ASOS have dropped quite significantly in the past week for no particular reason and I view this as the perfect opportunity to invest as I can see them bouncing right back up to the 5.50p mark in the next 2-3 weeks. STRONG BUY!!

//https://www.google.co.uk/amp/s/www.aol.co.uk/amp/2018/10/12/asos-expected-to-shrug-off-sales-woes-with-hike-in-annual-profit

Added 60 at 4929.5
In my view price shouldnt got much lower around here. Technically the last 3 days last week made a hammer so 4500 should bring support. Also the hammer trade at 50~60 current PE and that would be about current equity growth

Finals on Wednesday.

Numbers strong as usual, going to be mayhem today

Final results

Results summary

· Retail sales grew at +26% on a reported basis and +24% on a constant currency basis

· Strong growth across both UK, +23%, and international territories, +27% (constant currency +24%)

· Retail gross margin up 130bps

· PBT up 28% at £102m (EBIT margin 4.2%), after taking account of substantial transition costs

· Continued strong customer engagement: active customers4 +19%, average basket value +1%, order frequency5 +7%

· Total orders placed 63.2m, +27% year on year

· US hub phase one operational, Euro hub phase two progressing well

· Cash balance of £43m reflecting working capital and capex investment, new £150m 3-year facility agreed

Guidance and medium term outlook

· No change to FY19 reported sales and EBIT guidance; c.20-25% and c.4% EBIT margin respectively

· Medium term reported sales growth guidance also unchanged at c.20-25% p.a. with a c.4% EBIT margin and capex of £230-£250m p.a.

more.....

Well done on these!

seconded
i hold BOO so hope they follow suit

Not out of the woods yet but looking solid for now, skinny

Grabbed a few today.

Dc you little oversleep fireworks... still you should be able to do some happy dance later.. :)

Looks like poison air for sellers below 5500

train leaving the station soon... opened little spread at 4766,stop few handles below 45

Morgan Stanley today downgrades its investment rating on ASOS Plc (LON:ASC) to underweight (from underweight) and raised its price target to 3200p (from 3000p).

Chart looks dire.

It depends what chart it is..

take your pick, but if you hold and unless you are short then it is assuredly self-immolation

No, only one to look at it.. and only price.. if one hold then rather add, if short then cover it

at the moment, if you can afford to hold without pain, then that must be thing to do
putting new money into the current markets is foolhardy at best

Extra meat on the Morgan Stanley downgrade:
"ASOS has self-financed its expansion for the last 15 years; despite slower growth, it no longer seems able to do so.
ASOS had £173m of net cash on its balance sheet in September 2016. However, it burned through £13m in FY 2016/17 and a further £117m in FY 2017/18, leaving it with just £43m of cash in September 2018.
ASOS has spent more on capex in the last two years (c.£400m) than in the previous 15 put together. But, only one-third is going on new warehouses. The proportion of total spending being capitalised has risen from 9% to 17% over the last 3 years.… so something's got to give. Having increased its borrowing facility to £150m, it has sufficient liquidity for the near-future. However, we now expect c.£90m of net debt in August 2020, when ASOS could find itself uncomfortably tight on liquidity ahead of peak trading. Unless cash flows improve, it may have to scale back its spending and growth ambitions.
Our earnings revision is driven by a significant increase in D&A charges.
Consensus D&A has yet to catch up with rising capex; over the last financial year, capex estimates were raised 37%, but consensus D&A two years out has fallen 7%. We now sit 26% below consensus earnings by FY2020/21. In our view, if ASOS is to continue to meet its medium-term EBIT margin target of 4%, EBITDA margins will need to increase to 8%+ in FY2021/22 (6.5% last year). Given the historical margin trajectory that feels demanding."

sure, there is always some negative mumbo jumbo out there that require you to need a science degree in financials to be able to understand any of it...
I don't buy any of this mumbo jumbo.
I read in one of Buffett's book I think Snowball that he doesn't pay any attention to EBIDA or EBIT so I don't worry about it.smart money don't work that way.
I listen every Qtr Beighton's presentation to see what's going on and I don't pay any attention to anyone else.They spend money on huge hubs in Europe and US to cut the costs in the future.These hubs are running manually now but will go full automatic going forward all needs money, the same process gone with hub in Barnsley.
Free cash flow is coming back to grow in 2020, all one needs to know.
When you look at the price chart you see at 40 price come back to balance line going from 2015 peak, the job of the swing which started in 2016 was to take out the previous highest highs which it did in 2 years. It took the whole year to take the profits of 2 year crusade and probably will take next 2 years to take out 2018 highs..as long as asos is keeping doing what is doing now..
fun to watch to see if it works..
as more price to separate itself from 40 by Friday as more Monday was just a wash and rinse