Cool thanks for sharing D-Gee. Yes hope so! recently reviewing the TP reviews which are looking good. I go to those to get an idea of what customers are feeling about the products and also give myself false reassurance that this is a good stock to buy haha. Yes hope the site visit data correlates to stronger sales and if anywhere near the 40% increase mark then that wud be substantial for the company and its shareholders. @Wyn- all good! Yes astute move indeed. :) Seems the buy price is now 3.5p and sell price is around 3.3p a move up from prior days. What are your thoughts on the slight movement or doesn't really mean much technically? Thanks!
@D-Geeman- Wow thanks for sharing the year on year comparison for August data (40% increase). That sounds very positive. Not sure where the source of the traffic is from, I guess many from people watching Eve's TV ads?
@wyn, I agree. Supply Chain shortage and inflation is a hot topic right now. With Premium Mattress out of stock this could surely impact, but may be could have been worst if Eve didn't invest earlier on in stock in anticipation of this. CC acted on this which was wise!
I think the market has priced in a tough h2. And uncertain about 2023. I think cash is gonna be down further from investment this year for plans to obtain sustainable growth in the following year (s). But a lot of risks and uncertainties. Material cost and logistic shortage and Inflationary pressures may add to this for h2 results. I am not so optimistic about September update but I am optimistic for growth and profitability for 2022. That said... should I be buying now or buying later... rationally speaking, I should be buying later but I think the price has been discounted quite significantly that there is a opportunity for bargain prices. IMO, DYOR. Fingers crossed.
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Looks like the seller is still offloading with his 250k's... not sure how much more supply he or she has....
Yes over the past recent weeks, I believe there has been a seller (s) lurking in the background and has been offloading on the market. We have experienced this with Eve Sleep previously by the infamous Star fund manager "Neil Woodford" where he had to force sell and liquidate his fund which created a fire sell driving Eve Sleep share price to 0.8p. After the overhang from Woodford, the share price gradually retraced to 2,3,4,5,6,7 to 8p with the earlier period driven by II interest (Octopus) and latter period mainly on rumours relating to CBD product and signs towards closer profitability and now back down to where it is now cos of a new seller behind the scenes IMO, DYOR.
What is different from the old Eve sleep I believe, there is a much stronger leadership namely CC who has a amazing marketing track record and seems to be pretty "Alert" on how to best spend the marketing to balance growth VS profitability.. I believe she has the drive and passion to get this off the ground once and for all. GLA.
Sudden surge in buys outweighing sells... could this be the u-turn? Yes please!
Supply VS demand. I believe after the seller has been cleared this will retrace and allow for upward movement. But who know's who the seller is and how much stock they have left... If I was private equity, I would be looking with interest especially at the following characteristics:
-Strong management team
-Brand equity (Millions invested)
-Growing sales
-Strong balance sheet
-Vision and leadership.
I believe Eve is heading towards the goal of demonstrating profitability in 2022. Eve Sleep vision is not just a mattress company but a sleep wellness business including a wider portfolio of products which I believe is where the market potential is. IMO, DYOR
Ouch... 2.3p sounds bad. Hope it doesn't go there. The seller (s) seems to hold quite a large holding and very persistent to offload. Afraid if this continues, we may experience such scenarios you mentioned. Just hoping it's the end of his/her overhang. IMO. If so, it has created an opportunity to buy in at these recent summer sale prices. I have taken the opportunity to top up at these levels but afraid I am catching a falling knife. But I believe at these levels it's pretty good deal. IMO,DYOR
Wyn, what's your view currently with Eve? RSI is back up to 40. How u interpret this from TA perspective? Thanks for ur valued comments.
Wyn, what's your view currently with Eve? RSI is back up to 40. How u interpret this from TA perspective? Thanks for ur valued comments.
Are we seeing a reversal here. Major seller done and dusted or taking a break?
Positive indication, better than nothing. It would be nice to see a more aggressive buy and more skin in the game despite the share options. What about CC?
Selling continues... this action looks like it's from a larger holder with broker acting on behalf to sell on the open market. Not sure how much overhang left. 500k sale Friday. How much more? IMO DYOR.
It looks like your analysis it quite accurate. It's hit around 3.2 level now... seems like there is a seller behind the scenes. Not sure if it's an individual big holder or combination of sellers.
Nice one Wyn, every little helps! What's your opinion and TA analysis of EVE situation currently? Thanks!
I have added over recent days. Agree, looks like a good entry IMO. The company market cap valued at 9 million with at least 5 million cash with expected "minimal" cash outflow this year; so balance sheet is strong. Sector tailwind much more online buying and house moving needing for new mattresses and more should continue to benefit this industry.
Proven model. If Simba, Emma and others can demonstrate profitability and attract private equity, capital and investment, Eve sleep with it's strong foundation with an incredible CEO/marketing capability also has a good shot to turnaround this company to profitability. GLA. Thanks for sharing the TP data and valued comments and analysis.
Key drivers on my expectation to profitability for the future (IMO, DYOR)
1)Background is Eve Sleep as a company is getting closer to profit demonstrated in 2020 EBITDA losses reduced by 81% to £2.0m loss (2019: £10.7m loss); Closing the gap year on year with smaller loses.
2) Controlling costs to increase margin will be a key; although challenging inflation pressure in the material and logistics costs.
3) Increase product range launches will increase size of the sales basket. Higher sales, bigger economies of scale to cover overheads.
4) Get back in bed with Amazon. Talk it out until it is economically viable. If Emma & Simba can get it to work, why can't Eve.
5) Strengthen retail partnerships
6) Cash is king. Invest the 5m cash wisely focusing on ROI and result based KPIs.
7) Do what works. Sloth works, so build on the idea/story.
I think the elephant in the room is "Eve has exited those which were not economically viable, including Amazon UK," - As the largest go to e-commerce provider, seems like a tough decision to make. Not sure if this is wise one to lose out on such an enormous channel. I hope CC can continue to leverage on her marketing expertise especially on the success story of the SLOTH to drive more D2C to their websites. And make-up significantly for the loses on sales from Amazon. A fall in sales will not look good.