- Chewy, Inc. (CHWY) has a forward P/E one-year ratio of 693.33. Its stock rose 71% in one year.
- Revolve Group’s (VLV) P/E ratio is 66.23. The stock increased by 327% in one year.
- Liquidity Services (LQDT) has a P/E ratio of 46.6. The stock price grew by 302% in one year.
The E-commerce sector recorded considerable growth in 2020, and eCommerce companies have profited more than their expectations. But can they repeat the same performance in the future too?
Though last year’s achievements could be attributable to the various circumstances brought forth by the health crisis, the trend of online shopping established as a result¸ probably won’t fade away. Thus, giving us the hope their stellar performance in all probability would continue in the coming months as well.
Here we explore five mid and large-cap e-commerce stocks that are worth watching post-covid.
Jumia Technologies (NYSE: JMIA) provides e-commerce services across Africa, Europe, and the United Arab Emirates. Its revenue comes from sales of goods, commissions, value-added services, and marketing & advertising. The highest revenue comes from the West Africa market.
Jumia has a market capitalization of US$2.26 billion. After founding in 2012, the company brought its IPO in 2019. Its March quarter 2021, revenue was €27.4 million against €29.3 million in the year-ago period. Its gross profit increased to €20.4 million in the first quarter of 2021 compared to €18.4 million in the same quarter the previous year, showing a growth of 11%.
It incurred a net operating loss of €33.7 million in the March quarter, 2021, and the adjusted EBITDA loss was €27.0 million, reflecting a decrease of 23% and 24%, respectively, YoY.
JUMIA share’s 52-week highest and lowest price was US$ 69.89 and US$ 7.00, respectively. Its stock grew 131% in a year and closed at US$ 23.93 on July 21, 2021.
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Chewy, Inc. (NYSE: CHWY) is the largest pure-play pet e-tailer in the US. It offers more than 75000 products, including prescription food, dry food, wet food, frozen food, food toppings, among others, to the customers.
CHWY was founded in 2011 and launched its IPO in June 2019. CHWY has a market capitalization of US$ 34.79 billion, and a forward P/E one-year ratio is 693.33.
Its net sales for the 13 weeks ended May 2, 2021, were US$2.14 billion compared to 1.62 billion for the same quarter a year ago, showing a 31.7% growth YoY. Its net income was US$ 38.7 million in the May quarter, 2021, compared to the net loss of US$ 47.87 million for the same quarter the previous year, reflecting a 180.9% improvement.
Its stock rose 71% in one year at the closing price of US$ 83.2 on July 21, 2021.
Qurate Retail, Inc. (NASDAQ: QRTEA) operates through its segments QVC US, HSN and QVC international, and Zulily. Its product category includes home, apparel, beauty, accessories, electronics, jewelry, and others. It was founded in 1991. The company’s market capitalization is US$ 4.9 billion and has a P/E ratio of 3.52.
Its revenue for the quarter ended March 31, 2021, was US$ 3.34 billion compared to US$ 2.92 billion for the same period a year ago. The net income was US$ 206 million compared to the net loss of US$ 20 million for the previous year’s March quarter.
The stock increased 113% in one year from US$ 5.64 to US$ 12.04 at the closing of July 21, 2021.
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Revolve Group, Inc. (NYSE: RVLV) is a fashion retailer for new-age consumers. It was founded in 2003. Its reportable segments are REVOLVE and FORWARD. Its product category includes footwear, apparel, beauty styles, and accessories.
It has a market capitalization of US$ 4.92 billion and a P/E ratio of 66.23. It went public in 2019.
For the quarter ended March 31, 2021, its revenue was US$ 178.9 million compared to 146.1 million in the same quarter the previous year. The net income was US$ 22.25 million compared to US$ 4.15 million in the 2020 March quarter.
The stock increased 327% in one year at the closing price of US$ 68.25 on July 21, 2021.
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Liquidity Services, Inc. (NASDAQ: LQDT) operates a network of e-commerce marketplaces to connect buyers and sellers to transact smoothly in over 500 product categories.
LQDT has a market capitalization of US$ 703 million and a P/E ratio of 46.6. It was founded in 1999 and launched its IPO in February 2006.
Its revenue was US$ 61.79 million for the March quarter of 2021 compared to US$ 52.82 million in the March quarter of 2020, a 17% increase YoY. The net income was US$ 5.26 million in the March quarter of 2021, against the net loss of US$ 4.24 million for the previous year’s March quarter.
Its stock price grew 302% in one year at the closing price of US$ 21.25 on July 21, 2021.
Please note: The above constitutes a preliminary view and any interest in stocks/cryptocurrencies should be evaluated further from an investment point of view.