|Bid||2,274.00 x 0|
|Ask||2,276.00 x 0|
|Day's Range||2,132.00 - 2,500.00|
|52 Week Range||2,114.00 - 6,298.00|
|Beta (3Y Monthly)||1.61|
|PE Ratio (TTM)||31.39|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
British online fashion retailer ASOS warned on profits for the third time since December, saying problems ramping up warehouses in the United States and Germany had restricted product availability, hitting sales and raising costs. "The major overhaul of our infrastructure has been bumpier and taken a lot longer than we originally anticipated," Chief Executive Nick Beighton said on a conference call with analysts. Last year, H&M, the world's second-biggest fashion retailer, experienced glitches as it worked to speed up its logistics systems.
(Bloomberg) -- Asos Plc plunged after the online fashion retailer warned that earnings will slump this year, putting pressure on Chief Executive Officer Nick Beighton as he tries to fix distribution issues and prop up a falling stock price.Profit before tax may fall as much as 71%, Asos forecast Thursday. Shifting to new technology at U.S. and European warehouses is taking longer than expected, affecting stock availability, according to the company, known for products such as leopard-print bodysuits. The shares fell as much as 22%, wiping 513 million pounds ($640 million) off the company’s market value.latest warning shows the company is still struggling to come to grips with operational issues, after revising its sales outlook downward in December and issuing a further downbeat sales update in March. The shares have lost 63% of their value over the past 12 months, though the company tried to reassure investors with a more positive report for its first half in April.The company has been struggling to keep up with other online fashion chains targeting young shoppers, especially Boohoo Group Plc, which has linked its marketing to reality TV series “Love Island.”The issues “have been self-inflicted,” wrote Greg Lawless, an analyst at Shore Capital.The shares traded 16% lower at 10:23 a.m. in London.The company said growth in the U.S. and Europe was held back by problems at new warehouses in Berlin, where it’s ramping up automation, and in Atlanta, where it has struggled to build up stock.“We are clear on the root causes of the operational challenges we have had, are making progress on resolving them, and now expect to complete these projects by the end of September,” Beighton said in the statement.The CEO has been in his position since 2015, and Asos shares had doubled in value as of last year. The recent slump has erased most of those gains.Pretax profit is now expected to be in a range of 30 million pounds to 35 million pounds. Analysts had a consensus estimate of 55.9 million pounds.Berenberg analysts said it’s hard to understand why the problems were not known sooner, given that Asos has live data on sales and other metrics.Asos “must now provide clear guidance on when operational issues will end and also provide clear evidence that these issues are the primary cause of weakness,” they said in a note.(Updates with market value in second paragraph. An earlier version of this story corrected the reference to previous profit guidance in the fifth paragraph.)\--With assistance from Lisa Pham.To contact the reporter on this story: Eric Pfanner in London at email@example.comTo contact the editors responsible for this story: Eric Pfanner at firstname.lastname@example.org, Thomas MulierFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The group’s share price dropped by nearly a quarter early on Thursday as it said pre-tax profit would be about £30m-£35m in 2019, compared with the more than £55m forecast by analysts. The downgrade is the latest blow to Asos, which has now issued three profit warnings in seven months, including one just before Christmas that knocked 40 per cent off its value.
In February 2019, ASOS Plc (LON:ASC) released its earnings update. Generally, analyst forecasts appear to be bearish...
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card! In 2015 Nick Beighton was appointed CEO of ASOS Plc (LON:ASC). This report will, first, ex...
Every investor in ASOS Plc (LON:ASC) should be aware of the most powerful shareholder groups. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. Wa...
ASOS, whose current offers feature one-shoulder mini dresses for 25 pounds ($33) and jumpsuits for 40.50 pounds, was one of the first purely online clothing retailers in the UK. Changing consumer habits have led to heavy discounting in the fashion sector as shoppers use the Internet to compare prices. Meanwhile, uncertainty over Britain's exit from the European Union has dampened consumer demand in ASOS's domestic market, which accounts for around one third of sales.
The stock was still well below its 41.86 pounds level before a shock profit warning in mid December. The company, which sells brands ranging from Abercromie and Fitch to Superdry as well as its own collections like its ASOS Design label, is investing heavily in its technology platforms and infrastructure such as warehouses and distribution centres. "ASOS is capable of a lot more," said Chief Executive Officer Nick Beighton in a statement.
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ASOS's new U.S warehouse struggled to cope with demand in its latest quarter, hitting sales there and adding to challenges in France and Germany, the British online fashion retailer said on Tuesday. The news was the latest setback for the one-time market darling following a shock profit warning in December, and sent its shares down as much as 13 percent. Chief Executive Nick Beighton said the company's U.S performance was behind plan because higher-than-expected demand at its new facility in Atlanta caused a significant despatch backlog, which had now been cleared.
Asos on Tuesday admitted it had got off to a faltering start in its efforts to crack America, as it struggled to meet demand across the pond. AIM-listed Asos, which sells its own clothing brand as well as labels such as Barbour and Fred Perry, opened its first US warehouse in Atlanta last month to give customers more choice. Asos chief executive Nick Beighton said demand from shoppers after the opening was at levels he had not seen for nine years and far exceeded expectations.
British online retailer ASOS said its new U.S. warehouse in Atlanta had struggled to cope with demand in its second quarter, resulting in a dip in U.S. sales and adding to challenges in the French and German markets. Chief Executive Nick Beighton said the U.S performance of the company, which targets fashion-conscious millennials, was behind plan because higher-than-expected demand at its new facility caused a significant despatch backlog, which had now been cleared. "These delayed shipments will be recognised in (quarter three) and U.S. trading is now regaining momentum," Beighton said on Tuesday.
Today we are going to look at ASOS Plc (LON:ASC) to see whether it might be an attractive investment prospect. To be precise, we'll consider its Return On Capital EmployedRead More...