Member Info for Valueplay

@chilting

Yes Ocado have signed up more customers. They have greatly increased capacity recently enabling them to fulfill more customer orders. Customers I believe though in general will be ordering smaller and smaller baskets as the new norm moves away from sourcing groceries in one weekly shop. Customers increasingly regularly shop at a range of grocery providers including rapid delivery. This basket size reduction puts a lot of pressure on the profitability of Ocado. More deliveries equals increased costs.

MrProfits post from earlier this year

"Personal posts 04 Jan 2022 11:26
I have filtered all posters who have made comments on here that are personal about others.

It’s great! Really cleans up the bb to the issues and now I am able to see commentary around the company."

I completely agree. It's the company we should be talking about not personal attacks on individual posters on the chat board...

Results are out. Seems like a standard set of results. Familiar themes continuing. International revenues rising, Ocado retail revenue sliding, in large part due to customers reducing their basket size. No new international partner announcement. Ocado retail sales guidance unchanged. Overall loss for the half year.

OWLS,

I bought the vast majority of my Ocado shares at £3.40. I saw the early opportunity. Held them for many years then sold. Didn't sell at the top of the market true but still made a huge profit. We'd all like to time things perfectly but making good profits is what it's all about.

Very happy to have cashed out my shares awaiting further market superb opportunities which I believe will present themselves.

My time invested in following Ocado has been very productive and profitable for me thus far. Very happy sitting in cash watching the stock market currently.

Always fascinating to track the evolution of Ocado..

Best to all

Personally I have made great profits from Ocado and have enjoyed sharing my research with others on this board. Has been great to read all the posts from others who have different angles on Ocado. Whether others have profited as I have is down to them. Discussion/chat boards are just that. Investment decisions lie with individual investors themselves.

Your previous post said that value is capable of returning to Ocado at any time, now you are saying Ocado shareholders are dreamers. It's incoherent.

My view has changed currently on this company. The cost of living crisis has been extremely damaging to Ocado.

Through informed discussion we all learn more, best to all

https://www.thetimes.co.uk/article/ocado-loses-m-amp-s-food-mastermind-fkrlq8tvj

Some may be turning to Ocado instead of restaurants Mrlong however Ocado retail have reduced their sales guidance twice so far this year. This does suggest whilst some customers may be turning to Ocado many are switching from the service to other providers.

Any long term contributors to this board will know that "MrProfit" is another account setup by longtime contributor NeilHumphreys. The style and history of the posts in the account mirror Neil's style. Neil always resented that I had made great profits trading Ocado shares.

Personally I have never shorted Ocado. I sold out with big profits some months ago as I saw the cost of living issue biting into Ocado. Since selling I have continued to post my researched opinion. Currently I have no holding in Ocado shares but as always I follow the company with interest.

Ocado for sure is competing in part with Aldi and Lidl. These two companies are taking customers from all the other grocers in this acute cost of living crisis.

Waitrose are performing poorly, agreed, however Ocado are expanding at a snails pace despite them being in the supposedly fast lane of grocery, online grocery. Ocado has recently hugely ramped up capacity. Despite the capacity increase the sales have barely risen.

Re the notification etc. It's happening with far greater frequency for me from Ocado. I have other online grocery providers apps on my phone, Tesco, Asda, Morrisons and they all send far fewer notifications.

Personally I see Ocado retails sales being downgraded again by the company for the third time this year before long...

Today's Kantar sale estimates release:

"By supermarket, Tesco PLC was resilient over the 12-week period, its market share steady at 27.1% and sales up 0.1%, in line with the broader market trend.

J Sainsbury PLC saw its market share edge down to 14.9% from 15.2%, however, and sales fell 2.2%. Online-only grocer Ocado Group PLC's market share was steady at 1.8% and sales rose 0.7%.

Former London listing Morrisons fared particularly badly, with sales dropping 6.7% and its market share ebbing to 9.4% from 10.1%. Waitrose sales tumbled 6.3% and its market share slipped to 4.6% from 5.0%.

The standout performers were German discounters Aldi and Lidl, growing sales by 11% and 14% respectively."

Agreed. I receive far more Ocado app notifications than I used trying to encourage me to buy this and that. They seem to be pushing any lever they can to try and increase sales.

Re Ocado Solutions I believe that the potential new oversea customers are reducing as grocers focus on handling their core business rather than expand further into online grocery. It can be seen in the latest UK Kantar sales figures that Ocado retail figures have increased 0.7%, whereas Aldi and Lidl sales figures are marching ahead with over 10% growth...

Cheers for correction Treacle24. The stifling head has got to me. My post is re Ocados half year results, due out on Thursday

Below are my expectations:

That we will understand further tomorrow why Ocado raised funds recently unexpectedly. I believe costs are rising greatly on the Ocado Solutions side of the business. CFC build costs and pay for Ocados tech staff being 2 very hotspots of cost rises.

Ocados retail sales in the UK will underwhelm and possibly sales guidance will be reduced for a third time this year.

Ocado could as always sign a major contract and propel it's share price higher but I do not expect that to happen tomorrow.

For me there were too many red flags around Ocados recent cash raise. The accompanying RNS re the fundraise didn't address the obvious reasons as to why the fundraise was occurring far earlier than predicted. I believe they raised in part because they saw their share price deteriorating further so by raising earlier at least they could sell new shares at the £7.95 a share level. A price that already looks out of reach for the share price currently.

Received an Ocado delivery this morning. Chatted to the driver who informed me that only a third of the Ocado delivery vans have air conditioning in the driver cab. He went to work early to secure a delivery van with aircon for the day. Seems the food is looked after much more than drivers. Surprised me, I thought the vans would have Aircon as standard. My delivery was in South East UK.

UBS cuts Ocado price target to 950 (2,100) pence - 'neutral'

@Poker

US inflation risks becoming out of control. Aggressive raising of rates sensible to combat inflation. Rates will be rising quicker as I thought. Great to be in cash at the moment.

American inflation rising higher than the market expected. This leads to a higher probability of higher and faster interest rate rises by the Fed in the US. Investors are currently further selling off high risk stocks as the worldwide macroeconomic environment further deteriorates..

Could be rounds of talks etc. Personally I see continuation and escalation being the running themes of the Ukraine- Russia war for the foreseeable...

Meanwhile Putin will be using any inflationary lever he has over the west to drive up the cost of living crisis....