Innovaderma Share Discussion Threads

[jam4u2] 17/2/2018 10:08

Is it possible to get copy of what was said at all?

[connor23] 17/2/2018 08:55

Isn't MI very similar to SCSW? Interesting to see what their take is.

[jam4u2] 17/2/2018 08:34

Who or what is Momentum Investor?

I was half expecting some tipsters to start tipping - this is now an 'easy' win for any tipster imo. Take a look at this one too:

hxxps://simplywall.st/stocks/gb/household/lse-idp/innovaderma-shares/news/top-rated-lse-stocks-you-can-buy-for-cheap-3/

[samkhan50] 17/2/2018 06:09

Great write up in this month's Momentum Investor..... expecting the usual spike on Monday.

[thelongandtheshortandthetall] 16/2/2018 20:02

Just for fun..

If roots are selling around £1000 worth a day currently and we assume those sales will continue to increase/compound weekly at 15% then in one year total retail/DTC sales 'per day' would be £1,433,136.96p!! :)

Haha.

That would be nice ay.
In all seriousness though i expect £10,000 daily total sales soon.
Once it gets to £30,000 total daily sales we'll be a different company. Or rather a different share to hold with hopefully decent institutional share holdings.

[fardistanthills] 16/2/2018 12:47

Agree Kemche, this will probably have been why he was brought in - in the near term. But should a brand sale be under consideration at some point in the future, he will be a pretty handy guy to have around!

Certainly true that the current share price in no way reflects the future value of all the brands that have been put together, once they have become established. But at some point it will begin to look ahead to this.

Skinny Tan, Body Glow, Roots and all their extensions, though the here and now, still have huge potential with all the geographic expansion and new retail signings that have been reported.

But wow, when you read through yesterdays report and add in all the other lines, which now seem to be fully developed and ready to go, the whole thing adds up to a very impressive collection in the making:

StevieK Cosmetics expected to be launched into multiple regions prior to the year end.

Prolong's US and Australia Q4 of this financial year

Hair MD US launch planned for H2.

C + Lee launching into multiple retail chains in Korea and beyond during H2

EnBright in the next financial year.

The remaining months to June may be the current focus but the 2019 financial year should be even more interesting - in that we should begin to see significant returns from all these newer brands - and much less seasonality as Skinny Tan becomes just one of a much enlarged portfolio. Patience should indeed be rewarded

[tallprawn] 16/2/2018 12:37

Excitement levels have dropped here hence the exit of the so called 'Hot' money. The traders who provide this hot money are needed to help drive up any share price.Last summers rise to 400p was driven by regular news flow from the board, building momentum and interest in the company which forced up the share price due to the restricted number of shares on the open market.HC seems to have tried to stem the news flow (For whatever reasons) over the last few months and the negative trend that has been established is no doubt due to any excitement in the company dipping. Many traders who are needed to drive forward momentum in the share price are off to chase pots of gold elsewhere now. If we are to get back to anywhere near 300p+ in the short/medium-term, HC needs to convince the market H2 will be hit and demonstrate this with quality news flow. Too many are bailing right now as the story isn't convincing them enough.Plenty of potential here - More positive and convincing news flow needs to be established again in my opinion to turn the tide. GL all.

[kemche] 16/2/2018 11:42

I suspect Ross was brought in to aid the fundraising efforts and helping with city connections rather than help with the sale of the business or parts thereof. I think Haris is on record as to what figure he has in mind for an exit and it is certainly not anywhere near the current price.

I do agree that the hot money has exited which can presumably be only a good thing.

The current best hope for near term expansion is the continued rise in the sales of Roots and a 15% increase in a week on week basis bodes well. Patience and newsflow should hopefully take care of the rest.

IMHO and DYOR

[fardistanthills] 16/2/2018 11:19

Agree re potential for sale of brands Dibbs. Presumably Ross Andrews was brought in as a non-exec last July with an eye to just this sort of thing:

Ross is a highly experienced and accomplished Corporate Adviser with 30 years’ experience advising companies and management teams on public market transactions, largely in the UK but also in Europe, Australia and Asia.

