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Allegro on the stock exchange - How to buy Allegro shares? [Guide]
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Allegro on the stock exchange - How to buy Allegro shares? [Guide]

created Alice NowakSEPTEMBER 19, 2020

Allegro Group, consisting of the Allegro, Ceneo and OtoMoto portals, is the largest company in Poland in terms of revenues from online activities. The services of Allegro.pl are used by as many as 65% of Polish internet users, and every month the Allegro website is visited by over 17 million users. During its debut on the Warsaw Stock Exchange, Allegro achieved a capitalization greater than any of the companies in the WIG20 index, thus becoming one of the top 20 companies just a few days after the first listing. How can we buy Allegro shares? We check.

Chart - Allegro shares


Basic information about Allegro

Logo Allegro logo
Name Allegro.pl Sp. z o. o
Headquarters Poznan, Poland
creation date December 13, 1999
Stock symbol SALE
trade E-commerce
Capitalization PLN 80 billion
Dividend -
Web page https://allegro.pl

The history of the creation of Allegro

The inspiration for the creation of the allegro.pl portal was the success of the American auction site eBay. Allegro was created and programmed by Tomasz Dudziak and Surf Stop Shop sp. Z oo with its seat in Poznań.

The website was acquired in 2000 by QLX.com PLC for $ 75. The great success of Allegro.pl made it possible to take over e-commerce websites such as Ceneo or OtoMoto.

In 2008, the Allegro group was bought by Naspers, a South African media concern that also acquired Gadu-Gadu in the same year. In the meantime, the Allegro Group included the wykop.pl social portal and the bankier.pl portal, but they were sold from the Allegro Group.

Currently Allegro belongs to the consortium of investment funds Cinven, Permira and Mid Europa Partners and uses the name Allegro.pl sp. Z oo


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Allegro headquarters

Allegro company started its activity in the basement of a computer hardware wholesaler. The company, along with the rapid development, often changed seats, moving to more and more new office buildings.

In 2011, due to the dynamic development of the company, work began on the construction of a headquarters for the Allegro Group. The contractor was Budimex, and the author of the project was the JEMS studio. As a result of this cooperation, an office building called Pixel was created at ul. Grunwaldzka 182 in Poznań.

The office building received the Jan Baptista Quadro architectural award, and the interior design elements were purchased, of course, on allegro.pl. Pixel is designed as a place to work for a thousand people and is characterized by unconventional design, eco-friendliness and warmth. There is also a kindergarten in the building.

shares Allegro pixel headquarters

Allegro activities abroad

Allegro tried its hand abroad by creating websites under the name Allegro in Belarus, Germany, Kazakhstan and Serbia, Aukro in Bulgaria, Romania, Slovakia, Ukraine and the Czech Republic, Osta in Estonia, Molotok in Russia and TeszVesz in Hungary.

Most of these portals have been sold or suspended, the only still functioning foreign allegro portal is Aukro.cz, operating on the Czech market.

Websites that once belonged to Allegro

Allegro used to have many well-known websites in its group. These included advertising and sales portals such as Oferia (currently owned by Leroy Merlin Polska), Cokupic, Citeam, AlleWakacje, AllePrezenty and Agito.pl. Allegro also had the Pit.pl and Vat.pl tax portals (currently owned by Bonnier Business Polska), the PayU online payment platform and the Bankier.pl portal, which was bought from Allegro by Puls Biznesu.

Allegro debut on the stock exchange

Allegro debuted on the WSE on Monday, October 12, 2020. The shares were valued at PLN 43 and on the first day on the stock exchange they rose by 51%, reaching the price of PLN 65. The demand for and interest in the shares was very high, both from individual and institutional investors. Already at the time of the debut, Allegro's capitalization was greater than that of the largest WIG20 company - CD Projekt SA. Due to the high turnover and the dynamic increase in capitalization, it is currently speculated that Allegro may be included in the WIG20 index in the first week of its presence on the stock exchange. So far, a similar situation took place after the stock exchange debut of PZU.

How to invest in Allegro shares

Traditional actions

Allegro shares can be purchased through brokerage houses on the Warsaw Stock Exchange. To do this, open a brokerage account in any bank and find shares with the symbol SALE (Allegro.eu).

CFD

You can also purchase contracts for exchange differences (CFD) based on Allegro shares Forex brokers. CFDs use financial leverage and offer the opportunity to earn both on price increases (long / long) and on price drops (short / short). Among Polish brokers, CFDs on Allegro shares currently only offer X-Trade Brokers.

Broker xtb 2
End Poland
Shares on offer approx. 3500 - shares
approx. 2000 - CFDs on stocks
16 exchanges
Min. Deposit PLN 0
(recommended minimum PLN 2000)
Platform xStation

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. From 74% to 89% of retail investor accounts record monetary losses as a result of trading CFDs. Think about whether you understand how CFDs work and whether you can afford the high risk of losing your money.

Traditional shares and CFDs

How to buy Allegro shares, i.e. which instrument is better - traditional stocks or CFDs? It all depends on our expectations, strategy and the time perspective of the planned investment.

Traditional actions CFD per share
Investment time horizon long short
Financial leverage None max. 1: 5 (depends on value)
Swap points None so
Possibility of playing for declines nie so

If we believe that the share price will increase in the long term, then traditional stocks certainly seem to be a better choice - we do not use financial leverage here and therefore, if we are successful, we earn less, but at the same time risk less and bear no costs due to fees holding positions (swap points).

In the short term, CFDs allow you to maximize your profit thanks to leverage, even if there is low volatility in the market and the fees are generally higher. In addition, we have the option of betting on price drops.

Futures contracts

Allegro stock futures contracts appeared only a week after the debut. On October 20, the Polish Stock Exchange announced the introduction of futures contracts with the marking to the offer #Waves. At the same time, there are three series of contracts that expire every 3 months (compared to the previous series).

This article is for information only. It is not a recommendation and is not intended to encourage anyone to undertake any investment activities. Remember that every investment is risky. Do not invest money you cannot afford to lose.
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About the Author
Alice Nowak
An active trader on an individual Forex account since 2014, keenly interested in the subject of economy, business and capital markets. For over 10 years closely associated with the world of IT and new technologies, programmer, internet marketing enthusiast. Enthusiast of spending time outdoors surrounded by nature and greenery or practicing yoga.
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