Let's Talk About Jumia's New Partnership. It's a Game Changer.
Jumia Technologies (NYSE: JMIA), Africa's chief e-commerce company, has fallen short of market expectations in recent quarters. As a result, Jumia stock has shed 77% of its value this past year and is down 75% from its all-time high. The ongoing sell-off has me interested -- Jumia remains Africa's pacesetter in e-commerce and boasts a total addressable market of 1.4 billion consumers based on the continent's population.
I'm clearly not the only one bullish on the African growth story. United Parcel Service (NYSE: UPS), the world's premier delivery company, recently decided to join forces with Jumia in order to grow its reach on the rapidly developing continent. There are many moving parts that need to come together in order for Jumia to achieve success over the long run. Still, investors should chalk this news up as a victory, as this is just another step forward for Africa's e-commerce leader.
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