RE: Chatgpt8 Jun 2023 10:53
Wrong price indeed sage and clearly evident in low volumes, even when they knock the price down to try and stimulate volume nobody, if anybody, is selling. Hardly surprising really given it is so undervalued, and clearly so based on the Apollo valuation of THG Ingenuity ALONE.
The share price @THG has been blatantly and successively robbed of its true value. So much so everybody can see it and there have been two rounds of Bidding activity on THG already. Yes the negative narrative of sell side City analysts, Hedge Funds and journalists combined to create a negative narrative, but, the Market Makers themselves have to bear as much responsibility. It is they that decide where a share price moves to or opens (like on the morning after the door was closed on the Apollo Bid), how big the hit or premium they give to any news, the size of the spread and how many shares traded are actually needed to move the share price one way or the other.
Seems though now that the trading volumes @THG are telling them that they have got it woefully wrong. No problem for them I hear some say as they can always move onto their next victim.
But the problem in the wider context is that the potential "victim pool" is becoming less and less. Softbank taking the ARM listing to the USA was a big blow for the City and any new listings, several other high profile large companies like CRH choosing to relist in the US also reduces things, Pension funds actively and deliberately investing overseas rather than the UK are testimony to this toxic "environment" and the highly publicised outspeaking of many CEO's all telling their tales about what to expect when listing in the UK (Matt Moulding being one), are all serving to highlight that the current climate is seriously wrong.
So here we bimble along with everyone knowing Apollo valued THG Ingenuity at in excess of circa 65p and we sit with a share price underneath that grossly undervalued figure at 62p - and there is NOT ONE BIT OF VALUE being attributed to THG Beauty a £1235 Million global revenue generating business and THG Nutrition a £675 Million global revenue generating business
Many wondering what Matt Mouldings Plan B is to get truer and fairer value. Things need to reset themselves upwards at some point or it's odds on for me that he relists one or more of the THG Divisions in the US. (Nutrition)
Then again next time around and with The Golden share going he might not get the chance.
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