Director, RaaS Research Group, Research as a Service (RaaS)

Research as a Service (RaaS)

Director, RaaS Research Group

Insightful Financial Models and Research Analysis

Connect to the right investors through smart and insightful financial models and research analysis.

Equity Bottom-Up

<div>
<table class="table table-striped">
<tbody>
<tr>
<td>
<div>
<p><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank"></a><a target="_blank">Wisr Limited (ASX:WZR) is an online consumer lending platform focused on financial wellness and competing in the rapidly growing non-bank consumer lending sector. On March 17, the company provided a business update, noting that this quarter to March 13, it had written $31.6m loans with an average credit score of 706. The update follows approval by its shareholders last Friday of tranche 2 of a $36.5m funding package, to accelerate its growth plans. Wisr also recently announced its H1 FY20 results which reflected significant increases in investment in staff and branding. We have incorporated these results into our forecasts, using the first half cost base as our base going forward, notwithstanding the company’s ability to vary marketing spend. We have also changed the way we model Wisr’s loan margin, previously incorporating a net margin at the revenue line. Our base case DCF valuation for WZR is $0.30/share (WACC 14.0%, terminal value 2.0%), with the terminal value in year 10 is $0.19/share. Our valuation and forecasts are predicated on NAB extending the warehouse facility beyond the initial $200m. In our view, Wisr is well capitalised and funded to accelerate its high-quality loan book, and demonstration of this should lead to share price appreciation.</a></p>
</div>
</td>
</tr>
</tbody>
</table>
</div>







Wisr Limited (ASX:WZR) is an online consumer lending platform focused on financial wellness and competing in the rapidly growing non-bank consumer lending sector. On March 17, the company provided a business update, noting that this quarter to March 13, it had written $31.6m loans with an average credit score of 706. The update follows approval by its shareholders last Friday of tranche 2 of a $36.5m funding package, to accelerate its growth plans. Wisr also recently announced its H1 FY20 results which reflected significant increases in investment in staff and branding. We have incorporated these results into our forecasts, using the first half cost base as our base going forward, notwithstanding the company’s ability to vary marketing spend. We have also changed the way we model Wisr’s loan margin, previously incorporating a net margin at the revenue line. Our base case DCF valuation for WZR is $0.30/share (WACC 14.0%, terminal value 2.0%), with the terminal value in year 10 is $0.19/share. Our valuation and forecasts are predicated on NAB extending the warehouse facility beyond the initial $200m. In our view, Wisr is well capitalised and funded to accelerate its high-quality loan book, and demonstration of this should lead to share price appreciation.







Wisr (ASX:WZR) Money Banked, Primed to Grow

Australia

Wisr Limited provides personal and business lending services. The Company offers secured and unsecured personal loans for various purposes including debt consolidation, buying a new and used vehicles, home furnishings, renovations, travel, and wedding. Wisr serves customers in Australia.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Wisr (WZR AU)

Wisr (ASX:WZR) Money Banked, Primed to Grow

Wisr Limited (ASX:WZR) is an online consumer lending platform focused on financial wellness and competing in the rapidly growing non-bank...

Research as a Service (RaaS)

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)