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And for the record I’m sitting on a paper loss of 50%
The saviour
Well put, just look at the long term charts, it’s currently dirt cheap. Anyone looking to day trade or swing trade have lost out but longterm this stock will recover.
Dogger I lost 8k here after originally buying at 15s thinking it was cheap..... Taught me a harsh lesson, but you are talking utter nonsense.... Stop winding people up... This is a hard game and people are losing alot of money even if it is a paper loss.
EAL
Someone talking sense for a change! Well done sir
Put simply it's all over IMO. They're going under IMO.
“ dogger69 : I can see Asos going bankrupt for sure!”
Stop talking rubbish!
“The company has continually maintained a low level of net debt in recent years. In its half-year results for FY22, the company reported net debt of £63 million, representing leverage of around 0.5x EBIT for FY21.
Whilst this has been in part due to the company's cash-generative operations, it also raised £239.4 million in net proceeds in April 2020 at the outset of the pandemic by way of a non-pre-emptive placing of ordinary shares i.e. a placing of new shares with a select number of institutional investors. The proceeds were used to clear the company's limited existing debt and provide additional liquidity, should it be needed.
A year later, the company issued £500 million of convertible bonds with a coupon of 0.75% maturing in April 2026 as part of a refinancing program. The proceeds will mainly be used to fund the company's global growth program but were also used to re-finance the acquisition of the Topshop brands. The initial conversion price was set at £79.65 per share, more than 6x above the current share price meaning conversion is unlikely to take place anytime soon.”
Probably Jupiter is selling/has sold its shares in Asos, they are desperate for cash. They sold most of REVB for around 90% lost & sold a good chunk of THG too so maybe they are doing the same here .. time will tell but Asos is too cheap atm and I believe the sp will rebound next week
As I said before, Ashley is an opportunist who buys up, predominantly, very financially distressed or bankrupt enterprises. The vulture will have his beady eyes on this.
As I have also said time and again, ASOS is one of the highest shorted shares . It will shortly be the 3rd highest shorted share, as it seems Cineworld is filing for bankruptcy. There are several big shorters who know what they're doing (and please please rampers, do not delude yourself by thinking they don't). They've got their claws in and this share I do believe will continue a downward trend.
I still believe this company will survive but I reckon a cash call is on the cards by the year end. I'm on a big loss as am averaging £18. I'm still tempted to average down at nearer £5 which I see as a probable. It's a risky one though.
Mehmehmeh, take a look back at the history of shorting on ASOS. Not too dissimilar a % to many other occasions. Whilst the shorting is high for obvious reasons the tide will turn. I see this as an exaggerated fall, in the same way it was ridiculously over inflated during covid. Fair value is multiples of the current sp imo. Perhaps not half way between the peak we experienced and the current sp, but certainly not where we are today.
Experts in getting it wrong
On the 16th May RBC Capital markets had a £72 price target on Asos. Glad i don't pay any attention to broker forecasts. These guys are supposed to be experts!
Well a some point the shorts will break cover as alot of them will have a lot of profit and now risk a price tally that damages that.
Mike Ashley has traditionally bought failed enterprises, however maybe he's looking at Asos as a way to go global which is in with give his son in law those massive targets.
And can already hear the Tory leaders clearing their throats ready to say they have gotten the energy companies to put a cap on costs to house holds.
All in all, Asos is looking like a good buy and hold to double money from here over a few months.
according to last interim
45% debt ratio and 1.5 current ratio .. is not bad
Agreed mike Ashley buys small companies here and there. Asos is too big of a price and risk for him. The shear number of shorts makes it scary can they all be wrong?
I can see Asos going bankrupt for sure!
at this price this company is very cheap
someone will take it over imo like they Reebok did with Ted Baker
that is my opinion
£200 million has come off the ASOS MCAP in last 5 days and I that just seems a little crazy for the week's news flow to me.
The inflation data is high yes and rents are going up, but unemployment remains low and we have had a lovely summer where some would have bee n buying the summer stock.
To be positive... lets hope the SP recovers a bit next week.
Hmmm I think the week has effected poeple quite a bit. Maybe the weekend will be a time to clear heads and perhaps market will be a bit more positive next week.
£5 before the end of the month....
Share price falling so steeply. Will this go bankrupt? Margins are so thin.
It's clear this is what the government will do. They are currently on holiday and squabbling about who should be leader.
Expect both donkey one and donkey two to both come out and say reducing energy bills is top priority.
Whoever wins will do that (and their Tory overlords will make sure the energy companies follow the party line) to make themselves hero's to save face with the next general election campaigns already coming into sight.
The whole market is getting screwed.
The really big issue is the increase in fuel/energy costs, however the government will step in in September to fix this to look like hero's.
The fact the fuel/energy companies can put up prices and recorded record profits and dividends to utterly shameful and going to bite them on the ass soon.
Yes generally the cost of living has increased. However the real issue is fuel/energy and just like in the 1970's with OPEC crisis this will be resolved soon, as the money makers will want the markets to turn bull to make more profits.
Otherwise if the cost of fuel/energy is not sorted by end of September this will start a more serious market crash that very potentially for the UK which is alone (due to Brexit et Al), will literally mean the end of Britain.
The UK market is made of consumers and services.
The lack of primary and manufacturing has put the country into a very seriously bad position.
I would like to agree. I went into this share at a horribly high price because of what I saw from my daughters age group. From what I see now, I would not go in even at the current price, indeed at any price. The only reason I still hold is in the expectation that something may arise that I can not foresee and that the falls when they have arisen have been so steep that I have hoped for some sort of bounce that had not really happened.
Don't worry when the daughter and her friends get on onlyfans at uni they will make plenty of money to buy the extra push up bras and knickers from Asos to help us all out if this hole
Jon, Daughter and her friends about to go back to Uni. They have been ordering clothing from ASOS in different styles, sizes and colours, 90% has gone back, how do you make money out of that?