Member Info for Valueplay

lol hedged

"If you achieved 1% when the overall market was down 10% = excellent.

If you achieved 1% when the overall market was up 10% = could do better."

Ocado returned 100%+ over the last year. FTSE 100 returned 1%, FTSE techMARK 100 returned around 15%

Selling, changing mind = fine. Calling Ocado's 100%+ yearly return "only okay" = embarassing

Exactly OWLS,

WolfofWarks - Great you have jumped on board.

hedged,

Ocado shares have performed better than 95% of FTSE 100 stocks over the last year

You have compared Ocado group to other online retailers but the vast majority of Ocado groups value is derived from software development. If you want to compare it to others you should compare it to software development companies. A fair benchmark for Ocado groups share performance is the FTSE techMARK 100. You will see it has vastly outperformed that index.

Marks and Spencers bought half of Ocado's online retail operations in 2019 for £750m. Today the market values Ocado's remaining half of Ocado retail at a value of roughly £1.75bill.

Ocado groups market value is £16.5bill. £14.75bill of Ocado groups market cap is derived from the value of its software development/robotics division - Ocado solutions.

Fair enough edtheeuph. Best of luck with the strategy. You've been consistent in your comments.

neilhumphreys5ya on the other hand changes his story regularly according to how the MKS/OCDO share prices fall/rise. As Karister points out he declared he sold much of his MKS shares in November 2020 on the LSE MKS board.

On other boards Neil has even declared on Nov 2nd 2020 (after the Autostore court case date) that he was fully invested in Ocado having completely sold out of MKS

His profile on the advfn board is below. Look at the 8th and 9th posts down on page 1. I have copied the posts below:

https://uk.advfn.com/forum/search?q=neilhumphreys&index=posts&post_poster=on

02 Nov 2020 - 13:58:07 - 577 of 588
Many will be caught out here in my view as the lows have come and gone. Only upside now. Do your own research and don’t listen to the strange folk on here. I am so happy Ocado going back up! JV going exceptionally well with M&S we could see sales on Ocado top £3b Per annum! Fantastic and well done all, wish I was in M&S!

Neilhumphreys - 02 Nov 2020 - 12:48:05 - 7336 of 7433
I don’t have M&S equity as I sold at 135 and 111, and I am fully invested in Ocado. One wishes I had additional resources to invest in M&S as I expect 120 on this equity shortly!

Do your own research and stay happy guys and dolls yeah!

You will see in his other posts he dishes out verbal abuse time and again.....

Best of luck Ed_win re your additional Ocado share purchases. Futures indicating currently it should be a good day on Monday

Hedged - From an investors perspective Ocado's current 105% return (27 Feb 2020 to 27 Feb 2021) is exceptional. To say otherwise is farcical.

Ocado has outperformed more than 95% of other FTSE 100 companies over the last year.

You have cherrypicked some of the very few companies that are comparable in returns to Ocado. Even some of those though have underperformed Ocado over the last year, Dunelm 12 %, Fresnillo, 36%, Pendragon 13%.

You fail of course to mention any of the countless other companies Ocado has outperformed....

Ocado announced the purchase of kindred systems on 2 Nov.

Kindred - https://www.kindred.ai/

Tim Steiner, CEO of Ocado group, commented: 'I am delighted to be welcoming Kindred Systems and Haddington Dynamics to the Ocado group, as we believe they have the capabilities to allow us to accelerate delivery, innovate more, and grow faster. I am also excited by the opportunity to enter new markets for robotic solutions outside of grocery that is demonstrated by Kindred Systems’ robust growth, with existing customers such as Gap and American Eagle across the general merchandise and logistics sectors

Valuations re the above - Gap Inc (9.33 Bill USD company) American Eagle (4.27 Bill USD company)

Kindred's growth will benefit hugely from Ocado's robotics and Ai expertise going forward. Apart from the tech, which will help Ocado in their own grocery operations, Ocado have gained a new customer base who are very keen to further develop robotics in their existing warehousing....

"Ocado have done okay in the past year" lol.

