London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Bayo,
Nice looking chart you share that I always look forward to...Does today cross and close over trend line indicate that the trend may now be reversing ? If not, hopefully seen the bottom today.
As well as Pokerchips' points, CFRA acknowledge in respect of the spoke closures: ‘….these closures are relatively minor in the context of the potential CFC order pipeline…’ their point being that …’ they are perceived as a negative indicator of future performance’ So It’s perception rather than actual performance that is driving their comment. Exane rated OCDO at 390 last September and were much ridiculed on this board. Although Exane don’t look quite so dumb now, it would be equally true to say that the business has made progress since then.
Meanwhile, today was more volatile than yesterday for OCDO but at least it finished above the most recent red trend and effectively on par with yesterday’s high at 350 (the arrow points to the closing UT price ) https://invst.ly/14g5kd . It’s probably going to be a weak period for the sp until the MKS statement in May and the half year results in June but it may yet level out rather than falling back to, or much below, today’s low of 335 (just above the 330 low last seen in December 2017)
Not true poker chips, Ocado pay the great majority of the CFC build costs. Then they recoup these costs in the main via receiving a percentage of the value of the goods that pass through the CFCs.
If you look back at the history of Ocado when major contracts have been signed Ocado have carried out a corresponding cash raise. More recently Ocado have carried out cash raises independently of major contracts being signed.
Providing the upfront capital is Ocado's way of enticing clients to sign up to ordering the CFCs. More enticing for grocers to pay later via volume fees than stump up hundreds of millions at inception of the contract.
"It will rise quicker than it fell."
That'll be a world first, then, for any share.
I'm lucky enough to be able to cast more die, but it does bother me 'ever so slightly'
A lot of the cash isnt theirs ...it is their clients..which they spend on building the clients CFCs
What the company spends hundreds of millions on every year and why it continues to do this?
Cash balance reduced by £400M in 2023 - essential spending?
Why not conserve cash now and focus on profitability?
Bought in today at under 3.50p, an incredible price I reckon, and looking forward to a double-up within the next few months.
The article (from January) says number one grocery company but actually number one across all sectors even beating First Direct
https://www.grocerygazette.co.uk/2024/01/24/ocado-customer-satisfaction/
Fair play to you Gary....just showing my naivety which is plain to see....live and learn for those in good luck to you...I love winners....if it falls back then I will buy....happy to see those recuperate a bit of their money back....no matter how they are invested...
You did well Gary, at least it looks that way for the moment. My buys were in the 445-447 area and have dropped my b/e price sensibly.
Bucketman you missed it!
Buy when others are fearful.....
I bought some at 3.36 on a CFD
A hair-raising reversal today, Boyo
Good price action from c 336 ..intresting
I've more than I need now, but I've bought some more to reduce my mean entry. Some buying in the 3 hours into the close. Fingers crossed it increases into tomorrow!
I bought these the other week at £3.65 I sold at £3.85...they went to £4+ and thought should of stayed put, a lot of posts on here sort of predicted this slump....thought this morning of buying in again at £3.35...I didn't as just so unsure how they are going to go....I know if they hit £3.50 I will say to myself should of bought again....each day a new low....is £3 possible...who knows but they are so tempting....
I do think sometimes 'being honest about being a bit out of ones depth' is the brightest way forward!!
" I'm not stupid enough to claim expertise"
Haha ...well that in itself makes you smart then :-)
Most of what get from the economics side is pretty high level, but as I say I do try. I'm not stupid enough to claim expertise, but I'm aware at a certain level. And I do keep reading.
Volume has been high as you say Eusebius, I'm watching that. There are also divergences appearing with respect to MACD/RSI/1433 Stochs.
And a lot of algos are passives trading their indexes
This is a traders share with a lot of trades linked to Algos ...algos which are linked to perceived data point changes , which may well have nothing to do with Ocado directly ...eg..the probability of a June FED Cut
Impossible to predict the exact movements of Algo buy/sells
The volume over the past few days (large) is suggestive of a selling climax, for the short term at least.
Stupmy
yes it is very complex ...but the main thing I think is just being aware that these complex things go on and are driving the market movements .... not some .. direct feeling say about Ocado themselves or some other company directly
I am pretty good at speed reading ... picking out the bits that matter ..but the complexity is certainly challenging
From the point of view of OCDO SP, there's no sign of capitulation and no evidence of a bottom yet. I'd actually love to see a capitulation event now to try to draw this fall to a close. Could just turn and bounce though. I'm watching closely.
Is there anything specific you're looking for to mark an end to the slide?
"Biden is I believe retaliating with Tariffs to try to limit this "
China is sending goods/parts to Mexico and finishes them there and then imports the finished product into the US at a fraction of the Tariff that imports directly from China are ....