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Moose, Bought at a higher price.
Someone (T Rowe?) bought £1m worth of ASOS shares at £21.76 at 16.57 hours...
Here we go...the tip of the iceberg!
‘Another nail in high street’s coffin’: Wilko to close up to 15 stores..
Who is Next?
I wonder if there will be another £1m purchase of ASOS shares after hours today ...just like last Friday..
Someone (T Rowe) bought £1 million pounds worth of ASC shares at £22.06 last Friday at 18.37 hours.
T Rowe will be mopping up the shares ...They have fallen too far.
ASOS - one of the few companies to grow revenues by around 15% a year..
Why would T Rowe not buy and hold?
T. Rowe in the US knows that in 2021 - only 70 out of S&P 500 companies grew their revenues by more than 15%.
Let's see if ASC is in the same category on Thursday. BOO increased revenues by 13%.
Share price then between £25.68 - £27.88 as stated below.
T Rowe in the US already knows that ASOS is undervalued.
Accounts to 31st August 2021. ASOS Revenue was £3,971.5. Profit after Tax £128.4m (3.3%). Eps 128.4p x 20 = £25.68.
Accounts to 31st August 2022. Assume 15% growth due to quasi-lockdown. ASOS Revenue to be £4,497.1m, Profit After Tax £139.4m (Net Margin % is 3.1% due to headwinds). Eps 139.4p x 20 (P/e ratio) = £27.88.
The current share price should be in the region of £25.68 - £27.88 with ASOS now 4 months into this Financial Year.
Trading Update is Thursday 13th January.
ASOS due to report Revenue increase in the range of 10% - 20%.
Someone bought £4 million pounds worth of ASOS.
At 17.33 at £22.04
Just watched CNBC - This week Nasdaq Old Tech (Growth stocks) down a bit. e.g. Microsoft.
Young Tech such as Kathy Woods ARK fund down 50% in the last 6 months. These are momentum plays and very high P/e s or Price to Sales Ratio.
ASOS is the best of both World.... P/e around 17 and a Growth stock with Sales set to grow 10% - 20% in this Financial Year ... This is better than what Microsoft is predicted..If not, Then a good candidate to be BOUGHT OUT.
YOU don't need to RNS when it is public knowledge that Boris Johnson said we are going to Plan B.
What planet are you on Maxage. DOH!
Maxage - Also Sales for BOO increased dramatically from 10th December 2021 when Plan B restriction can in and footfall fell over 50% for physical stores during the Xmas festive season.
Maxage, You are making up as you go along.
NO cash is needed for US expansion - you can lease a warehouse premise.
DEBENHAMS BOUGHT FOR 66M POUNDS AND IS A ONE YEAR PATBACK... JUST WATCH AND LEARN!
Now only 4 full trading days until Trading Update.
Also Sales for ASOS increased dramatically from 10th December 2021 when Plan B restriction can in and footfall fell over 50% for physical stores during the Xmas festive season.
Also BOO Sales increase are running north of 13%.
(Figure in the December 2021 update was 12% - 14%)
Next predicting Sales increase of 7% in 2022.
In the December update BOO said Revenue for the "year ending 28 February 2022, the Group now expects net sales growth to be 12% to 14%". So Growth in Revenues. Growth in Profits to around £103m (with lower margins for shipping costs etc)...
Also another catalyst will be the ASOS trading update on Thursday 13th January with revenue expansion greater than 10% with lower margins..
Thanks Peoplepower,
I just stick to the logic of Earnings per share multiplied by the Price Earnings ratio and not a Discount cashflow model going out 5-10 years. Better to look at the here and Now...
Based on Accounts to 28th Feb 2021. Revenue £1,745.3bn. Profit after Tax £93.4m (5.4%) Eps = 7.43 x 20 = 148.6p
Forecast to 28th Feb 2022. Revenue £1,972bn. (+13% already announced in Dec 2021). Profit after Tax £102.9m (5.2% due to headwinds). Eps 8.12p x 20 = £1.62.
Please can someone explain why this share price is not between 148p - 162p?
I would do the same if I had taken the risk to set up the company.
NB. Elon Musk just sold millions of shares in Tesla... the shares went down...
BUT on a good trading Update this week the share went UP 10% !