When it comes to Australian retail shares more often than not the likes of Harvey Norman Holdings Limited (ASX: HVN) and JB Hi-Fi Limited (ASX: JBH) will spring to mind for many investors. This is hardly a surprise, after all both are high quality companies which have been producing staggering earnings growth in recent times.

But there is one retail share which doesn’t get as much attention, which I believe investors should be considering an investment in. That is online retailer Kogan.com Ltd (ASX: KGN).

Since listing on the Australian Stock Exchange its shares have thoroughly underwhelmed. As of yesterday’s close Kogan’s shares were still changing hands 6% lower than their $1.80 IPO price.

Perhaps the most surprising part of this is the fact that the company recently announced full year results which beat its prospectus forecasts. Revenue came in 5% higher than forecast at $211.2 million, EBITDA a massive 37.9% higher at $4 million, and net profit after tax a staggering 103% higher at $800,000.

According to the Australian the initial public offering was four times oversubscribed by fund managers. With such strong demand for its shares at $1.80, it is surprising to find its shares languishing 6% lower than that price today despite its strong performance.

Personally, I think it is only a matter of time before the market sees what a bargain Kogan’s shares are today. Thankfully I’m not the only one that sees them in this way. In July global investment bank Canaccord Genuity revealed it had initiated coverage on the online retailer with a buy rating and a $2.16 price target.

That price target implies potential upside of around 28% from the last close price. Which makes it an attractive investment option in my opinion.

With market research company Euromonitor estimating that the Australian online retail market will grow at a compound annual rate of 11.5% until 2019, the company certainly is positioned well to deliver solid earnings grow for years to come.

As long as Amazon doesn’t decide to open up a local online store in Australia, I feel Kogan would be a great buy and hold investment with potentially stronger returns than even Harvey Norman and JB Hi-Fi.

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Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.