SYDNEY, June 10, 2026, 02:04 AEST
Zip Co Ltd ended Tuesday as the strongest name on the S&P/ASX 200, with market data showing the buy now, pay later company up 5.88% at A$2.52 after trading between A$2.27 and A$2.58 on volume of about 19.3 million shares. Zip’s investor page also showed a A$2.52 share price as at 18:59 on June 9.
The move came before Wednesday’s open in Sydney. ASX cash-market normal trading runs from 09:59:45 to 16:00 Sydney time, and the market was closed at the dateline.
The timing matters. Tuesday was the first full ASX session after the King’s Birthday holiday on Monday, and Zip rose even as the broader market finished lower. ASX’s 2026 calendar listed June 8 as closed for the holiday; Investing.com said the S&P/ASX 200 lost 0.24% at Tuesday’s Sydney close, with losses led by gold, metals and mining, and materials stocks.
There was no obvious new earnings release driving the move. Zip’s investor site listed its latest ASX notices as June 5 and June 4 updates to its buyback, leaving investors to mark up the existing capital return and April earnings guidance rather than a fresh trading statement.
The buyback is still central to the trade. Zip’s June 5 Appendix 3C showed it bought back 842,465 shares on June 4 for about A$1.97 million, after buying 16.5 million shares before that day; the same notice referred to an on-market buyback of up to A$50 million. An on-market buyback means the company repurchases its own shares through the exchange, which can reduce the share count and add a company buyer to the market when active.
The earnings story is why the buyback has had more bite. In April, Zip reported third-quarter cash EBTDA — cash earnings before tax, depreciation and amortisation — of A$65.1 million, up 41.5% from a year earlier. Total transaction volume, meaning the value of purchases processed through the platform, rose 22.4% to A$4.0 billion, while total income increased 20.2% to A$335.2 million.
Zip also lifted FY26 group cash EBTDA guidance to no less than A$260 million and said U.S. total transaction volume growth should be greater than 40% in U.S. dollars. Chief Executive Cynthia Scott said the company was delivering “increased profitability at scale” and cited “disciplined execution” across its markets.
Competition remains a live test. Zip competes in Australia with Block-owned Afterpay, Humm and smaller providers, while the U.S. field includes Affirm, Klarna and Afterpay, according to sector commentary from Kalkine; that makes margin expansion and credit control more important than top-line growth alone.
A recent legal overhang has also eased. Zip said on May 21 it had settled with Firstmac and would continue using the Zip brand in Australia, adding that the settlement amount was not material to the group and did not affect FY26 guidance.
But the risk case is still plain. Zip’s April update showed group net bad debts at 1.9% of total transaction volume, up from 1.6% a year earlier, and the company’s outlook was subject to market conditions. If U.S. consumer stress or funding costs push credit losses higher, the buyback may not be enough to hold the rerating.
The next scheduled hard number is not immediate. Zip lists its FY26 results for Thursday, Aug. 20, so the market has to trade for now on buyback notices, broader risk appetite and whether the stock can keep support above A$2.50 after Tuesday’s jump.
