Zip And Afterpay Stocks Plummet After PayPal, Apple Wage War
Australian payment companies had a disastrous day on the ASX yesterday, as both PayPal and Apple announced competing offerings.
Zip fell 11.4 per cent to $7.32, while Sezzle shares fell 10 per cent.
Afterpay’s 9.6 per cent decline to $107 had the biggest impact on the market, dragging the entire info tech sector down 2.7 per cent at closing.
Yesterday was the worst day for Afterpay on the ASX since last November.
PayPal’s new “Pay in 4” four-part payment instalment option rivals Afterpay, but the giant will not be charging late fees, which made up $70 million in revenue for Afterpay in 2020.
Apple Pay Later also offers “Apple Pay in 4” along with “Apple Pay Monthly Instalments” options.