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Cheers MrHold,

There's a good possibility of further moves upwards. The Ocado share price hit 2883p in January 2021. The Autostore court cases were well known at that time. There have only been small developments on the court cases. One in which Ocado's case was allowed to proceed as it had a reasonable chance of success according to the judge. "One of those asserted AutoStore patents has since been revoked by the European Patent Office" - This occured also in favour of Ocado. Ocado recently lost a chance to be able to submit previous evidence to the American trial judge. This is being appealed.

With markets turning back towards tech and away from value shares, as short term interest rates expectations rise sharply but long term rate expectations ease, there looks a good chance of a rise before the Ocado half year results next week. With Kindred systems 3 contract wins since Ocado bought the company, and all the successful overseas CFC builds, it looks like Tim Steiner he will have a lot to shout about in the presentation next week..

Yes, had heard something regarding that :o)

Kindred systems have signed 3 new contracts this year. That acquisition looks to be marching full steam ahead.

Another new contract for Kindred systems, a wholly owned subsidiary of Ocado..

https://www.supplychainquarterly.com/articles/5012-kindred-makes-third-link-up-with-a-systems-integrator-in-2021-to-boost-its-robotic-picking-arm

"The integration marks San Francisco-based Kindred’s third partnership with a systems integrator since being acquired by Britain’s Ocado Group plc in 2020 for $262 million. In recent months, Kindred has also announced alignments with California-based SDI and Arkansas-based S&H Systems.

Kindred says its Sort product is a smart robotic put-wall solution used by retailers and third party logistics providers (3PLs) to accelerate polybag pick and place processes to meet increasing consumer demand. Past applications of the platform have included large installations by clothing retailer Gap Inc., which purchased 73 of the robots in 2020, growing its total fleet to 106."

I get your point shaggers54. It's just at this juncture their purchases and timing have been crucially important in creating the current wave upwards.

New issues re Ocado topic posts coming soon :o)

More positive momentum feeding into the Ocado share price so far today.

The largest 2 shareholders of Ocado recently bought £100m of shares between them around the mid £19 level. Given their incredibly successful record in investing in Ocado I am very sure they haven't bought only then to sell at £23. They haven't bought shares for years but both pounced at the mid £19 level - seeing it as a great buying opportunity. They will be holding, looking to sell at what they perceive as their exit point which will be something like when Ocado merges/is taken over or when the share price hits £40.

Personally I'm very happy holding as this share rides upwards...

Nicely back up to 2000p now.

The momentum continues..

I don't believe in jinxing/luck chilting. 2000p was hit, soon it will be at that level again.

Brightening outlook, onwards and upwards...

The share price is still way off recent highs but there's progress occuring here. The technology share market is looking fundamentally a lot stronger as long term interest rate forecasts subside. Sobeys, Kroger and Casino France have outlined recently that their Ocado CFCs are currently delivering industry leading metrics. Brokers are outlining that Ocado is undervalued and the 2 major investors in Ocado have bought £100mill shares recently.

The outlook is brightening. Best to all.

There's been some treacherous conditions over the last few months for tech shares. The storm has passed now. Ocado was unfairly hit. We all had an extended period to buy in the low range. Most of us did so.

Onwards and upwards...

Yes, of course they don't always get it right. However they are a very informed bunch. A 2350p price target for Ocado is fine by me. They are positive on the share.

Momentum is building.....

Interesting, thanks for that information. Good for Ocado to get that distraction out of the way, nice to win that.

I guess you are referring to the settled high court case re Ocado's zoom distribution centre?

Can you give more information Ragge?

GOLDMAN SACHS CUTS OCADO PRICE TARGET TO 2350 (2525) PENCE - 'NEUTRAL'

Yes, certainly interesting to speculate. When a post includes the phrase "absolutely compelling case for a merger" it naturally receives reactionary comment. There are huge issues to a Kroger/Ocado merger/ takeover. Main ones being that Kroger's conservative dividend focussed investor base would baulk at the companies change of direction. If they merged and developed CFCs across the world on their own the cost of building out this network would be enormous and require huge yearly capital spends. Again not something Krogers investors would buy into.

Kroger overall is doing well as a grocery retailer. It has a good history of growth. M&S bought into Ocado because the company was in terminal decline and had ignored online grocery retailing for 10+ years. M&S shareholders signed off the Ocado investment and it has worked out very well for M&S as they revamp their structure. Kroger doesn't need a drastic change of direction.

If there is a favourable outcome for Ocado in the Autostore court case then the likelihood of Ocado merging or being taken over would increase. The 2 biggest Ocado shareholders recently buying £100m of Ocado shares between them shows they see a good court case outcome and a very favourable business environment for Ocado going forward.

I respect your opinion chilting but I believe it is unlikely that a Kroger/Ocado merger will happen. Kroger taking over M&S is extremely unlikely in my view.

I do not believe Ocado will be taken over or merge in the short/medium term. A possibility is a tech firm who are extremely keen to expand into online grocery delivery ie Amazon/Uber taking a large cash stake in Ocado in exchange for newly issued shares. The tech firm would gain proximity and exposure to Ocado's tech and Ocado could use the finance to expand in grocery tech and expand into other technology areas.

This investment would be similar to how SoftBank have recently bought a stake in Autostore and the Hut group.

The future is getting brighter for Ocado. Plenty of expansion ahead before a need to be taken over. More than likely Tim Steiner has spurned many offers of major investment or takeover in the past. He sees Ocado's path ahead very clearly and knows there's huge rewards/ profits ahead if Ocado can stay as they are currently - ahead of the game.

Out today:

Ocado: JP Morgan downgrades to neutral with a target price of 1,900p.

Their most recent rating from JP Morgan on Ocado I can find was a 1650p target and a neutral rating issued on 15 Sept 2020..

That's a spot on comment graking to chiltings insightful post.

I've posted at length on this board re why there has been a delay from the last contract signing in Nov 2019. In a nutshell I believe there must have been untold issues to deal with in progressing build outs of existing clients whilst the pandemic has occured. Huge issues at Ocado retail in the UK also. However these have been dealt with very well. What Ocado have absolutely prioritised is that their existing contracts become prime shop windows for further business. If the Kroger CFC build outs escalated in cost or produced below standard delivery metrics then Ocado's value and product would be greatly tarnished.

As it is now, you are absolutely right. Ocado will be showing off their Kroger CFC x 2 build out successes. Also given Kroger has a near £1bill stake in Ocado they will be absolutely wanting to show off these flagships CFCs to potential new overseas Ocado Solutions customers.

Welcome to the board Discern,

Fascinating first post. Don't think we've ever had any posts from an existing suppliers perspective to Ocado. Great to hear Ocado have been understanding in these torrid times. Hope you can post again in the future.

All the best, hope you thrive as the covid restrictions are lifted.

Great post MrHold. I also chat to my Ocado delivery drivers each week. They seem to be a happy, efficient bunch with a focus on the customer. Far happier than the delivery drivers I have had in the past from other online grocery delivery companies.

Hopefully 2000p is reached soon. Best to all