The share price of All Ordinaries Index (ASX: XAO) luxury online retailer Cettire Ltd (ASX: CTT) is rocketing after the company posted positive first-half earnings.

Right now, the Cettire share price is soaring 4.12% to trade at 1.895.

Here are some of the highlights:

ASX All Ords share leaps as revenue soars 57%

• Gross revenue jumped 57% on the prior comparable period (pcp) to $242.7 million
• Sales revenue lifted 65% to $187.7 million
• Delivered margin of 25.1% of sales revenue – a 90% improvement
• Earnings before interest, tax, depreciation, and amortisation (EBITDA) of $13.9 million
• Net profit after tax (NPAT) came in at $8 million – up from an $8.3 million loss
• Ended the period with a $53 million cash and no debt

What else happened last half?

Cettire boasted 313,982 active customers last half – a 50% increase – while 56% of its gross revenue came from repeat customers. Its average order value also climbed 7% to $759.

Cost optimisation initiatives reduced fulfilment costs and efficiencies in marketing investments saw paid acquisition costs drop to just 7.9% of sales revenue.

Finally, amendments to the company's returns policy supported a decrease in its rate of returns.

What did management say?

Cettire founder and CEO Dean Mintz commented on the earnings driving the All Ords share higher today, saying:

It has been an exceptional half for Cettire as we continue to grow rapidly while delivering significant profitability.

We remain laser focused on executing our strategy to maximise profitable revenue growth. I am particularly pleased that we have been able to continue our growth trajectory while cycling a period of significant marketing investment in [the second quarter].

What's next?

Cettire expects last half's positive momentum to continue. It notes its EBITDA profitability was maintained last month, and it's expected to stay that way for the remainder of this fiscal year.

Meanwhile, last month's sales revenue was 80% higher than that of January 2022.

The company's near-term investment priorities include customer acquisitions, technology investments, and building organisational capacity.

Cettire share price outperforms the ASX All Ords

The Cettire share price has been soaring ahead of the All Ords in recent weeks.

The stock has gained a whopping 54% so far this year compared to the All Ords' 8.7% rise.

Looking further back, however, Cettire shares have fallen 33% over the last 12 months. In that time, the index has lifted 4.6%.

The post Guess which ASX All Ords share is leaping higher on a return to profit appeared first on The Motley Fool Australia.

The All Ordinaries Index (ASX: XAO) fell 0.65% today, but three ASX shares charged higher.

The Magnis Energy Technologies Ltd (ASX: MNS), Cettire Ltd (ASX: CTT) and Avita Medical Inc (ASX: AVH) share prices all outperformed the index today.

Let's take a look at what impacted these three ASX All Ordinaries shares.

Magnis Energy

The Magnis Energy Technologies share price climbed 1.25% today despite no news from the company. However, Magnis' US traded OTC shares (OTC: MNSEF) climbed 2.32% overnight.

Magnis is a lithium-ion battery company with investments in lithium-ion battery cells, lithium-ion battery technology and high-performance anode materials. The company is invested in large-scale lithium-ion battery cell manufacturing projects in New York and Townsville, Queensland. In a recent investment presentation, Magnis highlighted the New York lithium battery facility has commenced commercial production. The facility is expected to produce about 15,000 cells a day at capacity.

Cettire

This company's shares leapt 2.10% today. Cettire is a global luxury online retailer. In today's news, Cettire has signed a commercial agreement with Zegna Group. Under the deal, Cettire will be able to integrate and sell products from Zegna on its platform. Customers of Cettire will have access to Zegna products in all of Cettire's markets.

Commenting on the news, Cettire CEO and founder Dean Mintz said:

We are excited about our newly announced agreement with Zegna. Zegna is a world-renowned brand with a rich history originating in the heart of the luxury fashion industry.

With this collaboration, Cettire enables Zegna's products to be directly available to a new and fast growing audience of luxury customers.

Avita Medical

Avita Medical shares jumped 1.94% today. In contrast, the ASX 200 Health Care Index (ASX: XHJ) fell 0.78%. Avita is working on a burn treatment device known as the Recell system.

Avita held its annual general meeting this week. Chairman Lou Panaccio said the company continues to be in a "strong position" when it comes to growth into new markets, corporate health and financial position. He highlighted Avita had more than US$88 million in cash reserves as at 30 September.

The post 3 ASX All Ordinaries shares that defied today's sell-off to leap higher appeared first on The Motley Fool Australia.

Four ASX shares that aren't letting that hold them back today are listed below. Here's why they are charging higher:

Cettire Ltd (ASX: CTT)

The Cettire share price is up 2.5% to $1.47. This morning, this online fashion retailer announced an agreement with fashion house, Zegna. This deal will see Cettire directly integrate the products from the Zegna brand into its platform. Cettire customers will have access to Zegna-branded products in all of Cettire's markets, while benefiting from the company's fulfilment capability, payment options, and post-sales support.

Endeavour Group Ltd (ASX: EDV)

The Endeavour share price is up 3% to $6.60. This appears to have been driven by a broker note out of Ord Minnett this morning. Its analysts believe the drinks company's shares are good value and have retained their buy rating with an $8.00 price target.

