Why are Afterpay shares falling?

The stock closed over 4% lower to kickstart the week.

  • Afterpay (ASX: APT) share price closed 4% lower on Monday (11 October)
  • The buy now, pay later (BNPL) stock has received a rating of ‘buy’ from 11 out of 18 analysts
  • Shares rallied at the end of last month of the back of two new announcements
  • Keen to take advantage of Afterpay’s falling share price? Open an account with us to short the stock now.

Afterpay stock price analysis: what’s the latest?

Afterpay shares fell as much as 4.33% on Monday, as stocks lowered on the back of weaker-than-expected US jobs data for the month of September.

Shares hit an intraday low of A$117.66, before closing at A$117.87 a share.

The S&P/ASX 200 was down by nearly one percentage point during the morning session, mirroring Wall Street’s softer finish last Friday.

The US Labour Department’s non-farm payrolls report showed that jobs growth slowed to its lowest in September 2021, amid worker shortages.

The BNPL stock, which is down nearly 5% in the last one month, has a majority rating of ‘buy’ from 11 out of 18 brokers, based on the latest analyst data published by Market Index.

Analysts also gave an average price target of A$118.82 on APT, which represents a slight upside potential from Monday’s closing price.

Read more: Beginner’s guide to day trading

Why did APT shares rise at the end of last month?

Last month, APT shares rose sharply after its money and lifestyle app, called Money by Afterpay (Money), launched a new feature called Afterpay Retro.

Afterpay Retro allows customers to retrospectively create a pay-in-4 from any eligible Money debit transaction.

The self-proclaimed ‘world-first’ feature can be used by customers for up to A$200 of their Afterpay overall available-to-spend amount - from any eligible retailer regardless of whether they usually accept Afterpay.

For example, customers with an Afterpay spending limit of A$1,000 can use up to A$200 for Retro purchases and the remaining A$800 for any other BNPL purchases if they choose to do so.

As part of the Money by Afterpay offering, all Retro purchases follow Afterpay’s No Payment Up Front format, meaning the first payment is due two weeks after the purchase date.

The APT counter also rallied after it announced a new partnership with US e-commerce platform, Fashion Nova. Customers of Fashion Nova now have the option to pay with Afterpay at checkout in four interest-free installments.

Feeling bearish or bullish about Afterpay shares?

Take your position on Afterpay and over 13,000 Australian and international shares via CFDs and trade it all seamlessly from one account.

Learn more about share CFDs or share trading with us, or open an account to get started today.

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

Please see important Research Disclaimer.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.


Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.