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This got a thumbs up on LinkedIn: “Hi MM it’s impressive as a CEO that you interact with shareholders here please keep it up we are counting the days when you burn all these nonebelievers and shorts and bring us out of our misery”
Was trying to find some post from Toansy defending the “70% off” marketing emails… but lost the will to live after scanning through 50 pages of ‘that other BB’
Discounts draw consumers. Doesn’t really matter what the undiscounted price is, it’s just psychology. THG have a raft of consumer data at their fingertips, they know where to set price levels and they know how to market.
06/11/2023
17:17 havinthelasttoast:
0 issues.
Business is flying.
Only a paid troll would think otherwise or a daft Shorter with bad timing.
See ya tomorrow x
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03/2/2024
10:07 ste2000:
Because being a crazy discounter doesn’t work. If you give away 20 percent off (genuinely ) and your margin was 40 percent to begin with you make no money.
The ingenuity scam also sucks all the profit out of the business.
Why do you think Matt in his core markets […]
Matt is all smoke and mirrors. Two emails a day talking about sales that don’t even exist.
When you train people to wait for coupons , guess what they wait for coupons which is why it’s a very bad business. You don’t see next or any good online retailer employing that strategy. Growth at all costs is not growth.
The same sale nonsense he applies to all his sites and ingenuity sites. I honestly believe this business will never make money with Matt at the helm.
This is bottom feeding stock picking, a very bad company which has topped out on growth and now will have to keep buying revenue to appear to grow.
Hope that helps.
Mumbo, FCF for the group for 2023 was c. nil after capex of £125m. Assume capex was concentrated in the Ingenuity division and you have a small FCF inflow for Nutrition.
If you like valuing assets based on historic performance then you could also value THG on its last reported balance sheet. Net assets of c. £1.3bn less goodwill of c. £1.3bn = nil. Better set yourself a low buy target.
Minority stake in Ingenuity - basically what they were after with their original option and collaboration agreement and completely possible now that the divisions are legally separated. Would be very interesting and hopefully demonstrate SOTP. Hopefully they bought the SoftBank team some decent sandwiches then…
Not sure what this “well documented behaviour” has to do with anything (as if MM is a naughty school-child). MM has been vocal in his disdain for the LSE which demonstrably undervalues companies vs international peers and is short on liquidity. He has also made clear his disdain for the junk UK press who for some reason cannot stand to see a UK success story. In the event of a take private, who would worry about “bad behaviour”? A buyer would simply get a billion £ company with a tried and tested entrepreneur at the helm.
Hmm the bit in the Privacy section of Tingly Ted’s / Heinz to Home that used to reference THG seems to have been updated to replace THG with a Heinz legal entity. I checked Homebase and it’s the same story, no reference to THG. Speedo still references THG however.
Perhaps something to do with the tightening up on use of data? e.g. the legals on the websites have been restructured to ensure that the customer data belongs to Heinz rather than to THG?
Either that or Ingenuity had lost a couple of big customers!
Nice reminder of some of what goes on here: https://www.linkedin.com/posts/haider-%F0%9F%94%B0-43a454175_navigating-stock-market-psychology-retail-activity-7148656648968953857-e7h9
Have a look at page 171 of THG’s audited annual report: https://fcdn.ingenuitylite.com/thg-com/documents/6451e02a1ad37c7ebf4e6a6a/thg-ar22-final-digital.pdf
You’re probably quoting quarterly sales, might want to rethink your point.
Well I never actually commented on the “financial history of THG and Hotel Chocolat are comparable” because I think it’s irrelevant.
I was actually addressing your question, which was whether “everything that is currently known about a share is reflected in the share price” which I don’t believe can be true as different market participants have different views, valuation techniques, time horizons, motivations, etc. This is perfectly illustrated by the fact that HOTC was trading at 136p before rising to 366p on news of the bid.
Don’t worry about it though, have a good evening.