In early trade the Afterpay Touch Group Ltd (ASX: APT) share price has climbed 6% to $4.40.
This brings the year-to-date return for the payment solutions company's shares to a massive 63%.
Why are its shares higher today?
This morning Afterpay announced that it has partnered with Target, operated by Wesfarmers Ltd (ASX: WES), to offer its buy now pay later service to customers of the retailer's online store.
According to the release, later this month Afterpay will be available on target.com.au for online purchases and click and collect in store.
This is the second major agreement the company has signed in as many weeks following the deal with Jetstar on September 13.
It is also the second Wesfarmers brand to offer the service after the company signed an agreement with Officeworks in April. No doubt management now has its eye on the coveted Kmart brand.
Should you invest?
While I do feel that Afterpay's shares are expensive, I think there is every chance the company will deliver the explosive growth that has been priced into its shares.
After all, the company is fast becoming a favourite with millennial shoppers. This in turn has put it in a powerful position with retailers wanting to reach these shoppers.
So much so, I think that the deals with Jetstar and Kmart are just two of many that will be signed in the coming months.
This could arguably make it a great long-term buy and hold investment option.
