goeasy Ltd T.GSY

Analyst Comment

[retiredcf]

https://www.bnnbloomberg.ca/video/ryan-bushell-discusses-goeasy-ltd~2515373

HOLD

goeasy(GSY-T)

05/09/2022 at 08:00pm

 

Short-term he worries about the low-end consumer, Goeasy's consumer base, who struggle with inflation. So, this could be a buying opportunity. Long-term, see how the economy and the consumer fare.

FINANCIAL SERVICES

 

Ryan Bushell

$117.890

Unknown

[Possibleidiot01]

Expanded article @cantechletter.com   Here’s why Goeasy is a problem right now By Jayson MacLean Published on September 7, 2022 Last Updated on September 7, 2022 Filed under:   All posts, Fintech Stock:   gsy Canadian fintech name Goeasy Ltd (Goeasy Stock Quote, Charts, News, Analysts, Financials TSX

[CHECKMATE77]

Gsy has gone though bad economic times before and has done not just  ok but well inc 2008 which was worse then present   

[Torontojay]

I think this is a fair assessment. I'm bullish on Goeasy over a longer time horizon. I think the stock market  has an uphill battle over the next 6-12 months as the Fed continues its rate hikes. In a recessionary environment, Goeasy will weather the storm but there will be challenges.   

[Aarman4]

I might disagree on this one....... I believe that GOEASY is more tied to the unemployment rate than anything, in particular as it effects lower income jobs. There is nothing drastic happening in the jobs market, while non discretionary costs are rising. This bodes well for an increase in loan customers for GOEASY, alongwith their expansion into the (currently overpriced) car market. We also have

[Torontojay]

I'm of the opinion that unemployment will rise over the next year or so and I think it will be around 5-6%. This will certainly impact Goeasy in the short run but they will consistently remain profitable nonetheless. If you believe unemployment will remain at current levels then we can agree to disagree. If you think the Fed is going to raise rates well into 2023 and bring down inflation back

[Defiance2050]

Majority of job gains since start of pandemic are public service jobs that won't go anywhere any time soon.  On the private side the vast majority of people are in positions that either ensure a company can operate (back office), deal with sales or are performing the services required for the company to make their revenue.  Goeasy borrowers have fixed debt and even upon refinancing

[Torontojay]

The biggest reason for inflation is the increase in the money supply. You have cheap money flooding the market after the pandemic hit and people went out to buy houses and things that were more interest rate sensitive due to ridiculously low interest rates. The M2 money supply increased over 40% since February 2020 which almost perfectly corresponds to the home appreciation values since that time.

[Aarman4]

What I meant to say was not that unemployment levels will remain static, but that I do not believe they will rise to problematic levels that would impact it slow goeasy in any way. For me, 5-7% is not very concerning, but I've been wrong before, and could be again ;-) Cheers!