The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
PP, I'm bullish on this but that is desperation.
LA case - no impact as already accounted for
USA Warehouse will only become a good ROI if US growth continues
The UK manufacturing excellence centre is as big as a car showroom and is just a PR stunt.
Cosmetics will have no impact on the sp, unless sales grow with time and increase net margin.
Metaverse is a waste of capital.
Agree with you Alex1621.
Real income will most likely fall. Interest rate rises will likely cause a recession. Inferior goods tend to do well in recessionary periods however, and Boohoo's portfolio definitely falls under that umbrella. If consumer behaviour remains the same i.e people go out etc.. Boohoo should be fine.
I'm slightly worried about the future of this company. They face secular headwinds that will take high CapEx to resolve. I'm confident they will reach previous highs once supply chain issues resolve in 18 months, but past that I don't think Boohoo have great prospects in this sector. People are waking up to sustainability and supply chain ethics, and to reform this huge CapEx would be required.
Principle is still the same. They sold due to poor risk management and buying at the wrong time. Right now this is a buy. These funds messed up buying at ridiculous valuations and are feeling the consequences now.
PP1. You are either an idiot or spreading misinformation.
Jupiter sold their holding as they exceeded FCA position sizing.
https://www.thetimes.co.uk/article/jupiter-stars-fund-hid-investment-cap-breach-5wsz9tt2x
I'm waiting on the trading update to make any big moves on this. If the update is good, great. Sp goes up and I keep on holding and have cash for a possible market crash. If the trading update is awful, the sp will likely nosedive. That's when I'll double down on my position. I'm pretty confident on this, as unlike most of the posters on this board, I'm in the Boohoo demographic and know that demand will spike in the summer. Shein has been helped massively by TikTok and I can see demand falling with time.
Its undeniable that the share price is being driven by daytraders / short sellers. Are there headwinds for Boohoo, of course!
Company currently sits at around a 8 forward P/E ratio. Even if multiples rerate I have faith that margins will return to normalised levels with time. This represents value, and I'm topping up my position at these levels.
I agree with that, but my problem lies with the partner fulfils program. When ASOS sells shoes for example, the price is determined by reebok .. etc. If reebok are feeling the impact of supply chains and increase prices, will that reduce the average bag size? Will that then decrease revenue?