ASOS (ASC)

Sector:

Retailers

Index:

FTSE Small Cap

386.00p
   
  • Change Today:
      10.90p
  • 52 Week High: 820.50
  • 52 Week Low: 325.00
  • Currency: UK Pounds
  • Shares Issued: 119.33m
  • Volume: 194,243
  • Market Cap: £460.63m
  • RiskGrade: 234

ASOS rallies on Berenberg upgrade to 'buy'

By Michele Maatouk

Date: Monday 10 Feb 2020

LONDON (ShareCast) - (Sharecast News) - ASOS got a boost on Monday as Berenberg upgraded its stance on the shares to 'buy' from 'hold' and hiked the price target to 4,200 from 3,000p, saying the online fashion retailer is "out of the woods" and the current valuation is a "compelling" entry point.
The bank downgraded ASOS to 'hold' in July after losing faith in execution during an "annus horribilis" for the company.

However, it said in a note that performance over peak trading, which demonstrated the resilience of the new logistics infrastructure, together with its extensive conversations with the company, have restored its confidence.

Berenberg said the current valuation implies limited margin recovery for ASOS, with the market overlooking five key drivers of operating leverage. It pointed to "superior order economics; ii) supplier renegotiations; iii) shipping cost leverage from localised distribution centres, iv) warehouse efficiencies; and v) non-strategic cost savings".

It also said: "With the new infrastructure holding up well over peak trading and brand positioning back on track, together with a ramp-up in US marketing and a strengthening of the management team, we believe the recent reacceleration in revenue growth is sustainable (15-20%).

"We believe the 1.4m net new customers added over P1 2020 imply revenue growth of 15-22% is achievable in FY 2020 (we forecast 17%)."

At 1250 GMT, the shares were up 3.4% at 3,455p.





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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

ASOS Market Data

Currency UK Pounds
Share Price 386.00p
Change Today 10.90p
% Change 2.91 %
52 Week High 820.50
52 Week Low 325.00
Volume 194,243
Shares Issued 119.33m
Market Cap £460.63m
RiskGrade 234

ASOS Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
14.46% above the market average14.46% above the market average14.46% above the market average14.46% above the market average14.46% above the market average
26.32% above the sector average26.32% above the sector average26.32% above the sector average26.32% above the sector average26.32% above the sector average
Price Trend
64.23% below the market average64.23% below the market average64.23% below the market average64.23% below the market average64.23% below the market average
75.61% below the sector average75.61% below the sector average75.61% below the sector average75.61% below the sector average75.61% below the sector average
Income Not Available
Growth
66.38% below the market average66.38% below the market average66.38% below the market average66.38% below the market average66.38% below the market average
45% below the sector average45% below the sector average45% below the sector average45% below the sector average45% below the sector average

What The Brokers Say

Strong Buy 3
Buy 0
Neutral 12
Sell 6
Strong Sell 1
Total 22
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

ASOS Dividends

No dividends found

Trades for 28-Mar-2024

Time Volume / Share Price
13:02 185 @ 386.00p
13:02 129 @ 386.00p
13:02 234 @ 386.00p
12:53 108 @ 386.00p
12:53 569 @ 386.00p

ASOS Key Personnel

CEO José Antonio Ramos Calamonte

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