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Afterpay (ASX:APT) became the 16th biggest company on the ASX today overtaking Coles (ASX:COL).

Here’s what you need to know about their financial year results.

Well their report card was indeed better than expected.

Earnings (EBITDA) came in at $44.4 million in the full year, stronger than the $43 million expected.

Broadly their results confirmed that they are the leader of the by now pay later (BNPL) sector here in Australia and that they’re continuing to expand and cement themselves in the U.S., UK and in Europe.

So why were the results so strong?

Well active customers more than doubled in the year rising to 9.9 million exceeding Afterpay’s target thanks to success in the U.S. and the UK stronger than expected with their customers reaching 5.6 million and 1 million respectively in the U.S. and the UK.

Across the globe, 21,000 new customers per day use Afterpay from April to June, right in the thick of the pandemic despite lockdowns.

Now this helped Afterpay’s global sales swell 112% rising to $11.1 billion and that puts Afterpay on pace to generate about $15 billion per year in sales and that’s based on fourth quarter trading.

Afterpay’s loss decreased as expected which is good news.

Their total cash increased almost 500% to $1.4 billion. But what was a little bit disappointing was we didn’t see any plans unraveled for Asia or China growth or any details about their partnership with Tencent.

Despite that, all in all a very positive result, which is why its shares surged to a new all-time high on the day that their results came out rising to 95% $97.

So is Afterpay a buy now?

Well the market is indeed waiting for further clarity about expansion into new markets, particularly in Asia.

Afterpay is currently a buy for Bell Potter, Morgan Stanley and Ord Minnett.

It is a UBS sell though.

Morgan Stanley sees that there being a 20% chance that APT could rise to $242.80 if uptake in Canada takes off as rapidly as it did in Australia and if U.S. in-store adoption continues and of course if APT lands into the Asian region and cements its partnership with Tencent.

On the other side, if its expansion into Canada dies and if for whatever reason online shopping is completely scrapped, Morgan Stanley says that there’s a 20% chance that their shares could fall from where they are now.

But *Bell Potter* thinks there’s further upside in APT shares.