Member Info for Valueplay

I think M&S are very much moving to occupy the middle ground of shopping as well as the high end. Their full food shop strategy is clear. Lots of showcase large Marks food stores opening currently.

The likely scenario is that M&S buy out the other side of Ocado retail. Possibly financed by selling off the clothes division or just tap Marks shareholders for more cash. By mid next year the success of the Ocado MKS joint venture will be crystal clear and the financing will be a sellable story to MKS shareholders.

Interesting idea chilting but I can't see that happening. M&S are spending big amounts developing and implementing a full food range. Morrisons food would be duplicating a lot of that. Also a lot of Morrison's range is duplicated by Ocado.

I see Morrisons growing their relationship with Amazon. Possibly with Amazon taking them over.

Yes Ragge Morrison's only took a temporary from Erith.

Below is from the Ocado RNS on 9th May 2019. Big changes occured that day between Morrison's and Ocado's relationship aside from the warehousing temporary changes

"In addition, both parties have agreed to a mutual relaxation of certain exclusivity provisions bringing Morrisons more in line with the terms agreed with our existing international Ocado Solutions clients."

"Our new agreement allows us to have more than one digital partner, and opens the way for significant potential opportunities and partnerships in this important growth area for Morrisons."

Looks like the above means that the exclusivity clauses were relaxed for both Ocado and Morrisons. Leaving either to form relationships with others in the UK. Although I believe in the international contracts Ocado is prevented from working with other supermarkets in that country.

That's a fair first post Don, welcome to the board.

So many possibilities/demand for Ocado to pursue/meet

That sounds like a quality lockdown tipple Jimmy.

Let's hope 2021 is a better vintage than 2020 for all of us.

It'll be white lightning cider for you soon....

The Morrisons deal with Ocado loosened after the warehouse fire. Ocado allowed Morrison's to work with other online providers ( they currently work with Amazon, deliveroo). Ocado gained a lot of Morrisons allocated space in Ocado's warehouses in exchange. Most probably Morrison's also allowed Ocado to work with other UK supermarkets at that point.

The bigger issue is the MKS partnership. I think there's something in there preventing Ocado working for other UK supermarkets.

Personally I cannot see Ocado working for Tesco as they are a direct competitor to the Ocado/MKS Joint venture. It is possible though.

I think Ocado are contractually bound to not work with other supermarkets in the UK as a result of the MKS deal. There could be a loophole that could allow them though. Of course if MKS are happy then that would allow them. Could involve a financial benefit paid to MKS.

elliot846,

Ocado share moves have been very tame lately. Mostly small rises, the odd drop. Having been in this share for 3 years I can say it rarely stays this way for long.

Could be a new contract coming. Q4 trading statement on the 10 Dec. Both the above could give a big boost to the share price. Could be a drop from here but you'd think it wouldn't be big. Vaccine news and legal case news are factored in now.

Who knows. What I can say for sure is that management have done a fantastic job over the last 3 years and have looked after us shareholders well. I expect that to continue.

Oracle has found a day job I think. He's preoccupied now. Serving and drinking Stella somewhere probably...

Best to all

I don't know but Tesco's artificial intelligence is not market leading.

https://www.thesun.co.uk/news/13247420/tesco-shopper-condoms-latex-gloves-artificial-intelligence/

https://www.thesun.co.uk/news/13243548/supermarkets-most-common-place-catch-covid/

Certainly. Whatever share recommendations anyone hears about you absolutely need to do own research on the relevant share before looking at investing.

2330p. Hope this continues tomorrow...

Apologies Graking. I brought up SAGA as an investment opportunity on this board last week. Yes, let's try to keep on the Ocado topic...

Yes, Saga is mostly an insurance company though. On the insurance side Covid has led to less motor and home insurance claims and higher corporate insurance rates. Ongoing shift to work from home will continue this trend. UK company RSA insurance taken over by Canadian group for £7bill plus this week.

Proven vaccines are coming. There will still be enormous growth in online grocery worldwide..

Agree with you Know0. I think there's a fair bit of upside left re SAGA. It's well financed due to recent capital raise has attracted spurned takeover bids recently and now has very astute former owner Roger De Haan on board as a 27% investor. Will look over your other listed companies.

Ocado sneaking up today...

Cheers Know0, SAGA up 64% this week. I tipped it on this board last week and bought in then. It's looking good for a move even higher. Bouncing off a very low valuation. Takeovers in the insurance sector and vaccine news boosting their travel outlook. Happy to keep holding there.

Baby steps upwards for Ocado today. Given the tough overall market conditions that's fine though. It's looking quite upwardly consistent currently...

https://news.sky.com/story/covid-19-oxford-vaccine-produces-strong-immune-response-in-older-adults-early-results-show-12135926

Should give a boost to the Saga share price today...

The market is oscillating between growth and value stocks currently. Ocado, a growth stock, has been a great play through the pandemic. Market took profits re Ocado on vaccine success news. Now it is re-evaluating things. Despite a vaccine coming Covid will continue to hit the world in many ways and the embedded pattern of online grocery looks set to stay and grow post pandemic.Market looking gloomy tomorrow after wall street's droop today but Ocado should weather that storm. Strength is back in the share. Looks like it is getting back in favour once again. I see more market turbulence ahead which Ocado should ride through well.There are some great value plays out there. I recommended SAGA last week on this Ocado board. SAGA is up 55% in last 3 days.Best to all. May Oracle long remain muted...

That's the end of day uncrossing trade. Disregard that one.