site with merchants hosting products directly on the website.

Source: Finviz
Source: Finviz

Startup funding for ContextLogic totaled $1.7 million coming from a range of investors, including Yelp CEO Jeremy Stoppelman. They’ve done several rounds of fundraising since then and became the most downloaded eCommerce app in the United States in 2018. Their revenue that year was $1.9 billion, doubling their previous number in 2017.

Market Overview and Investor Analysis for ContextLogic

The global eCommerce market is projected at $4.89 trillion in 2021 with an expected growth rate of 21% through 2024. According to Shopify, which holds an 11% market share in the space, online sales now represent 19.5% of consumer spending worldwide. That number was just 13.6% in 2019, before the Covid-19 pandemic.

Competitor Analysis and Revenue Numbers

Comparing Wish to Amazon is like weighing apples against oranges. Wish has been described as an online flea market, with pricing far cheaper than what you’ll find on Amazon, which is the “Walmart” of eCommerce sites. Wish also does business with manufacturers who have lower operating costs, giving them the ability to offer discounts in the 70%-90% range.

Meme Status Boosts Share Prices

The Reddit crowd over at #WallStreetBets discovered Wish back in June and gave them an immediate boost, with share prices rising over $15 for the first time since February. Momentum has cooled off a bit since, but the “people’s choice” of eCommerce platforms is still a leading topic of conversation on social media. Expect another spike in share prices soon.

Source: TipRanks
Source: TipRanks

An August 6th article on Nasdaq, titled “Buy WISH Stock for the Growth Potential,” points out that share prices have been trending up for the past few weeks. They also note that Wish is only half the age of eBay, its closest competitor. During that time, they’ve grown their subscriber base from 21 million to 107 million. Those are solid numbers.

The Bottom Line: Is Wish Worth Investing In?

The net operating loss ($128 million) is a bit disturbing, but the affordable share price and aggressive marketing by ContextLogic makes WISH a value-add stock for an investment portfolio. Prices are unlikely to fall further. Continued sales growth will eventually offset net losses. It’s a long play, but it’s a good one.

Disclosure: Neither Matt Rego nor Spotlight Growth have any position or relationship with any companies mentioned in this article. No payment was made to create this article. This article should not be taken as a solicitation or recommendation to buy or sell any securities. Please conduct your own research and consult your financial advisor to determine your risk tolerance and investment path. We are not licensed brokers or investment advisors.

Tags: appscommon stockconsumer goodsconsumer stocksconsumerscontextlogiccontextlogic stockday tradinge-commerceemerging growthinvestinginvesting newsinvestmentmeme stocksmicrocap stocksmobileNASDAQnewsopinionpublic companyreddit stockssalesservicessmall cap companiessmall cap stockssmall capsSpotlight GrowthSpotlight Growth Stocksstock marketstocksstocks to watchswing tradingtechtradingwallstreetbetsWISHWISH stockWISH stock newsWISH stock price
Plugin Install : Widget Tab Post needs JNews - View Counter to be installed
  • Trending
  • Comments
  • Latest
Siyata Mobile NASDAQ SYTA SYTAW SD7 VK7 Purchase Orders Spotlight Growth

New Purchase Orders for SD7 Rugged Device, VK7, and Other Accessories Boost Siyata Mobile’s Outlook (NASDAQ: SYTA)

December 14, 2021
Telcoin TEL Crypto Spotlight Growth

Telcoin (TEL) Quietly Leads a Crypto Remittance Revolution

June 15, 2021
Decentraland (MANA) is the Proof of Concept for the Emerging Metaverse

Decentraland (MANA) is the Proof of Concept for the Emerging Metaverse

November 22, 2021
Alfi NASDAQ ALF Ridesharing Tablet Rollout Spotlight Growth

Alfi, Inc. (NASDAQ: ALF) Climbs 51% After Entering Into Agreement with Miami-Based Fulfillment & Distribution Center For its Ridesharing Digital Tablet Rollout

June 15, 2021
Cybersecurity Stocks Coming Into Focus Amid High-Profile Attacks

Cybersecurity Stocks Coming Into Focus Amid High-Profile Attacks

0
Safe-T SFET NASDAQ UN Presentation

Safe-T (NASDAQ: SFET) Has Been Selected to Present at the United Nations’ Office of Information and Communications Technology Event

0
Safe-T Group SFET Q4 FY 2020 Financial Results

Safe-T Group (NASDAQ: SFET) Reports Fourth Quarter and Full Year 2020 Financial Results

0
Safe-T Group NASDAQ SFET FY 2020 Prelim

Safe-T Group Ltd. (NASDAQ: SFET) Estimates Record-High Annual Revenues of Approximately $4.9 Million Representing ~50% Growth YoY 2020

0
OLB Group NASDAQ OLB Q2 2022 Earnings Results Spotlight Growth

OLB Group (NASDAQ: OLB) Continues Record Revenue Growth for 2022

August 15, 2022
Viridian Therapeutics NASDAQ VRDN TED Phase 1 2 Clinical Trial Data Spotlight Growth

Viridian Therapeutics (NASDAQ: VRDN) Shares Positive Clinical Data from Phase 1/2 Trial of VRDN-001 for Treatment of Thyroid Eye Disease

August 15, 2022
Twin Vee PowerCats NASDAQ VEEE Q2 2022 Financial Results Spotlight Growth

Twin Vee PowerCats (NASDAQ: VEEE) Releases Q2 2022 Results Showing 158% Increase in Revenue, Completes Spin-Off of Forza X1 (NASDAQ: FRZA)

August 12, 2022
Is Uber Technologies NYSE UBER Finally Investible Spotlight Growth

Is Uber (NYSE: UBER) Finally Investable?

August 11, 2022

Recent News

OLB Group NASDAQ OLB Q2 2022 Earnings Results Spotlight Growth

OLB Group (NASDAQ: OLB) Continues Record Revenue Growth for 2022

August 15, 2022
Viridian Therapeutics NASDAQ VRDN TED Phase 1 2 Clinical Trial Data Spotlight Growth

Viridian Therapeutics (NASDAQ: VRDN) Shares Positive Clinical Data from Phase 1/2 Trial of VRDN-001 for Treatment of Thyroid Eye Disease

August 15, 2022

Categories

  • Bio/Med/Pharma
  • Cannabis
  • Commodities
  • Consumer Goods
  • Crowdfunding
  • Crypto Cheat Sheets
  • Cryptocurrency
  • Earnings
  • Entertainment
  • Financials
  • Market News
  • Opinion
  • Politics
  • Real Estate
  • Split Watch
  • Sponsored
  • Store
  • Technology
  • Uncategorized
  • Venture Capital/Private Equity (VC/PE)

Site Navigation

  • Disclosures
  • Terms Of Service
  • Privacy Policy
  • Contact Us
Spotlight Growth

Copyright © 2021 Spotlight Growth. All Right Reserved. Designed by Cool Cat Interactive.

No Result
View All Result
  • Home
  • News
    • Bio/Med/Pharma
    • Cannabis
    • Commodities
    • Consumer Goods
    • Crowdfunding
    • Cryptocurrency
    • Crypto Cheat Sheets
    • Earnings
    • Entertainment
    • Financials
    • Market News
    • Opinion
    • Politics
    • Technology
    • Venture Capital/Private Equity (VC/PE)
  • Video
  • Stock and Crypto Screener

Copyright © 2021 Spotlight Growth. All Right Reserved. Designed by Cool Cat Interactive.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Newsletter Signup

Subscribe to our weekly newsletter below and never miss the latest small/micro-cap analysis and investment news from Spotlight Growth.

Enter your email address

Thanks, I’m not interested