Member Info for Peoplepower1

Shein don't need to buy Boohoo nor ASOS for infrastructure. They have Frasers in the UK who will also have warehouses too. And Forever 21 in the US who will have infrastructure beyond shops. Shops need warehouses to hold stock too.

China is the US's third biggest exporting country. The US sells a lot to China.

Missguided could give Shein access to using Frasers infrastructure. Shein doesn't need to buy Boohoo nor ASOS.

Shein don't need any of this.

Shein don't need to take over Boohoo.

China and US need each other for trade. There'll always be contentious points.

China remains the biggest source of imports into the US, and last year trade in goods between the two countries hit an all-time high of $690.6 billion. US imports from China totaled $536.8 billion, accounting for about 17% of its total imports. Exports to China were $154 billion, 7.5% of total US exports to the world.

American companies have huge manufacturing networks in China and rely on Chinese consumers.

Tesla, which opened a factory in Shanghai in 2018, now makes half of its electric cars in China. Apple still makes many of its iPhones there. Others consumer brands like Starbucks and Nike have a large customer base in China. Intel, Microsoft and General Motors derive a sizable portion of their revenues from the country.

China is also the No. 2 foreign creditor to the United States. It held $835.4 billion of US Treasuries at the end of June, according to most recent data from the US Treasury Department. That’s second to Japan’s official stash of $1.11 trillion.

Louise Deglise-Favre, apparel analyst at the analytics firm GlobalData, said that Boohoo was being forced to "reckon with reality”.

She pointed out that its struggles were also partly due to the meteoric rise of Chinese company Shein, "which has jumped to the top of the ultra-fast fashion game and continues to steal market share”.

She suggested that other consumers might also have changed their priorities when it comes to shopping, preferring to invest in longer-lasting pieces.

But Boohoo still needs to compete with competitors like Shein and Fashion Nova, and "it will need to upscale its marketing efforts if it hopes to compete," Ms Deglise-Favre added.

I think there’s too much competition for Boohoo, too much money needed by Boohoo to fight the competition.

When I said it was cheap to set up a website and sell, I meant it doesn’t take billions to set up as online competition to Boohoo. So, there’ll be more and more competition online.

And offline. Primark realised they didn’t need to be online to compete against Boohoo.

A few years ago, it was online were going to decimate offline, now it’s offline who are decimating online because people are going back to buying in shops.

Things change, tastes change.

What happens when fast fashion goes out of fashion? More and more young people may decide against fast fashion.

In my opinion, there are too many risks for Boohoo ever getting back to 10% profit from their revenue. I think this is what is needed for investors to consider buying Boohoo shares again and for the Boohoo share price to steadily rise in the future.

If you think the cost of living crisis isn't affecting Boohoo, then, you need to watch Boohoo’s presentation for its latest interim results.

AIM index has dropped below 700 which adds to the woes of AIM shares.

NMW1969 - there's loads and loads more online competition for this. It's cheap to set up a website and sell. You'll get more and more online competition.

T4g - Primark and TK Maxx are huge competition to Boohoo in the UK. Plus in the US you have the same, Primark, TK Maxx, Walmarts, Target and many, many more.

NMW1969 - the reason Boohoo grew from 2015 to about 2020 because there wasn't the competition or investors ignored the competition. Now, there's more and more competition. And, too many holders on here are still ignoring the growing competition.

NMW1969 - Boohoo needs to prove it can turn itself around by producing the evidence. Too much against Boohoo, cost of living crisis along with too much online and offline competition.

Competition is too fierce now.

NMW1969 - that's how you lose money by not considering negative issues related to the shares you hold. I learnt the hard way. If you don't learn by your mistakes then you'll keep making the same mistakes over and over again.

I prefer to learn from my mistakes.

SuperMooseXL - there may be a change curve. It's a very small change curve. It might look big because of the way it's been drawn.

End of February 2025 a profit of about £6m and end of February 2026 a profit of about £26m. Poor profits.

With a cost of living crisis in the UK and US too, it doesn't take a genius to work out that shorting is the best way to make money on online retailers like Boohoo and ASOS.

SuperMooseML - On your link the Profit forecast is for February 2025 to be about £6m and for February 2026 to be about £26m.

Pretty poor profit forecasts.

Click on forecast to see these profit forecasts for Boohoo.

Investors look for profit and net profit at that. Boohoo doesn't look like a good investment with such poor profit forecasts up to end of February 2026.

NMW1969 - maybe if you'd taken on board what was said you could have sold out at a higher price and bought more at a lower price. This is all part of investing too.

Buying and holding in a bear market is not the best strategy at all.

The same for the US. There is a cost of living crisis in the US too. You need to be reading everything you can find about the US, inflation and interest rates for the US too.

This all affects Boohoo too and their USDC.

Some more from the link:-

‘If anyone wants proof that the cost-of-living crisis is still hurting parts of the country, just look at Ramsdens’ latest trading update," commented Russ Mould, investment director at AJ Bell.

From the link below:-

"Liberum believes that ‘the ongoing cost of living crisis and possibility of recession in full year 2024 will see more money being lent to customers through the pawnbroking business as average household bills increase and weekly disposable incomes reduce."

It's so important to keep up to speed with what's going on and how this could affect your shares.

Read everything you can find about the cost of living crisis so you're always up to date on it.