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Tech that and rally: Simon Thompson spies further upside

New developments have prompted Simon to raise the target price for the company in his latest Alpha report by 40 per cent.
Tech that and rally: Simon Thompson spies further upside

I was clearly not the only one taking an interest in Afterpay Touch (APT:ASX), a A$11.3bn (£5.9bn) market capitalisation technology group that has developed and rolled out an interest-free point-of-sale retail consumer brand ‘Pay Later’ in Australia, New Zealand and, latterly, North America.

Subsequent to the publication of my April Alpha Report on Aim-traded ThinkSmart (TSL:20p), a company that is part-owner with Afterpay of ‘ClearPay’, a UK payment platform that enables consumers to split the cost of their retail purchases into more manageable interest-free payments, technology giant Tencent (700:HK) disclosed in regulatory filings to the Australian Stock Exchange that it has built up a 5 per cent stake in Afterpay.

Tencent is a HK$4 trillion (£435bn) market capitalisation company listed on the Hong Kong Stock Exchange that processes around 1bn of payment transactions every day. The news has sent shares in Afterpay up 55 per cent to an all-time high in the last six trading days.

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