He has worked with large corporates as well as numerous small growing companies providing advice on a range of equity capital matters including IPOs, fund raisings, strategy, acquisitions, corporate governance and shareholder matters.

Ross was a director and shareholder of Zeus Capital until October 2015 and then formed RMA Consultancy to undertake non-executive appointments, consultancy roles and project management assignments within companies undergoing management change, external investment rounds or seeking a liquidity event through IPO or other exit.

[dibbs] 16/2/2018 10:50

Looking good value in my opinion. finnCap report that first half revenue has for the last 2 years made up 35% of the full year and this years forecasts work on H1 being 31%. The weighting is very close with only slightly more being asked of H2 this year. Given the very rapidly growing contribution from Roots I can't see any issues with this assumption.As some others have pointed out this is not just a value on PE stock since new emerging brands will often be sold in the trade to one of the big boys.The hot money has long since moved on from here with just a residual couple of idiots hanging on. Potential for decent returns here if they execute at, or exceed levels forecasted. Dibbs

[pugugly] 16/2/2018 10:08

ali47fish:- It may well be better to pay CGT than take a loss bigger than the tax paid - Lesson learnt the hard way - Just a thought.

[ali47fish] 16/2/2018 09:56

what do these late comments for the 3 posters above mean or imply- if it is undervalued does anyone genuinely thinks it is woth to add- unfortunately i could not take any profits when it was 400p! because the bulk of my investment is in my dealing account and have already reache my cgt allowance!

[wskill] 16/2/2018 09:27

Unilever are on the lookout for growth busines to replace the spreads revenue just sold .

[boonboon] 16/2/2018 09:22

Small independent, social media driven cosmetics companies are being sold for huge sums to the big players. I believe that this is massively undervalued at the moment.

[wskill] 16/2/2018 09:21

With only 14.4 million shares in issue it will be impossible for the bashers and shorts to cover their positions suppose this is the reason they are here.

[bookbroker] 16/2/2018 09:04

Back to a quid!

[thelung] 16/2/2018 09:03

The stooge returns!

[pugugly] 16/2/2018 08:53

The toiletries and cosmetics market is VERY VERY competitive and tough with virtually no barriers to entry but with established major players with very much bigger marketing and distribution budgets - this minnow will struggle to gain bottom line revenue increase if they have to invest like a major to gain traction - Hence Realistic p/e of 12 to 15.
Time will tell who is right but personally would not touch at this price.

[jam4u2] 16/2/2018 08:29

Or appreciate that sometimes the market doesnt understand the company and its news. This will come good, just watch. The numbers speak for tehmselves. Even at £10m year end revs this is now stupidly undervalued at £26m mcap imo. But they are still gunning for £13.9m!

[anony mous] 16/2/2018 08:23

And the drip drip continues.Never fall in love with a share thats my mistake again. I remember so much positivity around CFE Coffee Republic few years ago but we know how that ended.Not comparing but just saying.

[quant_investor] 15/2/2018 18:55

With 11.5p and 18.3p pencilled in for next year the valuation is not out of line with peers within the sector. THe big question is can they hit the numbers.

IDP had a strong second half last year and needs to grow strongly over these figures to hit their targets. It won’t be easy.

Key issue for me is that the Superdrug exclusivity will put the handbrake on Skinny Tan sales. Roots will start provide a tail wind to revenues this year though marketing spend is needed to build the brand so i suspect it will add little to net profit.

I’m guessing they are still tied in with SD so they can get Roots and the cosmetic brands off the ground. The latter seems to be taking quite a while though I guess this requires significant investment and they don’t have cash to burn

However at the some point SD shackles will come off and then ST (and Roots) will realise their potential as brands transforming the company. I suspect patience will be rewarded.....eventually.