Jump to content

Ocado


Tonyever

Recommended Posts

  • 1 month later...

Hi , thought I'd add to your post on what is one of the most shorted UK stocks

 

In the year to 3 Dec 2017, Ocado reported a pre-tax loss. Costs developing IT systems and automating warehouses weighed on profits (-£0.5m versus £12.2m profit the previous year)

 

But they have announced a string of partnerships; French supermarket Group Casino, Sobeys of Canada + another unnamed

 

Shareholders will hope these will allow Ocado to slowly start to turn a profit... Ocado have said they expect earnings to rise significantly in 2019

 

However since the tweet below went (semi) viral in January the share price is up nearly 50%!

 

Ocado tweet.png

 

For those who are still as sceptical about the business model as they were at the turn of the year, this in theory makes the company an even more attractive short, right?

 

Ocado.PNG

 

Interestingly, the percentage of its shares on loan to short sellers has fallen to 7.9% from 13.5% back in January

 

Do we think there has been some profit taking by the sceptics or have the winds changed and sentiment about the long-term earnings potential improved?

Link to comment
  • 1 month later...

Its one of the hardest stocks to call. Some people felt as a grocer it was over valued. However, it is starting to be regarded as a tech business. and perhaps rightly so, after seeing this video:

 

"Ocado's new warehouse has thousands of robots zooming around a grid system to pack groceries. The thousands of robots can process 65,000 orders every week. They communicate on a 4G network to avoid bumping into each other. Is this the future of retail?"

Link to comment

Join the conversation

You are posting as a guest. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

  • General Statistics

    • Total Topics
      16,008
    • Total Posts
      76,721
    • Total Members
      63,932
    • Most Online
      7,522
      10/06/21 10:53

    Newest Member
    Pranay
    Joined 19/09/21 01:18
  • Posts

    • @Caseynotesthanks for the reply. How do I know if I am trading at DMA platform or any other.       
    • Hi, all brokers are market makers to some extent. If you are trading on the Direct Market Access (DMA) platform then you are dealing on the exchange through IG but if using any other platform then IG looks to match those trades inhouse matching shorts to longs. Any excess they hedge on the exchange themselves.  So IG aren't taking the other side of your trade, they are covered whether you win or lose and they make on the spread from both parties. If they need to hedge they still win because they get a better spread than what they pass on to you.  
    • Err, I've had all my real vaccines, the ones that completed safety trials, have also had special vaxxes when had to present proof when travelling to a country were there were dangerous diseases present, no problem. But experimental gene therapy that has no medium or long term risk data for a disease that, according to the FDA, has just a 1 in 250,000 risk, and needing to present proof to go to a restaurant or club in my home town - no, this is not about a virus.   Note that the FDA officials that the Biden admin pressured into giving early FDA approval for these vaxxes both resigned. FDA panel just voted 16-3 AGAINST approving the boosters This slide was shown at their meeting.  
×
×
  • Create New...