Just Eat Share Discussion Threads

[cryptotrade] 13/2/2018 08:43

Looks like we will head for £9 plus.

[cryptotrade] 12/2/2018 16:06

Break out soon

[paulogant] 26/1/2018 08:24

Just wondering if this is going to break up to £9.

[jr patel] 09/1/2018 15:32

Drop seems to be regarding JE. Adding service charge to replace card fees

[tom89] 19/12/2017 11:56

When did this enter the FTSE 100 ?

[typo56] 15/12/2017 16:05

Looking out for a big uncrossing trade at close today. Perhaps around 10m.

[hpcg] 06/12/2017 10:09

walbrock82 - Just Eat do not deliver food at all, they are just an aggregated online menu and ordering system. Uber Eats and Deliveroo are the delivery platforms. In both cases the end customer is subsidised by the restaurant, the delivery agent and the investors in the intermediary. Consumers will not pay the true cost of delivery.

To me there are two big risks to JE, which are possibly correlated. The margin takeaways give to JE is their entire profit, they might be better off pulling out. This is more likely in a recession, where volumes decline across the board. This makes it a cyclical stock. Whilst it has diversification across geographies the UK is by far the main contributor.

I agree with your analysis on investor sentiment. It is far too rich for me, and in general I am looking to short when the time comes, which I don't think is yet.

[dondee] 27/11/2017 17:11

Can it stay at this price.

[tradingworldnow] 17/11/2017 23:29

surelyt, all they are going to do is merge operations into the HH brand, which is why it appears on the same as je. and then start building the business with multiple brands globally. I am sure.

[analyst] 16/11/2017 11:53

Hungryhouse takeover bid approved.

[walbrock82] 31/10/2017 19:07

At over £5.2bn, the market has pushed Just Eat to new heights causing PER to rise to 75 times. Brokers have forecast by 2019 will cause PER to fall to 24 times (based on EPS rising to 29 pence).

With the successful implementation of grabbing the necessary market share to make a dent in their individual market, Just Eat will focus on generating profits and sustainable company growth.

The problems with investing in Just Eat is I feel the shares are at least one year ahead of their time which will cause it to trade sideways. But, most importantly at £5.2bn, the potential to increase in market size will be limited.

Here are a couple of things investors need to pay attention to when Just Eat gets larger:

1). With a PER of 75 and growing, it is no longer the size of their profits that matters, but the rate of growth.
For example, if Just Eat made £300m in net profit but the growth rate fell to 5% Just Eat shares will fall.
However, if it grew by 25%, the shares are likely to rise because the rate of profit growth is more important.
2). The decrease in commission fees per order will harm operating margins. A potential 30% drop in fees per order could wipe their profit margin even if they make more sales.

Finally, I like Just Eat business model and the simple concept of delivering food. Done on a big scale, their operations become more efficient.

If you are thinking about buying Just Eat and holding the shares for more than ten years, then it is a worthy investment. Right now, the shares are fairly valued given their high growth potential.

For full analysis and charts of Just Eat, click

[isaready] 05/10/2017 08:13

Andy,

That's a 50% rise?

What metrics have they provided to suggest there next year end results range.

[andysaw] 29/9/2017 06:34

Gladly the share price came down. I'm adding in small amounts at every fall. I expect it to be in 4 digits next year. UK growth is strong but international revenue may surpass UK Revenue next year that should increase growth further IMHO.

[josephmanna] 25/9/2017 10:36

3dwd - no more uber, since when did uber affect JEs business, generally speaking.

Is Je. offering food service or delivery, or both. Whatever they offer, inmy view there is room for both if its food or delivery. Sooner or later the throwing money will stop and the markets will mature.

JE and Uber locations in terms of resturants are different. A JE takeaway slot does not have a Uber banner on it it and visa versa.

[3dwd] 22/9/2017 12:38

No more uber in London... Good for just eat

[andysaw] 06/8/2017 23:42

Agree, read the chart again. Looks like it will touch 550p IMO

[kitbag1984] 06/8/2017 15:58

Exited my position on Friday. Chart still not looking good.

[tpaulbeaumont] 31/7/2017 14:20

tpaulbeaumont - 31 May '17 - 03:18 - 460 of 484 0 0 Edit
[...]
That 717 shows as 725, with 850 a long shot outlier


doink :)

[kitbag1984] 31/7/2017 10:29

Have taken a small short position in this. Says nothing about the company but price action and volume are very negative.

[enami] 31/7/2017 10:14

Very disappointing here. Sold out for a small profit after having sold one quarter of my holding at 650 on the way up in May.

Overall pleased with my gain. Switched to UU.

[ragehammer] 28/7/2017 10:18

The price is a bit off again today which I think is a combination of "buy the rumour, sell the fact" mixed with maybe a little disappointment that the full year earnings guidance wasn't increased, although revenue was, by about 4%. This should be seen in the context of a 30% run up in the price from about 550p to over 700p in the last six weeks, fairly spritely for a £5bn market cap company, which left it on a 2017 PE ratio of over 40. So maybe the price got ahead of itself?

Looking at the results, I think the business case still looks extremely exciting. UK growth is definitely moderating with growth rates well down compared to 12-18 months ago. This is probably mostly due to the law of large numbers. Still, UK growth of 27% is nothing to grumble about. When you consider that the oldest market, Denmark, is in its 16th consecutive year of order growth, you can only remain optimistic about the future potential of the business model. One slightly adverse area is the "Established Markets" section which saw large revenue growth but EBITDA declined. This was due to investment in the recently acquired Skip the Dishes business in Canada (flagged at the time to be dilutive to 2017 and 2018 EPS) and also significant investment in France to activate secondary cities and reduce reliance on Paris. Developing Markets losses reduced significantly and Brazil, which is accounted for as an associate with 32% ownership, is growing very strongly, as is Australia and NZ segment.

Overall I am happy and extremely confident for the medium term. I think the share price has possibly run a little ahead of itself over the last few weeks but there are plenty of broker price targets around the 900p mark (e.g. Goldman Sachs). JE will probably enter the FTSE 100 at the next review. Considering the disruption caused by the loss of the CEO and Exec Chairman during the period, within a matter of weeks of each other, the ship has remained remarkably steady and I think this shows the benefits of this type of business. The new CEO, Peter Plumb, previously of Moneysupermarket is a good hire IMO.

[nish88] 28/7/2017 10:03

Same here, can't see any negative news in the last few days?