- BUY Entry – 7.79 Target – 8.80 Stop Loss – 7.32
- iFast provides investment solutions to financial advisers, financial institutions, insurance companies, pension fund managers, retail and accredited investors, and multinational companies. The company’s investment platform offers a wide selection of investment products from many different product manufacturers into one consolidated portfolio.
- Growing assets under administration (AUA). iFast’s AUA continued to register new record levels, reaching S$18.4bn as at 30 September 2021, a growth of 46% YoY and 27% year-to-date. The AUA of unit trusts, its key investment asset class, grew to a record S$13.5bn, a growth of 40% YoY and 24% year-to-date.
- Big hairy audacious goal. The group has set an AUA target of S$100bn by 2028 as it accelerates growth in HK, pursues more financial licenses in different jurisdictions, and makes more progress towards being a top Fintech wealth management player with a global business model. Reaching the S$100bn AUA target would imply a 27% CAGR from its current AUA of S$18.4bn.
- Positive consensus view. There are 4 BUYS / 1 HOLD / 1 SELL and a 12m average target price of S$10.32, implying a 33% upside potential from last close. EPS is forecasted to grow 54% YoY in FY21 and 25% YoY in FY22, bringing down forward P/Es to 65x and 52x.
iFast’s Assets under Administration growth has exploded since the pandemic began