Member Info for ideaidea1

Always worth reading RNS, they have signed a major licensing agreement for its Clarke & Clarke brand with UK clothing retailer Next Plc NXT

Brazil2020 you really don't know how this works, to say it was 75p before lockdown like it should get back there because lockdown is now over is one of the most naive things I have seen for a while. There will be 105 million extra shares in circulation after the placing, in 2020 there was 50 million.To get back to 75p the market cap would need to be 3 times bigger than before lockdown.

Hi Trelawny, sticking to Stockopedia from now on after yesterday. Lookup definitely has potential and why I started doing my research yesterday and asking questions. I read RNS every morning and the small caps reports on Stockopedia, so me appearing yesterday is quite understandable. I just couldn't understand the 30% increase, I was thinking 10% as it was a positive update but tentative with the transitional comment. I imagine it probably hit 70 RSI yesterday and why the draw back, but it should stay stable now and if good contract news follows then definitely worth buying into.

Oh well, I think you are right, this board isnt for me, I was looking for constructive arguments, which some have provided. It's a shame aggression is more common. Back to stockopedia for me. Good luck with Loopup, I do believe it has potential, just couldnt work out the numbers and why I started asking.

Fair point BeingThe Banker. Ok, lets say the 34 million that is estimated is a bit low and we top it up to 40 , then use you 13 times ebit, would that be a more sensible base estimate? Maybe not £2, but somewhere obviously above £1.00

I have not abused anyone in any way, I had a slight at my race and education earlier and told to pee off, not at any point have I said anything about anyone.

Sorry to disappoint, not a shorter, and everyone has a day when they appear, so I don's see your point. Completely open to balanced views, not abuse like you seem to prefer. What value would you put on the company? It can only benefit yourself if you did offer a sensible argument, as it would just help push the share price up. I imagine you will avoid doing that mind or claim the article you have just put up is proof

Thanks Chatbot

Those broker ratings are 3 months out of date, although I still think you are right, I just don't see a huge upside. Note it will lose most of those Piotroski categories as they are based on this years numbers, we know next year they are saying breakeven.

Does revenue not drop next year to 34 million?

Thank you Trendz, valid point, that is all I am looking for. Oddly not here for abuse, just trying to work out if this is a good investment

That sentence wasn't the best I have written recently, however would it matter if English wasn't my first language? You are right, I do need to support my statement of not making any money: 2014 (net loss 1.2 million), 2015 (net loss 0.6 million), 2016 (0.2 million), 2017 (2million), 2018 (1.2million), 2019 (net loss 2 million), 2020 (5.7 million but identified as an outlier by them) 2021 (predicted break even) So removing the outlier, it's a 0.4 net loss back to 2014. I have only found one broker note which is up to date, from Progressive Equity and they reckon break even for the next couple of years. I think that is on the negative side, but can't find anything else and Loopup hasn't provided any predictions, bar the 106 million potential pipeline. However that doesn't have any costs included and the potential margin. Without this kind of information I struggle to value the company and therefore the right SP, so are more hesitant. I was in this forum to see if this was a worthwhile investment and asked what I was missing, I was hoping for a constructive argument, but haven't got it yet, however I am still open to why the company shares might be worth £10 each, which I read earlier.

You're right they are not a start up, but equally if you remove the one year, which they acknowledge is a once off they haven't made any money. I am not saying that they can't grow and make money from this new market, but I think it will take time, I read someone crazy numbers being talked about in the thread and wondered how this update lead to such comments

I must be missing something as this update didn't say a great deal. It highlights that 2020 is an exception, that level of revenue/profit won't continue, it's roughly breakeven at the moment and that 2021 will be a transition year. There does seem to be potential in the future with cloud telephony but how much will turn into revenue and profit is a wait and see. I see this as a pointing in the right direction update but only at the start of the race.

I have to agree, shameful in such circumstance.

Sentiment is poor at the moment after the last results and there is concern about another placing, which last time out was 15p. Because of that I reckon a lot of people have sold out waiting to see what happens before re-investing.

I am exactly in that position, having sold my holdings because I dont immediately see a change in direction until the next update.

At present valuing this share is nearly impossible, being at least for the next 12/18 months loss making, so it really is how much someone wants to pay. With the fear of a placing hanging around, I dont see it getting to the highs it recently has seen

Ironically I actually thought the updated was ok, their reasons for an increased loss was explained and made complete sense. The business is based on repeat custom, but customer recruitment comes at a price, which they now want to be more aggressive at, which is causing a bigger loss.

A fair few people on here Goldenegg will say the company is overvalued due to the fact its loss making. I kind of see it like buying the best 16 year old footballer in the world, you pay a huge amount for potential, hoping he turns into the next Messi, Ronaldo etc, at which point that investment massively pays off, but that potential is expensive and cant be compared with fully fledged players in your team. Equally that potential might not be realised and you might end up with the next Freddy Adu or Jermain Pennant.

So a boohoo rise Goldenegg would see the share go up multiple times, perhaps even 10 times to somewhere over £2, but anything like that would be 2 ish years. 2 years because breakeven is forecasted in 2021, if they can achieve that, then start making profit the share price will fly. But there is a huge amount of water to go under the bridge before that happens.
At the moment Sosandar is a loss making company and are paying a fair amount on growth, for each new customer it takes just over a year of an average customer yearly spend to recoup the marketing costs. The business plan relies on long term customer retention, if they can keep customers on average longer then the year it takes to pay of the marketing cost and keep recruiting new ones at a good rate it will be a winner and the share price will reflect that.

At the moment the recent interim suggests the company is on track and customers loyalty is good. However it is earlier doors and things could easily go wrong, customer recruitment could slow and loyalty could wane, then this goes the other way quickly.
Its a proper risk reward situation, working out if it's worth the risk is something no one can really tell you. Read the reports and figures then decide if you want to invest/continue to invest.

Not free unfortunately, but there are a number which do the same job as SimilarWeb. If I am honest I am not sure if there would be a huge benefit other then potentially getting the information quicker. As an investor the real figures I would want, i.e purchases would never be recorded.

Equally and possibly stating the obvious, more traffic is great, but doesn't necessarily lead to more purchases. The new adverts could lead to more hits on the first page, but also more exits from the site. I wouldn't be at all surprised to see a reduction in customer visit ratio to purchases, at least initially , mainly as I see Sosandars pre advert customers being very much loyal and motivated to buy as shown by the figures, versus an upsurge in people that have seen an advert and want a look. I look forward to when the results are out, the above is true, and a de-ramper points this out as the end of the company when its sensible to assume some kind of adjustment.

As I reported a drop in traffic a few months ago, only seems balanced to say it's gone the other way. According to similarweb it went from 55k to 133k. Those adverts must be at least generating traffic