Putting a Stamp on E-Commerce

December 27, 2017
Updated 6mo ago

Seeking Alpha Author Robert Maltbie joins Cheddar to discuss his "buy" rating on Stamps.com. Projections for an above-average Christmas shopping season and e-commerce participation benefitted this company immensely. Maltbie puts a $250 price target on the company.

Stamps.com's strategy to emphasize marketing initiatives this year boosted results well above Maltbie's prior expectations. Last quarter, revenue was $116.1 million, up 38% compared to a year ago 2016. Mailing and shipping revenue was $111.8 million, up 37% year-over-year.

Maltbie talks about Stamps.com's partnerships with Amazon Marketplace and USPS. He discusses some challenges for the company and what his expectations are for 2018.