MANILA, Philippines — The final offer price of Mynt’s initial public offering (IPO) gives investors a cheaper entry into GCash while its sustained profitability provides a basis for assessing its longer-term value, investment analyst Eric Jurado said.
Mynt, the parent company of GCash, priced its IPO at P6.60 per share, well below the previously disclosed maximum offer price of P10.
Jurado’s assessment draws on investment principles associated with the late Charlie Munger, the longtime business partner of Warren Buffett and vice chairman of Berkshire Hathaway, who placed importance on business quality, profitability and a company’s ability to generate earnings over the long term.
Under this principle, the price paid is important but the longer-term result will depend on the earning power of the business acquired at that price.
Jurado said the lower starting price should be assessed alongside Mynt’s ability to consistently generate returns, rather than on the basis of how the shares perform immediately after listing.
One key measure is Mynt’s return on equity (ROE), which indicates how effectively a company generates earnings from shareholders’ capital.
Figures cited in Mynt’s prospectus showed an ROE of 25.8 percent in 2023, 32.8 percent in 2024, 32.1 percent in 2025 and 26.8 percent for the 12 months ended June 2026.
The figures represent an average ROE of about 29.4 percent over the periods cited, with Mynt maintaining returns above 25 percent in each period.
For Mynt investors, the key question is whether the company can sustain its earnings and effectively reinvest capital as it expands its financial services business.
The P6.60 IPO price provides an attractive entry point from the P10 maximum offer price initially disclosed by the company. However, the lower price by itself does not establish that Mynt is undervalued.
The longer-term value of the investment will depend on the company’s ability to maintain profitability, grow earnings and generate sufficient returns from the capital raised from shareholders.
Mynt enters the public market with a large customer base. GCash reported 41.5 million monthly active users as of June 2026, providing the company with an established platform for expanding its financial services.
From its core payments business, GCash has expanded into savings, credit, loans, insurance and investments, allowing Mynt to offer more products to its existing users and broaden its revenue sources.
The size of its user base provides an advantage, but sustained user growth alone will not determine shareholder returns.
Mynt will also have to convert its customer reach into recurring revenues and profits while managing competition, credit risks, regulatory requirements and other challenges facing digital financial services companies.
The consistency of its ROE is therefore significant for investors assessing whether Mynt’s profitability is structural rather than dependent on a single exceptionally strong period.
For investors, the focus after the IPO should consequently shift from the stock’s initial trading performance to Mynt’s ability to deliver sustainable earnings and attractive returns on shareholder capital.
