ContextLogic (WISH -9.19%) has become somewhat of a meme stock lately, but it's important for investors to understand that the underlying business, the Wish e-commerce marketplace, is a very real business. In this Fool Live video clip, recorded on June 25, Fool.com contributor Matt Frankel, CFP, and Chief Growth Officer Anand Chokkavelu discuss ContextLogic's business and whether it might be worth a closer look.
Anand Chokkavelu: Next one up is also me, it's ContextLogic with the ticker symbol WISH. This is a fairly new IPO, it's from December 2020. It's been a bit of a rollercoaster over this past six months or so though that overall trend is generally down. ContextLogic owns the Wish mobile e-commerce platform, that's why its ticker symbol is WISH. Its largest market is actually Europe, but the U.S. is right behind it and growing a bit faster so it's catching up. How it differentiates itself from all the other e-commerce platforms out there, it's discovery-based and goes for, "Highly visual, entertaining and personalized shopping experience." Basically, you get that treasure hunt feeling that Costco (COST -1.12%) goes for or like a TJ Maxx (TJX -1.54%). Why should we believe them? At least a bit. Well, they're close to three billion dollars in sales and their market cap is nine billion dollars so that sales supports that, shows that they have some traction. There are only guiding the 2%-4% growth in this current quarter, but they have been growing quite a bit. They grew 34% in 2020 and in the first quarter of this year, they grew 75% in terms of their sales, including 37% percent from that marketplace we were talking about and 338% in its Amazon (AMZN -1.13%)-like logistics business. So bottom line, as a fan of e-commerce myself, it's an interesting one. I will certainly be diving deeper, believe it or not, this was my number one of all these stocks so that's the last of the tied for the three ones. Let's go to the two companies that are tied for number one. Let's start with Matt's, the one that Matt's going to explain, which is Clover Health (NASDAQ: CLOV), CLOV.
Matt Frankel: Yeah, and just to piggyback on that, I'm going to need to dig into ContextLogic a little bit more. The wish.com platform, while you were talking, I was looking at one of their things, it said they're the most downloaded shopping app in the world for the past three years. It's pretty impressive, 500 million, I think, customers altogether.