The Afterpay Ltd (ASX: APT) share price has rocketed 93% higher since the start of the year to $56.52.
That would be impressive growth at the best of times, let alone after a steep bear market. Afterpay shares slumped as low as $8.01 before rocketing more than 600% higher in the last three months.
It's been a wild ride for long-term Afterpay shareholders in recent years. In fact, the Afterpay share price was trading at just $2.95 in June 2017.
But could Afterpay repeat the trick and double again in 2020?
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Why the Afterpay share price could surge higher
It's fair to say investors panicked as coronavirus restrictions took hold in February. Shares in the buy now, pay later company plummeted lower before rocketing even higher than where they started.
Afterpay has a $15.1 billion market capitalisation right now. This means the Aussie payments company could leapfrog into the ASX 50 by the end of the year.
$100 per share seems like a long way from the current Afterpay share price of $56.52. However, Afterpay has proven time and again that it can deliver strong growth to shareholders.
The group's retail merchant networks continue to grow and bad debts are staying low. Successful expansions into the United States and the United Kingdom have also been strong growth factors.
But there's no such thing as a sure thing in ASX shares, particularly in this market. I'm expecting there to be more volatility on the way, especially as government stimulus measures are wound back.
If we see another strong earnings result, then the Afterpay share price could surge towards $100 per share. However, any slight wobble could send the company's shares into another slump.
Foolish takeaway
The Afterpay share price has already delivered strong returns for long-term shareholders. But now it's always a question of, 'is it too late to buy?'.
I think there's still strong growth potential for Afterpay despite increasing competition at home and abroad.
I wouldn't say $56.52 per share is a cheap buy, but if earnings continue to grow then who knows how high it could go.
