A recent de rating in the share price of Trade Me has created a buying opportunity according to Tom Richardson, Research Analyst at Watermark Funds Management

A recent de rating in the share price of Trade Me has created a buying opportunity according to Tom Richardson, Research Analyst at Watermark Funds Management. Trade Me is the New Zealand equivalent of EBay and after a number of years of strong growth in its core traded goods division the Company appears to have fully penetrated that market. The opportunity that Richardson sees is in new areas such as classifieds - not dissimilar to the models of REA and Carsales here in Australia. Trade Me is a brand held very close to the hearts of the Kiwis and Richardson expects the business to make good headway in these new verticals. Compared to local industrials Trade Me is trading at lower levels and Richardson believes the Company is far superior in terms of underlying quality. He expects good growth and cash generation in the years ahead. Full stock review here: