Market's view on Ocado
Published on April 2024
- Discussions around the need for Ocado to enhance shareholder value, with suggestions including seeking a buyer similar to Darktrace’s strategy.
- Commentary on the Board’s decision to let analysts and websites inform shareholders about the Kroger CFC/spoke update, implying a lack of direct communication from Ocado’s management.
- Critical view of Ocado’s performance with Kroger, including underperforming spokes and a delayed rollout of CFCs due to a moratorium, suggesting executive accountability and a restructuring of bonus plans.
- Concerns about the exclusivity deal with Kroger limiting Ocado’s opportunities in the US market, with suggestions for renegotiating terms to allow partnerships with other grocers.
- Speculation on Ocado’s potential US listing and its impacts, alongside discussions on the company’s need to shift focus from the UK to the US market.
- Observations on share transactions by Ocado’s Chairman, implying confidence in the company’s future.
- Questioning the longevity and effectiveness of Ocado’s CEO, with calls for board changes to rejuvenate the company.
- Concerns about Ocado’s commitment to innovation and technology, particularly in robotics, weighed against actual orders and profitability.
- Discussion on share price trends, including potential takeover bids and the impact of short sellers on market perception.