GigaCloud Technology Inc. (GCT): A Bull Case Theory 

We came across a bullish thesis on GigaCloud Technology Inc. on Value investing subreddit by MilkshakeBoy78. In this article, we will summarize the bulls’ thesis on GCT. GigaCloud Technology Inc.’s share was trading at $37.10 as of November 28th. GCT’s trailing and forward P/E were 11.21 and 10.60 respectively according to Yahoo Finance.

GigaCloud Technology Inc (GCT) is a leading provider of global B2B technology solutions for large-parcel merchandise, operating a comprehensive platform called the GigaCloud Marketplace that integrates discovery, payments, and logistics. The company connects manufacturers, mainly in Asia, with resellers across the U.S., Europe, and Asia, enabling seamless cross-border transactions from warehouse to doorstep at a fixed price.

Since its 2019 launch, GCT has expanded beyond furniture into home appliances and fitness equipment, while its workforce and product sourcing remain predominantly China-based. GCT’s original logistics-focused business has evolved into its B2B platform, with its primary B2B marketplace now resembling Alibaba’s early model, and its B2C operations selling Merax-branded products across Amazon, Walmart, Wayfair, and newer platforms. The U.S. remains its largest market, followed by Germany, the U.K., Japan, and Canada.

Q3 results highlighted strong execution, with 10% year-over-year sales growth and a major EPS beat, driven by European expansion and robust balance sheet metrics, including zero long-term debt and ample cash reserves. GCT has pursued strategic acquisitions—New Classic, Noble House Home Furnishings, and Apexis/Wondersign—to diversify supply chains, expand warehouse infrastructure, and enhance digital capabilities. European expansion is supported by a new fulfillment center in Germany, bringing the total to six facilities in the country and 39 globally.

The launch of the Wonder App, adopted by Ashley Furniture Industries, strengthens supplier-retailer connections and enhances omni-channel sales. The company also authorized a $111 million share repurchase program, reinforcing shareholder value. While insider selling and auditor scrutiny present minor risks, GCT’s attractive P/E, diversified growth strategy, and technological innovations position it for continued market share gains and value creation, making it a compelling investment in global B2B and digital commerce.

Previously we covered a bullish thesis on GigaCloud Technology Inc. (GCT) by Hidden Market Gems in April 2025, highlighting its B2B Marketplace, diversified revenue, and strong balance sheet supporting growth. The stock has appreciated 169.42% since coverage as the thesis played out. The thesis still stands with ongoing expansion and acquisitions. MilkshakeBoy78 shares a similar view but emphasizes Q3 results, European expansion, and the Wonder App as new catalysts.

GigaCloud Technology Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 9 hedge fund portfolios held GCT at the end of the second quarter which was 10 in the previous quarter. While we acknowledge the risk and potential of GCT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than GCT and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.