Andrada Mining acquisition elevates the miner to emerging mid-tier status. Watch the video here.
Too many in the city have fact checked this by now and it is still going up. Tell you something?
See my post this morning Saying BOE had to go 0.5%. Hope my Ocado is as accuratate 😁
I have taken a chunk of Ocado just now, looking for a run towards 650p from 556p that I paid. Story is very specific hence if wrong the times business editor might face a little visit!!
However Bloomberg article followed. Y this with Ocado which is not the same but close enough as consumer spending retail (ok tech but you know what I mean) so believe likely we will go quite big today and tomorrow, Sunday papers are going to have a field day I think
ASOS likely to have similar day very soon. Happy to wait for it without any bid
To gain credibility and get a grip on inflation I believe it must be 0.5% which might cause a reaction fall but I believe will be seen as a positive to regain control of inflation. I think 0.25% would be seen as weak and behind the curve and worse for the market
I don’t want a bid, I want free cash flow of £500m a year in 18 months with a dividend of a few % and growing profits with tight controls over profitable growing sales. This will give a share price above what any bid would be right now and is the reason a bid would be multiples of current level if it came
Personally I would be shocked if that Bloomberg article doesn’t cause a nice rise over the next week or so. It’s a survey of the very people that move markets. Go figure!
Can anyone post the Bloomberg story, don’t have access, as you say this isn’t nothing! Any interested party can’t hide this level of story!
Bid for Reiss by group with ties to ASOS, this is going higher today!!
Somebody mentioned and I have a feeling is correct that ASOS might put out statement like Next in about 4 weeks to say things are better than even the most recent trading statement. They said they were conservative and I believe they will over deliver on the under promise. Mike Ashley and his team of well healed professional hedge fund advisors told him to mop up retail shares like they are going out of fashion, he really might be many things, but he is no fool, it’s like a game of monopoly for him!
I think could be one of those very strong days that you look back on with a smile, placing price will get taken out soon as the position cash wise and forecast is stronger now, NEXT results highlight this, even thoughNext took a little market share it is not clear who from and they, like ASOS are efficient with on line, many traditional firms not so good! So ASOS likely to have done very well lot of this weather which is due to stay for some time!!
I agree, many will see a rise to £6 soon and jump as that would be great gains, but the real fun will start from there, for some life changing increases in capital. You don’t get many chances to go on huge runs, like Taylor wimpy at 15p in 2008, there are quite a few of them but hard to spot close to the bottom, which for ASOS I see as below £5.50. Now I’m in for the marathon and will see how right I am
See my post re top of inflation cycle and when clothes retail shares do well!! This is the sort of macro trade the hedge funds make. They short all the way to the top of inflation cycle and then buy the shares as inflation falls from peak. Rinse, repeat… somebody else with similar research would be good to hear if you have reached same verdict. I’m backing mine with purchase and feeling extremely confident about next 12 months now
If you look closely at the correlation between peaking inflation and retailers shares you will see why hedge funds are likely to start piling in here. They know to sell retail as inflation starts to build, but when it peaks the retail shares fly.
Don’t take my word for it, look at a graph of retail shares vs inflation!! Boom times coming folks!!
I can see Mike Ashley looking to own 20% of all the shares in retail he has recently acquired, this only bodes well for days ahead while price remains undervalued. Anyway, good luck with your decisions
And for those of you that look at the inflation details, it looks as though retail clothing has pricing power which suits ASOS higher margins down to the ground. I believe their branded approach vs cheap crap from Shein is also working, I prefer to have one good T-shirt than 2 cheap ones and my friends agree, cheap stuff is for children to help parental budgets and I get that also.
The management are fully aware of inflation, interest rates and squeeze on finances, these are the arguments against a huge rise, BUT the profits just announced and the expected free cash flow, more profit per customer and better margins along with lowering of key shipping and material costs are all despite this. Inflation is going to tumble, I believe chance of 50 basis point interest rate tomorrow (small chance) but the main customers of ASOS are younger and are without mortgages and just want to look good to enjoy their lives and who can blame them.
When this all starts to play out I believe you will see exactly why the £11 a share mooted offer was rebuffed months ago. I don’t see £60 but I do see £15 coming in not too distant future. Business is sound, cash position great, customer base great, infrastructure and processes great. Business is worth much more than it sits now and I’m not impatient. Good luck!
Shorters and sellers at £30+ have done great However, the main thing to look at with this share is the future (like for any investment). The market cap and the expected free cash flow and change of approach to profitable vs only revenue growth, the cost reduction of cotton and shipping and the better returns policy along with expected huge benefits from tech investment that is sunk into the balance sheet already mean this market cap makes little sense. Add to that the potential of Alibaba wanting 25 million active UK customers with warehouse and infrastructure ready (long shot but it is possible) I’m adding all the way here, good luck to anyone that shorts this at current levels with the H2 Black Friday and Christamas season arriving.
Who knows more about the retail status in the UK, some nameless shorts who have mostly done well and made their money and perhaps now feel justified or greedy OR Mike Ashley.
I know who I’m following. Buy