Member Info for chilting

I think that the current dip can partly be explained by Covid.
Ocado did very well out of Covid, now the market expects Ocado to prove that it can benefit in the long term.
So, it will be up to Ocado to provide that proof - when it does the SP will recover.

All the indications are that China is far more pro hydrogen for vehicles than any other country.
I think that there is a good chance that they will adopt hydrogen fuel cell technology to power buses in their cities.
If that works they will have confidence to roll out the infrastructure needed to run HGV's and then maybe cars in the future.

The West seems intent on batteries, a poor decision but one that is rapidly becoming irreversible. Maybe hydrogen may get a look in for buses and HGV's.

The problem in the West is that when a few big companies push in one direction it tends to be a fait accompli and actual judgement falls by the wayside. The Chinese on the other hand do things that are in their national interest.

Valueplay
Ocado may not have to borrow so much in the bond market going forward as more revenue flows in from Ocado Solutions clients.

Hi Jan
Not at all, I did sell on Monday morning but will be back when the situation becomes clearer.
One of the only occasions when I have made a decent profit with Enquest.
Good luck getting back to your entry price and moving into profit - I am sure that you will - when is the big question.

Also an announcement today that the contactless limit is to be raised to £100.
This is good news for all retailers - it will speed up tills and encourages more consumers to use contactless.
Hopefully also another step towards getting rid of cash - a huge burden for retailers.

Plenty to be cheerful about in todays Budget for WTB, with the tax breaks, help with employment and incentives to invest over the next few years, it will be a great time to recover profitability and build more Premier Inns in the UK.

No unexpected negatives for Ocado and no mention of an online tax.
All good in fact, especially for growth companies like Ocado who plan to invest.

AJP
I think that the business is already profitable but as they ramp up production to keep ahead of demand it will probably be a while before this become apparent and like all businesses in this position there will be growing pains. Also, it probably isn't easy to employ new staff at the moment, so that could be a negative.

When growth companies announce results, there is also a tendency for them to disappoint the market, simply because they are looking back, rather than forward, so we could see a less than enthusiastic response to the results. However, it is usually the case that in the weeks after results are announced that the SP will revalue.

Basically, we still have to continue to be patient.

AJP
I don't think that it would be easy for one of the big boys to take out ITX.
As at the end of last year, John owned 10.25%, other Directors 5%, IP Group 11.2% and angel investor Guy Broadbent 5%.
The other shares seem to be in the sticky hands of private investors, with Hargreaves Lansdown Asset Management customers holding 14.9%.
If someone did start heavy buying on the market, the SP would shoot up.

I think that If Croda are interested they will allow ITX to develop commercially before they make an approach.

I don't think that they will be interested in growing the company, they will realise that the current management team are best placed to do that.

Eventually, they could make John an offer that he couldn't refuse - remember he is a major shareholder - hopefully that will be 3 or 4 years away at least.

All this action with new clothing labels is certainly the way to go and is very welcome.

But, why not look back on tradition as well and relaunch the St Michael label and source all the merchandise from UK suppliers. A basic quality range of UK made products.

This would be magnificent PR and set M&S apart from the opposition.

In this major interview for CNN, John Kerry sets out his goals as Biden's Climate Change Envoy - it is a must watch, in depth interview, that could have important implications for Ceres over the coming years.

https://edition.cnn.com/2021/03/02/investing/john-kerry-oil-climate/index.html

Kroger started stocking their first CFC about three weeks ago, so presumably that will go live sometime in March or April.
Also Kroger Q4 results due Thursday.

Excellent buying opportunity at the moment - like Valueplay, I also topped up yesterday.

Current dip is all sentiment led - a rebound from being a Covid free of pain darling to yesterdays news.

But the changes that were reinforced by Covid are here to stay - all we need now is for Ocado to produce the proof, and as we know that is already in the pipeline.

Sold out yesterday morning - until the picture becomes clearer.

Good luck everybody.

Boyoback
Your third possibility - 1200-1300 flat line - sounds very likely to me - I would certainly settle for that.

I think that we have all made our feelings clear regarding Ocado and that it may now be better to accept each others differing views and move on, because this discussion is getting us nowhere.

The strategy is different with growth shares Neil - or at least mine is.
I simply top slice and take profit to invest elsewhere to maintain a fairly constant valuation so that my portfolio doesn't become lopsided.
However, I am less inclined to do that with Ocado - much more likely with AIM stocks.

Arguing about short term fluctuations in share prices is a pointless exercise.

What matters is how a equity performs in the long term.

Five years ago Ocado's SP was 260p.

Looking at todays valuation that tells us all we need to know.

Amazon is still a growth company Neil.
The patent case is simply par for the course with tech companies.
The SP was boosted by Covid - now Covid is receding we are seeing an adjustment in sentiment.
Fundamentals are still the same - profits from Ocado Solutions set to roll in - SP will recover at some point and power on.

Neil
Do you understand what a growth company is?
https://www.investopedia.com/terms/g/growthcompany.asp