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Yo..Yo..Yo..Bro. Do this shirt match me face tat ? Gangsta....!
What is it over 12m active customers of boohoo worldwide, I know its a bit more but for easy maths, each buying say 2 masks - I know I did. At £8 for 2....that's an additional easy £192m in revenue. Ok may not all buy masks but could argue some will end up buying 5 or 6 and for their households as they lose them, want different ones, get dirty etc.
I thought you bought in at 320 originally?
Funny thing is, where do you think they are buying all the masks from....boohoo! Talk about another massive revenue stream for boohoo
I know 2 other experienced investors who have bought 6 figures here today, one did the exact same as me ditching asos as they see this as the easier and safer play now. Lets see.
I would also argue can you see the boohoo demographic wanting to go to shops now with masks on....NOPE! boohoo market just gets bigger and bigger
If this ain't the easiest 50% gain short-medium term play this year, them I'm really getting too long in the tooth and too out of touch with this world.
Chrisengland - This is exactly why I ditched my asos shares today for boohoo shares. With asos I saw max 20% upside and actually 20% downside as that debt facility and market expectations worry me as that has risen near 250% in last few months. With Boohoo I see 50% plus upside and 10% downside from my 216 buy in. I feel I may have been given a gift this morning with Boohoo. Step back and ask is the fake news really warranting of a near 1.5bn wipe off market valuation (as that is what it has wiped off) Plenty of upside
All boo need to do is demonstrate that they had a policy in place to take reasonable actions to monitor the supply chain. That would clear them. Nobody gives a feck about the actual workers and their conditions - it's all down to arse covering.
Yeah , I’m real tempted to buy more ffs -
I bought in at 2.26 on the 9th -
I’m itching to just go in again.
I know nothings concrete yet with the news , but imagine something solid emerges - i mean would the media really do under cover and blow everything up with no real evidence ?? - what you think
"Boohoo’s customers are generally driven more by price, choice, and newness."
Two of the BIGGEST BANKS in the world say BUY BOOHOO:
UK authorities have found no evidence of modern slavery offences in the first round of inspections on Boohoo subcontractors in Leicester, underlining the challenge of tackling allegations about the city’s illegal garment factories.
Over the past week seven separate government agencies visited nine premises in Leicester, prompted by allegations about illegal work practices that Boohoo and Priti Patel, home secretary, have described as “appalling”.?.?.?.?
[I]n spite of the concerted government effort to uncover abuses, the Gangmasters and Labour Abuse Authority (GLAA) has admitted that “no enforcement has been used during the visits”. “Officers have not at this stage identified any offences under the Modern Slavery Act,” the agency said.
Reports from Leicester over the past few years have described a diffusion of seamsters and embroiderers flitting between undocumented jobs in places you’d struggle to class as factories, so no evidence of illegal working practices from nine site checks might not be the human rights slam-dunk it first appears. It is, nevertheless, a headline that’s not outright negative. Anyone keen to claim that ESG scrutiny is all just virtue signalling by the Cult of Woke now has a convenient platform, of sorts.
Bring out the “buy” recommendations, starting with HSBC:
While the suppliers implicated in the Sunday Times report have been terminated by Boohoo for breaching its code of conduct on record-keeping and sub-contracting production, there is thus far no evidence to support claims that workers were paid GBP3.50 per hour by these suppliers versus the UK National Living Wage of GBP8.20-8.72 for workers aged 21 or over. We note the following:
? The UK short-lead-time supply chain is a sustainable competitive advantage, further supported by the group’s diversification into international markets, which now account for 60% of CoGS (versus c30% in last three years), including 40% in Asia and 20% in Europe. We expect reliance on UK supply as a percentage of CoGS to continue to diminish over the medium to long term.
? We believe any impact on demand will be limited. Boohoo targets younger and less affluent customers who are influenced by social media. It has proactively reached out to many ‘influencers’ to reassure them in light of the situation. We believe that negative influencer commentary has been limited to date and that Boohoo’s customers are generally driven more by price, choice, and newness.
500p target price and Buy rating (unchanged): Post a strong Q1 update?.?.?. we leave our FY20-22e earnings unchanged as we expect limited impact from a cost or demand perspective. Our unchanged APV-derived target price of 500p implies c122% upside from current levels and a CY21e EV/sales ratio of 3.10x (versus a 1.53x current and a five-year historical one-year forward EV/sales m