Member Info for FFObsessed

I've invested £32k in my ISA and I'm now 50% down. Feels good man.

No offense to anyone here, but I would literally murder every single one of you and defile your corpses for a £1.90 offer right now ????

£3 is crazy unrealistic. That would value the company at around £1billion which will probably be their net cash level at the end of the year unless they bought a load more land. At that price you're effectively getting all their assets for free. I hope you're right, because if the market is stupid enough to value the company at that level, I'll buy every share I can. Almost literally free money.

I know we should be patient and not emotional but I'd take £1.50 in a second right now lol

Just bought a few more myself. If it goes down to 40s I'll double down and leave it there. Great business. No debt. Love the product.

I feel more positive after the call to be honest. It's a quality business. I'll feel a lot better in 2024 if we're cash flow positive. Be a long wait but I was always here for the long term.

No idea about market reaction, but I'm disappointed with the results. Large loss of cash. Low revenue growth, lower EBITDA forecast. This is gonna be a long hold. I don't expect a re-rate anytime soon. Some positives though:

· The Group therefore remains on track to becoming broadly free cash flow neutral in FY 2023 and significantly free cash flow positive in FY 2024.

But the company gonna be in a lot of debt by then.

LSE is correct. 1,396m shares are in issue according to THG. Multiply by 49p for £684 million. Google is often wrong about market caps I've noticed and p/e ratios.

I'd love it to hit low 40s. Below net tangible assets. Free money for the patient.

From the last balance sheet released the NET tangible asset value of the company is around £700million . The market cap is now £695 million. Priced as if the company will never make a profit. Crazy.

Well, you're certainly doing better than me. Alibaba and THG my 2 biggest holdings haha

Yes, done wonders for my mental health not looking at my portfolio haha

I'm praying for a large share buy back announcement. The share price is ridiculous now. Maybe they're better off hoarding their cash in the current climate but they could buy back 10% of the company for £80million. Crazy.

US CPI 8.5% below the expected 8.7%

Maybe we can all move in there now we've lost all our money? ??

The mouldings are great people though to be fair. Well played to them.

Hahaha! I love this place already :)

They actually dropped from over $100 to $6. This happens with bubbles, if a company continues to do well just hold, Warren Buffet style. Even if you overpaid.

The cash pile would be included in net assets. And would take into account all their liabilities of course.

They have £500million of cash or cash equivalents
£500million in investments in other companies. (No idea what they are.)
Over £300 million in equipment etc.
£1.5billion in intangible assets. (Who knows if those are valued correctly.)

Even if we remove the intangible assets out of the equation net assets are still £700million. So at current price you're only paying £220 million for the future income from the business. (£920 million market cap not £820, my mistake for just googling it instead of calculating myself or going off what LSE states.)

So *IF* the business does well in the future this is obviously a bargain price. But I think that's obvious to anyone at this point without even looking at assets. No one should be selling at this price anyway, just because they're scared it could go down more.

According to the balance sheet, as of 31st December 2021, THG has net assets of ~£2.2billion and the market cap is now £820million.... Am I missing something here? I know the company can end up taking on more debt if it doesn't do well and the business declines so obviously not risk free but it seems to be priced as a failing business? Yet it's still growing nicely. Obviously not profitable yet so that's still a big risk but they are investing heavily for growth. Im gonna keep buying slowly because it seems like a classic "mispriced gamble" as Charlie Munger says. I guess we'll find out in time...

I think it was fantasy to expect SoftBank to pay that price for 20% of ingenuity.