Early days albeit some promising noises. Long long way to go before income streams are substantiated and start flowing in earnest.
Mind boggles a bit. Still making a loss and predicting tough short-term conditions and yet share price rises. Guessing it was a bit too low and they are getting to grips with costs but still a significant or more probably an unexciting gamble to bet on this horse currently.
I personally do not expect this to go anywhere for a longish time to come but still believe the model beats its competitors. Should bear in mind it is now an established player albeit in a thin-profit game.
Credit insurers are notorious for providing umbrellas when it's sunny not when it's spitting never mind raining. They are far from being a good gauge of their customer's (AO's) current or future financial prospects. However, make no mistake this is a worrying time for AO as it is for many businesses and customers.
Don't think any competitor has the appetite to take them or anyone over. My money is on them surviving the long run with the potential to make a profit for investors who get in or out at the right times.
General good growth pre lockdown, large growth uplift during 'lockdown', noticeable retrace when 'open up' started. Probably overvalued and overpriced pre lockdown and during lockdown, now probably underpriced. Investor confidence shot to pieces not helped by product and personnel supply issues not helped by direct and ripple effect of Russian invasion. A series of major National and global shock waves make reading this and a lot of other businesses very tricky.
I would expect the current price has already factored in recent trading which will be downbeat from the very upbeat early days of Lockdowns. Not expecting an immediate SP rise but a trace back to normal trading patterns and then normal growth patterns. Personally keeping powder dry for the moment.
Seems to be above average trade volumes recently. Could be wrong but seems to me someone is stocking up anticipating a breakout rise.
Seems to be an upward trajectory at last though a long way from being time to celebrate. Bottom line for me is the share price has fairly quickly dropped by two-thirds for no obvious reason while the Turnover and profits have not. Seems to be significantly underpriced.
Baffling is perhaps the word for AO share price. From day one it has had its detractors and has continually confounded the doom-mongers. My understanding is AO appeared to have cracked the German market but now we are led to believe otherwise. Let's see whether the latest doom-mongery has been exaggerated or not. It's become a pet share for me sticking two fingers up to the market proving them wrong regularly. This for me is marginally dangerous but enjoyable position.
The undervalued and buy rating is not news by the way. What is new is people are starting to believe it, it would appear.
We should have seen this coming. For the UK post Brexit and then pandemic supply chain issues and now HGV + delivery driver/fitter supply shortages are both bound to be a hiccup. So many problems of this nature around the globe that the only saving grace is it will affect AO competitors.
Let's see how things hold up before being too gloomy.
I happen to agree, this is a growth company and the share price will ultimately grow along with it. The two unfortunately do not go hand in hand and therein lies the fun and games. Forecasting those ups and downs in share price is the hard part when you don't really have the inside track.
The link you posted by the way was a story factored into the share price long before it was published 1.7.21.
For me this is a share that has levelled off and is worth considering &/or hanging onto if you are in at this price or higher. IMO it looks as though it will rise.
Tough world out there and has been for some time. Constant stream of very stormy weather literally and figuratively speaking. Hopefully, this is one business that will weather the storm.
Declared Statutory Earnings did not meet forecasts I would guess due to money being reinvested in expansion. Progress and re-investment is the name of this share game. When these investments will bear EPS fruit is not a short term game IMO.
May as well sit tight if you are down and treat this as a long-term (min 2-3 year) dalliance.
The board appear not to be running this business to keep shareholders happy by pocketing profits and paying dividends.
Ma5k not sure I completely grasp what you are trying to say. If you mean AO has enjoyed a temporary boost due to retail Lockdowns, that this boost is a temp imbalance between online and bricks and mortar and that their bubble has burst and that this price is going to continue downwards then in the long term I disagree. I think the current downward trend is a pricing correction based on 'uncertainty' about whether the current growth is more a one-off boost due to Lockdown periods and uncertainty about the true PE value of this share. Happy to believe turnover and profit growth will prove this to be a permanent change and stay in expecting decent rises. I could of course be wrong and you may be right.
Good job we have you and the internet to stop the world falling for the biggest con ever perpetrated in the history of mankind McBlather
Who knows what is going to happen but in my opinion this speculative share price has settled at a lower price than its real value on no news while the real value of the business has quietly been going the other way.
I wouldn't be surprised to see a flurry of activity soon speculating an increase on good news. I am speculating this will likely go too high at some point and later need to settle down again. Two worlds going on as usual 1) Speculative share value 2) Real world actual business value and never (or rarely) the twain shall meet other than to wave at each other as they pass up or down on their journeys. For short termers get your timing right and there will be opportunities to make money. Long termers hold fast until some outfit does what they do better.
All good fun if you are not gambling your shirt and on one or too few shares in too few sectors.
This one caught my eye because it came out of a casual challenge to disrupt the incumbents in this sector based on service.
This isn't the sort of business that strikes oil and takes a massive overnight leap. It is slow and steady growth shifting product like Amazon making people say wow that was actually an enjoyable experience talking to the driver delivering my washing machine and at a competitive price too. Patience guys and gals.
Plenty of short term gains and losses to be made in a disrupted market generally at the moment.
Frustrating as it is in the short term, for long term holders this is a growth company and should remain so for a number of reasons and years. AO Turnover and Profits are continuing to rise and ultimately its share price will be forced to follow suit IMO.
AO customer service is streets ahead of its rivals who don't think its as important as price. However if the price is not much different, convenient purchase and delivery is a big thing in the eyes of astute customers.
AO clearly recognise a weakness is brand awareness and so are experimenting in areas where footfall will persist in any conditions, supermarkets. High street and retail parks are going to struggle attracting the new generation of shoppers who are used to buying online. Expensive (previously) well-positioned and alluring bricks and mortar stores are going to either disappear or be converted to not much more than click and collect distribution centres. It's a war between customer collect and vendor delivery models. AO wins the delivery model at present.
Nothing structurally wrong with this outfit. All looking good for future growth. Personally speaking like the way they reinvest and look for other revenue streams all the time. SP movements up and down not to be confused with consistent upward Turnover and profit trajectory.
It's a long term hold for me in a growth company providing a high-quality service and evidently investing in its own future. Nothings guaranteed in life and there are always risks but I am happy they are acceptable here.
Better get shorting then Denman. Dipping in and out is for Professional Investors or amateur fool's. The first never let pride come before a fall, though even they do suffer losses at times.