thredUP Co-Founder & CEO James Reinhart speaks onstage during TechCrunch Disrupt San Francisco 2019 at Moscone Convention Center on October 02, 2019 in San Francisco, California.
Kimberly White | Getty Images Entertainment | Getty Images
The booming re-sale fashion market has a clear leader in ThredUp, Barclays said in a note on Tuesday.
The firm initiated coverage of the stock with an overweight rating, comparing the company’s business model and market-position to the early days of Amazon.
“TDUP is a leading mass-market player in the rapidly growing apparel and accessories resale e-commerce space,” the note said. “Its business model built around proprietary logistics infrastructure and razor-thin contribution profit per item reminds us of Amazon in the early days, when heavy upfront investments assured high customer service levels and retention.”