Asos Share Discussion Threads

[telbap] 25/1/2018 11:59

There you go donna

[donaferentes] 25/1/2018 09:45

Is this the day we make £70 so? Looking strong, but expect also some profit taking during the day. Been in (v late in the day compared tosome) since 2004 at 47p ((from vague memory). Long since taken many time original investment off the table, but can see no reason to sell what I still hold. I just keep imagining where ASOS will stand in the firmament in 5 and 10 years time. Look at M&S 147 Year history. We are the next generation of M&S.

[malcontent] 25/1/2018 09:21

Highlights include:

-- Retail sales grew strongly, +30% on a reported basis and +28% in constant currency driven by our unique and
differentiated product and proposition

-- Accelerated performance in the UK with retail sales growth of +23% in a challenging market

-- Continued strong customer engagement: active customers4 +19%, average basket value +3%, average order frequency5
+8%, conversion +20bps

-- Total orders placed 20.2m, +30% year on year

-- Retail gross margin up 80bps on prior year in line with plan
Guidance:

-- No change to FY18 financial guidance, however full year capital expenditure is now expected to be around the
upper end of the previously indicated range of GBP200-220m



Happy Holder Here

I'll wait and see what Mr Market makes of it all

[kuss1] 02/1/2018 17:57

Ha, nonsense.... we are in the 17 century heading for the 21st century at x20 the speed. Global growth accelerating if anything. You always need clothes, too...

[hosede] 02/1/2018 17:50

Especially with the world quite possibly heading for the biggest recession in 300 years! Clothes are not an essential - well not these type of clothes anyway. This is looking very much like a fifth wave climax!

[telbap] 29/12/2017 11:38

Never ceases to amaze me that these trade at such a premium to reality.Back to 70£ almost.

[cromwell the avenger] 21/12/2017 10:32

Another 'if only'...

CTA

[malcontent] 28/11/2017 22:36

looks like we may be having a good try at breaking £60

yummy

[kuss1] 13/11/2017 21:44

But ASC the future, which is why the high rating. Amazon was once on a p/e of 3000, just a few years ago. It's always the same thing with the market. But I find those companies which continue to grow are the future, which of course is unknown and uncertain. At least ASC isn't a failing company, quite the opposite. I would only short failure not value personally.

[crowshott] 02/11/2017 17:44

PE ratio at 74 seems high with market at 4.5b+ seems very high for company only made net profit of 80m in profits last year on t/o of 1.9b. Where the Distribution and admin costs which stand at 45% of the turnover? Which seems very high from my point of view.

[themirror] 20/10/2017 10:40

Think people want stock but its priced as is, so i expect some shaking to £45/50 so people can trade.

[madbadtrader] 18/10/2017 20:27

Anyone holding should look at the chart and seriously consider selling.

PE Ratio 71; increasing sales but low profit margins; no FCF till 2019; lots of competition also with good sales growth....

[walbrock82] 17/10/2017 14:34

ASOS continued sales growth see the retailer’s profit jumped by 145%. However, the role was reversed when positive free cash flow of £52m in 2016 turned into a negative £14m. This marks the end of their continuous cash build-up.

The company did say positive FCF will return in 2019 as it winds down their capital expenditure programme as they increase capacity large enough to accommodate group sales of £4bn. But, given their robust sales growth rate, they will probably return to high capex spending sooner rather than later.

For more commentary on ASOS analysis and other companies’ commentary, then click

[dcarn] 15/10/2017 09:44

Local paper but reads well.

[hosede] 04/5/2017 13:49

Amazing - this sailing serenly on after NXT results today.

[telbap] 02/5/2017 16:31

Weeeeeee all the way back to £60...

[hosede] 10/4/2017 11:19

Well done Prettygreen. I thought you were inferring that it was going to go higher in the near future

[prettygreen] 07/4/2017 20:38

I couldn't agree more - however I bought at @ £32 and sold at @ £51, then bought back in at @ £46. Sold out when it hit £60 and will (hopefully) dive back in when the selling abates.

[hosede] 07/4/2017 13:09

Prettygreen
For a share worth £50 you would expect a dividend of £1.50 to £3.00 to make reasonable return. Will you live long enough for that to happen? I certainly won't. A reasonable price for this share would be in the £6 to £10 range - and even that is assuming some growth (which might not happen). Remember 85% of all investment returns are dividends

[madbadtrader] 06/4/2017 21:37

Funny how those holding the stock always slam the negative comments and don't hold an open mind. If you done well from the shares congratulate yourself and bank the profits, I think the upward momentum has been broken - could be a long way down. This from Credit Suisse (thanks to Google translate):


The stock fell more than 3% on the London Stock Exchange. At Credit Suisse, we no longer believe in the potential of Asos online fashion distributor. From 'neutral', the board of analysts on this British value went on sale ('underperformance'). Even if the associated course objective goes back from 5,100 to 5,300 pence.

According to experts, there are reasons to be cautious about Asos, starting with higher distribution and storage costs in the first half of the year (Asos's fiscal year ends in August). According to Credit Suisse, this demonstrates the difficulty of Asos in taking advantage of the leverage usually associated with higher volumes.

In addition, Credit Suisse is concerned that many of the catalysts that have sustained growth in the last 12 months are in the process of normalizing. Finally, the premium that Asos shares on comparable values ​​has never been higher. Faced with Zalando, it is about 40%.

[dangersimpson2] 06/4/2017 17:00

Trend following can be a good strategy but it's a lot lower risk when you trade in line with fundamental value. So buying something that is undervalued and then riding the trend works well. Buying something overvalued in the hope that it becomes more overvalued based on trend leads to pretty viscous draw downs as we've seen recently with ASOS on the poor results. It's known as a momentum crash in the research.

[prettygreen] 06/4/2017 16:15

Funny how all these harbingers of doom appear when there's some profit taking isn't it. Presuming you guys didn't buy in and ride the uptrend then 😂

[hosede] 06/4/2017 11:53

I'm afraid the only possible reason to buy this share would be the "greater fool" theory. Are there that many "greater fools" around now?

[dangersimpson2] 06/4/2017 10:41

Net Current Assets are positive but at £9.5m only just.

Given that they are guiding another £90-110m capex in H2 and about £40m PAT I would expect this to go negative with the FY results.

Most of their capex is acquiring intangible assets so the balance sheet is relatively weak.

At 46xTBV no one is buying this based on balance sheet protection tho!