LON:THG | £THG - Interpreting Blackrock's Sale Yesterday ?

3rd Nov '21 by Dachsis Capital

9 comments 634 reads

I am a newcomer to THG. It certainly had a 'meme' style following but the recent fall from grace has piqued my interest. More unusual after such a sell-off is the decision by Blackrock to offload nealry 50% of its stake yesterday. I can imagine they might have sold more if they could have done and the fact the share opened below yesterdays 195p issue price this morning, suggests the paper has not been gobbled up. Do Goldman still have a £9 PT ? Anyhow I am keen to hear more opinions as to why the crowd has left this one just as the hoped for climbed down by CEO Moulding on his special share rights opens up prospect of a promotion to the premium segment. Please add your thoughts and opinions. I dipped toe in the water too early at 290p and am now wondering whether to take a small loss or make a more meaningful investment. At first glance the corporate structure looks a mess and comments on Stockopedia suggest some governance issues.

Unlock with Email

Unlock with Google

Already have an account?
Login here

Logical David

3rd Nov '21

Hi Dachsis, Thg (LON:THG) is not a share I would buy or hold. If I held THG I would have sold it by now for numerous reasons:

The Forward P/E is 162.9 . I am highly reluctant to buy a share when the P/E rises above 20. THG also has negative profits, negative Margins, negative ROCE, negative EPS, negative EPS Growth. Thg (LON:THG) doesn't interested me.

Once small tip Dachsis, it would be a great help if you placed a '£' symbol before THG somewhere in your text, ie, Thg (LON:THG) because people can then click on the ticker and go straight to the StockRank page.

David.

WarrantStar

All of the following are awful: 1) The share price trend 2) The recent downgrades to the EPS forecasts. 3) The momentum score of 5. I wouldn't buy or hold. Looks like a short position would be more profitable than a long one. (I don't have any long or short position). If you really wanted to buy some, them the best thing to do would be wait until the price has stopped falling.

gus 1065

One clutched at straw is that according to Stocko of the 12 brokers that cover Thg (LON:THG) , 4 have it as a strong buy, 5 as a buy, 2 as a hold and only one as a sell recommendation …… although perhaps that tells you more about the quality of the broker research than about the merits of Thg (LON:THG) .

Gus.

8th Nov '21

Interesting piece of PR brought to us by the (tax payer funded) BBC this morning suggesting Thg (LON:THG) has been hard done to by the IPO process and subsequent grief of being a listed company leading to the possibility of taking the company private.

https://www.bbc.co.uk/news/bus....

Presumably Mr Moulding makes himself happier by looking at his bank balance.

Neil D56

That's the bottom line Gus- how well the owners did by having an IPO. Based on the fact that this share price has lost 75% of its value in approx 10 months, it makes me wonder how much wool was pulled over investors' eyes by the banking fraternity who organised this float!

James Kerr1

This feels like classic 'falling knife' territory. I'd wait until it bottoms out and then begins to turn up a little before committing more, even if that means missing the very bottom. Wherever that may be. Not one for me at the moment.

BnB

Technicals (a bullish divergence and bottoming momentum) and, at last, valuation, suggest this may well be the bottom.

Rusty2

13th Nov '21

The Small Company Sharewatch have just sent me an email with a piece on Thg (LON:THG), as I’m not a subscriber it does say it’s a buy but I think it will be. Director has been buying shares, she is also the CEO at FUTR. So this could well go up on Monday.

weycome45

26th Nov '21

Patience is the key here due to , as always, there is never any timeframe in these markets : one would like to think 180p is the bottom so I've bought in reasonable size with a SL @90p. Fingers crossed .

£THG - interpreting Blackrock's sale yesterday ?

Unlock the rest of this article with a 14 day trial

About the Author

Dachsis Capital

9 comments

Unlock the metrics for all these stocks and more...

Unlock the metrics for all these stocks and more...