Trade Me has performed well since we upgraded the stock just over two years ago. Australian shareholders have received a total return of 32% (including dividends) over the period and we remain confident about the company’s future.
That said, the stock is less attractive at current prices and is now well above our $4.00 buy limit. The story is unfolding as expected so far, although we’d love another opportunity to buy. For now we’re downgrading to HOLD.