Adyen

Adyen

09 October 2018Reading time: 3 minutes

Adyen is a Dutch payment company with an online platform, where billions of payments are being processed. In the Netherlands companies such as Coolblue, Bijenkorf and Rituals are using the platform, while international companies such as Ebay, Facebook and Uber are also Adyen’s customers. Ebay became a customer after an equity interest of 5 percent in Adyen was offered in prospect.

Adyen has several large worldwide competitors such as Worldpay, Visa, PayPal, Wirecard and Stripe. The latter recently made the news with a new round of investments where it raised 245 million dollar, therefore the American company now has a market value of 20 billion dollar. Just like Adyen, these companies also experience a turbulent growth.

On June 13th Adyen got a listing on the Amsterdam stock exchange with an introduction price of 240 euro per share. It was the largest IPO in Amsterdam since ABN AMRO and the largest IPO of a technology company in Europe. That same day the stock price of Adyen closed almost 90 percent higher at 455 euro.

By the end of August Adyen presented their results in public for the first time. The total number of payments over the first half-year of 2018 grew with 43,1 percent compared to a year ago, which means that more than 70 billion payments were processed. The revenue increased with 67,3 percent on an annual basis to 156,4 million euro, while the ebitda over the same period grew 83,1 percent to 70,3 million euro. Adyen expects a revenue increase of at least 40 percent for the whole of 2018. However the future development remains to be ssen. It is a positive fact that Adyen was promoted on September 24th by Euronext to the Midkap. This is mainly due to the revaluation by Euronext which happens on a quarterly basis. Because of the promotion, for example index investors who follow the AMX have to invest in the share for their investment portfolio which could support the stock price. Also the prospects for the market are still looking up.

A negative development is that early investors have recently reduced their interest in Adyen. They sold for a total of 2,5 million of Adyen shares to institutional investors, which comes down to 7 percent of all the outstanding shares of the company. It remains to be seen if more shares will be sold in the following period.

Since the IPO, the stock price of Adyen has risen further to a provisional all-time-high of 758,90 euro on September 12th. At this moment (October 3th) the stock price is slightly lower at approximately 700 euro, which is still way above the introduction price.

The future price of Adyen index is subject to several political, industrial and sector specific as well as economic factors. Investors should consider such risk when making their investment decisions. Developments can be different at any time than investors expect, which can result in capital losses.

Vontobel products on Adyen are tradable at DEGIRO.



Important legal information:

This information does not constitute a financial analysis, but product advertisement. Thus it does not meet the legal requirements to ensure the impartiality of financial analysis and is not subject to trade prohibition before the publication of a financial analysis.

Fordetailed information, particularly regarding the structure and the risks associated with an investment in the derivative financial instruments, prospective investors should read the Base Prospectus, which is available together with the Final Terms and any supplement to the Base Prospectus in electronic form on the issuer’s website: http://beursproducten.vontobel.com. Additionally, the Base Prospectus, anysupplements to the Base Prospectus and the Final Terms are available inprinted form, free of charge, at the registered office of the issuer: Vontobel Europe AG, Bockenheimer Landstrasse 24, 60323
Frankfurt am Main, Germany.


Investors should consider the applicable selling restrictions.
Companies of the Vontobel group may directly or indirectly pay commissions in varying amounts to third parties (e.g. brokers) in connection with the public offer and the distribution of the derivative financial instruments. Further information is available upon request from your distribution partner.

 

17/06/2019 15:12:27