On the year FTSE 100 down 5%+ whilst Ocado is up 100%+

Pursestrings

As a long term Ocado shareholder I am very happy with my 550%+ share price return over 4 years. It is more of this share price growth that shareholders are looking for. No need for dividends over the next few years. Ocado has proved they can reinvest funds very successfully within their business.

Ocado have recently bought kindred solutions who will help then further diversify their operations. Kindred are a robotics company that already have several multi billion dollar clothing clients.

Ocado have no need to sell of their half of the Ocado/Marks and Spencer joint venture currently. In a year or so maybe.

Simply a waiting game. Countless waves such as the current one have occured. Ocado is such a volatile stock. Weak holders can easily be knocked out as they sell on the dips.

Ocado has the best online grocery technology in a market that is red hot. Ocado has a tried, tested, profitable solution. Many still say online grocery is a fad. We will see when the dust settles again..

The party is far from over for Ocado. As before, big gains for the patient holders lie ahead...

Asian tech shares continued the slide overnight reversing FTSE futures to negative.

Looks like another difficult day for Ocado ahead.

Fed Chair Jerome Powell described inflation in the US as soft today. Good news for tech shares. Rally has occurred in the Nasdaq after the comments.

Ocado should move up tomorrow...

This current phase of Ocado share price moves reminds me of the moves from early September 2020. Huge SoftBank tech options, and rumours the market had topped out, sank the Nasdaq. Ocado shares recovered quickly afterwards.

Bond yields in the US are rising. Possibly pointing to inflation and interest rate rises quicker than predicted. Given Ocado spends £700m a year and raises funds through bond sales it looks like Ocado's cost of financing it's operation may rise quicker than forecast.

Jerome Powell testifies to Congress today. Expect more volatility depending on his comments/outlook. Nasdaq and US tech are well down, like Ocado over the last few days.

Turbulent times..

There are those who view Ocado as having very little value (broker Shore Capital still do not even rate Ocado shares). There are those though who see an outstanding future for Ocado (broker Bank of America has a buy rating and £34.60 price target for Ocado shares). The battle between the two views rumbles on.

When the dust settles who will be closer to the truth? Still a hold for me....

CREDIT SUISSE RAISES OCADO PRICE TARGET TO 1,500 (1,319) PENCE - 'UNDERPERFORM

The 4th broker price target raise since last week's annual results. They, like the other 3 brokers, are more positive than before on Ocado's prospects.

I'd echo OWLS's words. Whilst I enjoy following the day to day movements of the Ocado share price it makes little difference to my underlying outlook on the shares. I have researched Ocado extremely thoroughly and have belief in the management, their ability to deliver and where Ocado is heading in the future. It's that belief that allows me to relax amid constant ups and downs of the daily moves.

Short term share investing is extremely difficult. For the first entire year of my initial investment in Ocado I made a loss. I could easily have sold out. Unfortunately none of us has perfect market timing. The period of the Ocado warehouse fire (and many other periods in the past) were far more challenging for a holder of Ocado shares than the situation today.

If you are not sure about Ocado it could be a good move to sell as if there's another dip you will be doubting yourself and will probably sell at a further loss.

Personally I am comfortable with Ocado's current position. The lockdowns are being eased but very gradually. Work from home is permanently increased and the online grocery market has grown hugely. A ripe market for Ocado Solutions to exploit as it ramps up capacity across the world.

Agreed, less of a fall than they predicted previously. They are seeing a brighter outlook for Ocado....

GOLDMAN SACHS RAISES OCADO PRICE TARGET TO 2,525 (2,460) PENCE - 'NEUTRAL'

Small raise but shows they are more positive on Ocado after the annual results release.

Jimmyroyal,

Always a difficult one when a share is purchased at a high price and the price then reduces. It does test the patience and motivation of the investor.

Ocado continues the post results bounce. Up the last 4 days, even up today on a down day for the FTSE 100. Morgan Stanley 54% upgrade in price target today. Berenberg raised their price target too post results. 2 x big management buys of shares post results and institutional shorts reducing last week to a record low.

Looking good currently. As always with Ocado, it being a tech share, it can move up/down 3-5% quite easily on a given day with little news. Over time though the dust settles and predominantly the share price is higher.

There are many savvy buyers very eager to buy currently much to the dismay of the shorters/detractors of Ocado.

Best to all