Jumia Technologies is a pan-African technological and e-commerce company and one of the top e-commerce providers in Africa. This year, Jumia share price had a disappointing run on the stock market, with prices falling by 4.96%.
However, Jumia is headstrong in their strategic plan to stabilize and expand the business and expects a great recovery for 2025.
Below, we discuss Jumia’s share price, stock forecast, and investment options in Jumia Technologies.
Jumia Share Price Data (NYSE:JMIA) in 2024
Jumia is an African-based e-commerce company listed as JMIA on the New York Stock Exchange (NYSE:JMIA). This year, the company has had quite a controversial run in the stock market.
As of writing, Jumia has a market capitalization of USD 445.765 million, roughly ZAR 8.05 billion.
Jumia’s 52-week price range is USD 2.77 – 15.02. The huge gap is attributed to the disappointing third-quarter earnings report that was recently released.
Meanwhile, the company has yet to announce a dividend to its investors.
Please refer to the share price data below.
| Market capitalization | USD 445.765 M |
|---|---|
| Price range | 2.77 – 15.02 |
| EPS-TTM | -0.82% |
| Dividend Yield | 0.00 |
| Outstanding shares | 122.463 M |
| 1-year return | 14.47% |
Jumia Technologies financials
Jumia Technologies’ earnings call for the third quarter of 2024 had mixed results.
Positively, the company saw active customers increase by 1% to 2 million while physical orders increased by 5%, mainly driven by Nigerian and Egyptian markets.
Jumia Technologies’ gross profit also rose by 3% to $22.9 million.
CEO Francis Dufay admits that this improvement is “not spectacular. ” However, this is the first time that active customers have grown in two years (customers who make another purchase within three months of their last purchase are considered active), and Dufay considers this a milestone that crosses the line from negative to positive.
However, revenue dropped by 13%, and operating loss stood at $20.1 million, leaving Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) loss at $17 million.
Dufay had confirmed that the company was undergoing “operational adjustments and strategic realignment.”
This comes after plans to exit South Africa and Tunisia were announced, which accounted for only 2% of orders.
Jumia shares predictions and forecast
Jumia announced that they would focus on country expansion, supply management, and improving vendor experience for future growth.
Plans to expand
According to Dufay, their expansion beyond major cities has been an effective strategy. “Our upcountry expansion project is definitely working…orders outside of Abuja and Lagos, Nigeria grew 22%…[which] is pretty good news,” said Dufay.
Dufay noted that over 54% of orders come from outside of major capital cities and consider these key areas for growth.
For the upcoming year, Jumia will focus on upcountry expansion and improving its business model.
“The business model includes being the super cheap supplier of products at the right price level,” said Dufay.
Inventory Managed
Earlier in November 2024, Jumia expanded its operations with a state-of-the-art warehouse and logistics network facility in Ghana.
According to California-based stock analyst Ahan Analytics, long-time investors know that supply availability has been a difficult issue for Jumia. Therefore, improved inventory management has certainly boosted investor confidence.
Black Friday to boost sales
Black Friday, Jumia’s biggest yearly shopping event, kicked off on November 1st and will run until November 30th.
This event continues to grow in popularity across the countries that Jumia operates in, and it is expected to increase this year’s numbers.
Despite current stock declines, analysts expect Jumia to set up the upcoming year to “prove” the stability of a strong cash position and “strategic groundwork” that Jumia aims to employ until the end of this year.
What is Jumia Technologies?
Jumia Technologies is a pan-African technology and e-commerce company founded in 2012. It offers online logistics services and payment services.
The company offers a wide range of products, such as electronics, apparel, home and living, and health and beauty, as well as delivery and booking services for food, hotels, flights, and classifieds.
As of writing, Jumia Technologies has active operations in Egypt, Kenya, Morocco, and Nigeria.
Is Jumia Technologies listed on the JSE?
No, Jumia Technologies is not listed on the Johannesburg Stock Exchange (JSE). It has been listed on the New York Stock Exchange since 2019.
How to buy Jumia Technologies (NYSE:JMIA) shares
- Find a broker that offers access to the NYSE. Ensure that your broker has access to the NYSE. Most brokers have access to several stock exchanges.
- Review the broker’s trading conditions. Do your research and consult other investors about legitimate brokers. Secure your investments by avoiding brokers that could exploit your capital. ****
- Open an investment account. Register and verify your account. This gives you a convenient way to view and buy stocks via your broker’s website or trading platform.
- Select “JMIA” as the stock you want to purchase. Jumia is listed as JMIA on the New York Stock Exchange (NYSE:JMIA).
- Identify the right order. Stocks come in various order types. Your trading platform will allow you to view which orders are compatible with your broker.
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