The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
Let's see what pops up over the coming months.
From the last trading update -
Outlook and Guidance
The Group's focus for the year ahead is on rebuilding profitability and getting back to growth. For the year ending 28 February 2024 ("FY24"), revenues are expected to be between flat and a decline of 5% vs. the prior year, with increased emphasis on driving profitable sales. In the first half, revenues are expected to decline by 10% to 15% as a result of this action being taken. In the second half of the year, the Group expects to return to revenue growth as it benefits from the investments being made across price, product and proposition under the Back to growth strategy.
Adjusted EBITDA for FY24 is expected to improve year on year as a result of operational gains, cost efficiencies and cost deflation in our supply chain, with adjusted EBITDA margins of 4% to 4.5%, and adjusted EBITDA of between £69 million to £78 million, in line with market expectations. For FY24, capital expenditure is anticipated to be between £80 million to £90 million, and as a result of the actions we have taken on capex, working capital and costs, year-end net debt / adjusted EBITDA is expected to be approximately 1x, reducing thereafter, with the Group maintaining significant headroom on its long-dated £325 million Revolving Credit Facility.
Closing a factory & warehouse are signs of over capacity therefore demand is weak which increases operating costs.
SP still a strong buy up to 44p thereafter depends on SP attraction. Will still drop in May & June if the news is less than outperforming.
Anyone at board level is a target duck in my opinion. Any company or political bell wind sit on the same line.
If they get to the top positions they should perform well in their respective roll & not just for the pay awards.
BOO management have a lot to prove but personally I would prefer a company buyout. Frasers are in with a chance and it may be the way it goes in the end. Bye Bye Kamanis & take JL with you.
If Daytradenovice can't single out a bad news story for BOO because there are so many then perhaps feeding the media with company fails is their strategy but for what end?
Late trades could be a good signal for Monday if it weren't for the past few years of these trades appearing only to find that the following trading day the SP plummets. Hopefully not the case after the recent solid rise but Monday will reveal the outcome. SP could have tanked today but held up well. 5% either way is nothing on a daily basis unless cumulative in a particular direction.
As for British Bulls - they ain't got the knack of hitting the mark with SP prediction with BOO. SP remains on a rising trend for at least in to February - then its Volleyball chart time.
Catch any low you see then ride.
All the trading money today went to HE1 today I am thinking, which just left the ducks here quacking away - pond is empty today - quack quack.
Never mind, fortunes return next week.
Best duck joke of the day -
If it walks like a duck, talks like a duck, and smell like a duck but Chuck Norris says it's a giraffe. It's a damn giraffe!
Senior directors exit in boardroom departure list.
Under performing I guess.
https://www.drapersonline.com/news/boohoo-senior-directors-exit
It seems none are actually too excited.
SP likely to continue an upward trend in to next week. A repeat of a chart pattern from last year. It doesn't last but will result in a higher stable SP until nearer the May release of the Annual Accounts which is expected to show a drop in revenue of around 12% but that could be the opposite subject to an RNS being released in March.
All guesswork so pick your own straw & accept your fate. In short Up Up & more UP, followed by a stable period of volatility then a drop on results day. Previous history backs up my prediction & is the BOO SP cycle until certain profitability returns & the RCF disappears in 2025.
Says to me that the ship steers from three sides (Stern, Port & Starboard).
A CFO jumps / walks the plank for no given reason means that he wasn't part of the crew.
Just have John Lyttle & Frasers left to battle it out, Maybe BOO being rammed by Frasers is setting a new course.
What will be left? UK factory going, UK Warehouse going, CFO gone - then I expect DTN to do his merry dance & sing BOO is sinking. Just another day on the BOO BB.
Buy BOOs before lift off.
Https://www.retail-week.com/fashion/boohoo-warehouse-closures-imminent/7045427.article
A relic from the Arcadia Group. Cost cutting seems to be on the agenda - a sure way to lift share prices.
Boohoo are streamlining their reporting processes so you get more good news. It was a good time to carry out this work as December trading wasn't that good.
The big gig in the sky is the return to profits for BOO & the sooner that happens the better we will be. Closing factories is costly so expect some exceptional costs this year.
The Very Group are having a hard year with retail fashion - https://fashionunited.uk/news/business/very-group-fashion-sales-fall-yet-retail-sales-rise-elsewhere/2024011173525
Kamani could be loaning his stock and why not?
Trading update will most likely drop the SP so an easy gain for Shorts.
The only spanner in the works is Frasers & how much they will eventually take. It is just a matter of time before the end game can be seen. The current BOO BOD will not be in position in 2025. No bonuses this year as the SP did not perform.
Pipedreamer - SP likely to rise in the afternoon & end around 34.3p - Volume to remain low today.
Next week will be higher.
Unlikely Frasers will purchase anymore until next week but the SP is currently in their price range.
Just my view - only valid once the future arrives.
Https://jhoonline.biomedcentral.com/articles/10.1186/s13045-022-01351-y
Just posting this link which looks at the CTC applications for liquid biopsies. Detection can be difficult in low tumour counts as shed particles are not easily identified. Angle is not the only one doing this research.
Reporting processes are being streamlined - which means counting anything that makes good news while locking away any potential bad news. So lots of good news to come & investors will be chuffed to bits with the superb performance of the company. As for the UK and global economy - all looking perky blue, just don't mention the war, that is if the ever was one somewhere far far away. No ships have been sunk for a very long time so no worries there either and costs are reducing as inflation turns to dust. Maybe ASOS & BOO will exercise a tighter control of the news agenda making negative stories harder to find. No whistle-blowers in Morocco however they do have "Flute type Horns" which are pleasing to snakes. https://www.youtube.com/watch?v=5bQ9s0oBG_g
Pipedreamer - you are doing well to chart this stock. It is almost an impossibility to daily chart the future direction of the SP. Long term it is easy. Medium term has strong possibilities of a major controlling stake by Frasers. I thought their plan was near an end but if the SP tracks its current price they will continue to buy. That doesn't help the SP until the available free float becomes less available. Shorts seems to be just watching & are awaiting the negative trading update despite a good year end to 2023. This week I don't see any hits above 35p coming & no drops into 32p territory. Traders are looking for high interest rapid moving stocks and all that is moving here are Frasers & ATs. Charting computing algorithms can lead to a high degree of satisfaction when you end with no losses or gains. Looking ahead to next week I would hope a start of an incline to 37p will occur but early days at present.
Buying pressure will keep BOO from falling below 32.5p
Today is just a RED FACE day
Maybe worth waiting until the afternoon for a clearer direction short term, BOO is a long term riser.
RNS - TR1 due out soon.
barnetpeter will need to fund his shorts to keep up - eh hot pants!