benrgood
- 12 Jul 2007 17:50
(If topic already covered, sorry but could not find thread)
IMO, this is a potential disaster for anyone who believes the hype. Except those who want to make Simon Nixon the founder, even richer.
Apparently, last year the firm made revenues of 104.5m, an increase of 54% on 2005, with underlying earnings up 42% at 33m. OK. But the problem is, it's a copied format, with some evidence emerging that the price comparison model is flawed. Special deals between Moneysupermarket and service providers affect the results the user gets. Making this misleading at best and fraudulent at worst.
But the most mysterious thing is that Google seem to have 'pulled the plug' on their listings. Suddenly key searches point to different sites, not MS, wiping out traffic. MS claim this is a temp technical fault. However, Google have not said that. I'm willing to bet that, in 6 months Google launch their own version of this format.
RAS
- 15 Jul 2007 16:37
- 6 of 10
Moneysupermarket looks like a great candidate for a short to me.
When's the floatation?
hangon
- 16 Jul 2007 12:22
- 7 of 10
Oh dear whichway do I jump ? - ( ...or do nothing until all the Profits are made and only losses stare).
The name is their fortune - it's a great name, easily recognisable and the suspicion they are connected to suppliers may be untrue - but even if it is the case - so what?
What is "independent" - indeed the very name should raise suspicion....do independent advisors really exist? Can't ehy be biased by previous experience....by the fee they receive....or by knowing someone within the Orgainisation maybe?
It's a high valuation from the figures I've seen; but Simon Nixon appears (that is "appears"), to want to allow the Public "in" on the deal - if that isn't a "good thing" - what is?
It means the Statements will be poured-over by many and hopefully the true position of the company will come through.....but DYOR
Maybe I will wait and see.....as with so many of these businesses, their real advantage is only "first-mover" IMHO and almost anyone could replicate the idea.
maddoctor
- 16 Jul 2007 15:05
- 8 of 10
gave this site a go yesterday for the first time for flights to aus - very poor selection. don,t seem to be signed up to a lot of the airlines but don,t know what this means as unsure of the model being used here. perhaps somebody could explain
David10B
- 26 Jul 2007 17:17
- 9 of 10
nice ro see a realistic thread this was bound to flop
Moneysupermarket's 840m flotation flop
Simon English & Hugo Duncan, Evening Standard
26 July 2007, 9:06am
Vote | Data
Hundreds of small investors were nursing losses today after the flotation of Moneysupermarket.com was judged a flop by the City.
Priced at 170p, already the bottom of the range, the shares immediately dived to 157p. Retail investors who bought into the biggest-ever UK internet flotation - many of whom are also customers of the price-comparison website - saw their bet quickly turn sour.
Moneysupermarket founder Simon Nixon took 102m out of the company today, selling a chunk of his holding at 170p. There were immediate echoes of the Sports Direct float, when Mike Ashley cashed in 930m and then watched the shares halve in four months.
Unlike the secretive Ashley, who is accused of failing to give proper information to investors, Nixon did take questions, admitting the share-price fall was a disappointment.
'I am hoping our investors are long-term. All we can do as a business is to keep delivering - I can't be watching the share price on a daily basis,' he said. Nixon, 39, added that he did not consider pulling the float despite the stormy stock market conditions.
'If it had been two weeks ago, it would have gone at the top of the range - we feel like the unluckiest people in the world at this point,' he said. 'We went on a roadshow. All the investors got a chance to meet me, and to see what my personality is. They know I have my heart 100% in the business.'
Nevertheless, the Ashley effect may explain why Moneysupermarket is being eyed with suspicion. David Buik at Cantor Index said: 'The markets are reluctant to support IPOs with 'rags-to-riches' entrepreneurs cleaning up in a relatively short space of time. Leading investment banks have certainly had their cards marked.'
rizon
- 09 Oct 2007 13:56
- 10 of 10
Hmmm .. what are the naysayers saying right now? MONY hit 190p, at which my sell order hit, returning a decent 10% over 10 weeks. I still hold 50% of what I received at IPO and expect this to hit 200p in 6 months.