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A while ago i wrote down the sp 553p and mc 1031m so current sp 400 market cap should be roughly 700m yet its 962m can anyone explain?
Something amiss. There are more than 3m purchase to 900k sale. So dropping bad?. Who is manipulating the SP?
Shave off a bit more when US opens, lots of people in profit that will move funds over the next few days while they watch to see how the broader market will shape.
Thursday 9 February: Profits warnings usually come in a pair. Sometimes even in three.
Takeover target?
Amazed no commnets here
I see no reason to buy. It is all about consumer behaviour and that isn't going to change just yet ...and besides the market will probably wait to hear from the FED at the end of the month
Operating cash conversion - guidance previously - " c70% , weighted towards H2 in line with seasonal pattern " - now 50% (within the weighted towards H2 ) ...I didn't like that
If you was going to buy more, i would have waited you are already 3% down from todays buy.
All these stores they now have with high rents cash burn is massive, WOSG needs to grow 10% just to stand still.
WOSG SP will suffer further is they keep downgrading their numbers. We saw BRBY dropping from £22's to £12's = -45% in just 4 months. IF another profit warning is confirmed, meaning business is not picking up as expected, WSOG may revisit issue share price level at around £3. Again this is my own logic of course.
" Especially those who are invested on the basis of the recent long term business plan in which revenue should exceed £3bn by 2028?"
whilst a week is a long time in politics, 4 years in the markets is ...eternity
TMS: The problem is how the market reacts and how the geopolitical tensions progress. We now have tensions everywhere leading to supply chain disruptions affecting inflation. If everything becomes more expensive and there are wars on-going, even the richest would refrain from spending. So the market is probably anticipating a downturn in spending on luxurious items as they will not be a priority. This is my own opinion of course.
Watch thefts in Barcelona have been going on for quite a while with hundreds stolen every year .Google Rolex thefts Barcelona
" In May 2022 , Richard Blair, the son of George Orwell, had his £16,250 Omega watch stolen within hours of arriving in Barcelona after taking part in a tour to celebrate his father’s book Homage to Catalonia.
Mr Blair told i at the time that the thieves surprised him as he left a hotel and tore the timepiece from his arm."
" A New York City tourist on vacation with his family in Barcelona claims his $800,000 luxury watch was stolen right off his wrist "
Some people though are just DUMB
TMS: By "lottery", I meant it is too risky to stay invested as they may issue a second profit warning which could halve the SP from where we are today. It's rather "a casino" if there is a possibility of a second downgrade of its numbers as BRBY did it twice.
I expect another profit warning on Feb 8th/9th when they update on Q3 F24. BRBY did the same because if the supply chain disruption continues because of red sea tensions on vessels, everything becomes expensive as inflation will either stagnate or start rising again.
This can't really be compared to a powerhouse like LVMH who actually own the brands and control the full supply chain. WOSG is just a third party retailer, a bit like a Sports Direct of this market. 1 or 5 year charts tell their own story.
We shall see what they will tell the market on Feb 8th or the 9th in their Q3 F24 - update.
It will be a lottery to stay invested with this one.
As we can see BRBY downgraded it previous guidance on 11 January 2024:
"The slowdown in luxury demand is having an impact on current trading. In this context, we now expect adjusted operating profit for the financial year ended 30 March 2024 to be in the range of £410m to £460m, below previous guidance."
I saw the Rolex rippers programme also. Might not affect sales too much but think it’s made people think twice about wearing one. It would me
BRBY was the first red flag that luxury goods are suffering. As soon as BRBY showed its limits, one has to sell WOSG immediately. If we follow this logic, BRBY gave a second profit warning. So are we going to have a second on here ? If inflation is not coming down because of geopolitical tension in the red sea (supply chain disruption), then inflation we go up and people wallets will be squeezed even further. So for the time being anything related to luxury is not in my radar.
I agree. It's a risky punt until the Q3 statement. I would expect some forecast kitchen sinking to come.
Since the Rolex takeover of Bucherer I have always thought the next step would be a takeover of Wosg and with the share price at current levels or below Wosg will be ripe for a takeover bid
It's hardly a shocker and was predictable. High end has been taking a pasting. Mulberry, LVMH, Burberry and Generation credit are now starting to see things bite with increased interest rates.
It'll get worse before it gets better