Global Lithium Resources Ltd (ASX: GL1)

The Global Lithium share price is up 2% to $2.06. Investors have been buying this lithium developer's shares after it announced a "game-changing" mineral resource estimate upgrade for its two 100%-owned hard rock lithium projects in Western Australia. The highlight was arguably a 230% increase in the Manna Lithium Project's mineral resource to 32.7Mt. Combined, this has lifted its mineral resource from 20.4Mt to 50.7Mt across its projects.

Whitehaven Coal Ltd (ASX: WHC)

The Whitehaven Coal share price is up 3.5% to $10.16. This coal miner's shares are lifting on Thursday after it was the subject of a bullish broker note out of Citi. According to the note, the broker has upgraded the company's shares to a buy rating with an $11.10 price target. Strong coal prices drove the upgrade.

The post Why Cettire, Endeavour, Global Lithium, and Whitehaven Coal are charging higher appeared first on The Motley Fool Australia.

The share price of All Ordinaries Index (ASX: XAO) online luxury retailer Cettire Ltd (ASX: CTT) has tumbled since the company announced its founder and CEO had offloaded $60 million worth of its stock.

But one fundie is unbothered, nay, encouraged by the sale … for now.

The Cettire share price is $1.51 today. That's 10.7% lower than it was before the company's boss Dean Mintz sold 41 million shares for $1.46 apiece under a block trade last month.

For comparison, the All Ords has gained 0.24% over the period.

Let's take a closer look at why EGP Capital chief investment officer Tony Hansen is giving Mintz a pass on his most recent sale.

Insider selling of All Ords share not worrying, yet: fundie

While Cettire remains among the top holdings in the EGP Concentrated Value Fund as of the end of November, Hansen is unbothered by Mintz's decision to sell a whopping 10.8% stake in the company.

The fundie commented in the fund's November update, saying:

[I]t is not unreasonable for a founder who finds perhaps 99% or more of their net worth tied up in a single business … to wish to crystallise some of that wealth …

Investors more broadly clearly feel … that the sale indicates a lack of faith in the longer-term prospects of the business.

I am willing to give the benefit of the doubt for now, in his position I feel I would have done something similar.

Hansen pointed to Nathan Tinkler as an example of what can happen when an insider fails to comply with "personal risk management."

Tinkler famously became a self-made billionaire in the 2010s after successful forays in coal.

He ultimately sold a hefty chunk of Whitehaven Coal Ltd (ASX: WHC) shares in 2013 in a bid to pay off debt, seeing him tumbling from rich-lister fame.

The former billionaire's holding in Whitehaven "would still be worth in the region of $1 billion had he not been forced to sell to repay debts," Hansen wrote, continuing:

The fact that Dean Mintz is clearly more conservative than someone like Nathan Tinkler is incredibly pleasing to me, it shows a streak of prudence I hope all our CEO's possess.

But the fundie mightn't be so forgiving in future

Looking forward, however, the fundie doesn't see a reason Mintz would need to sell any more shares in the All Ords retailer.

The founder has now liquidated more than $100 million worth of shares this year – $60 million last month and $47 million in March.

Hansen noted that while "taxes have surely eaten a hole in that figure" he believes "our CEO should now have more liquid wealth than he is ever likely to need".

Additionally, the fundie pointed out that Cettire is now delivering profitable growth. It posted adjusted earnings before interest, tax, depreciation, and amortisation (EBTIDA) of $5.5 million on a delivered margin of over 20% last quarter.  

Thus, Mintz, with a 45.9% stake in the All Ords company's shares, could benefit from dividends. Hansen tips that even a payout ratio of 30% to 40% could "generate a significant annual income".

The post Founder selling $60m of shares in this ASX All Ords company not a concern … yet: fundie appeared first on The Motley Fool Australia.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are dropping:

Best & Less Group Holdings Ltd (ASX: BST)

The Best & Less share price is down 12.5% to $2.38. This morning the retailer released a trading update and revealed that like for likes (LFL) sales are down 7.4% during the first 20 weeks of FY 2023. The damage is being done predominantly online, with online LFL sales down 32.9% and LFL store sales down a modest 2.3%.

Cettire Ltd (ASX: CTT)

The Cettire share price is down a further 9% to $1.29. Investors have been selling this online luxury products retailer's shares in recent sessions following news that its CEO was selling down his holding again. Cettire's CEO, Dean Mintz, sold 41 million shares at a 13% discount of $1.46 per share for a total consideration of approximately $60 million. Cettire's shares have now dropped 23% since the sale.

Life360 Inc (ASX: 360)

The Life360 share price is down 5% to $6.40. This morning this location technology company announced the completion of a $50 million institutional placement. These funds were raised at a 6.4% discount of $6.30 and will be used to shore up its balance sheet given the uncertain macroeconomic environment. Not even news that Life360 has received takeover interest has been able to keep the Life360 share price from falling today.

Paradigm Biopharmaceuticals Ltd (ASX: PAR)

The Paradigm share price is down 11% to $1.51. Investors have been selling this pharmaceutical company's shares after it announced the exit of its CEO after less than five months in the role. No reason was given for the exit. Paradigm has acted fast and named its founder and former CEO, Paul Rennie, as its new leader.

The post Why Best & Less, Cettire, Life360, and Paradigm shares are sinking today appeared first on The Motley Fool Australia.

Four ASX shares that have failed to follow the market higher today are listed below. Here's why they are dropping:

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price is down 3% to $5.96. This morning, the infant formula company released an update at its annual general meeting. While A2 Milk expects currency tailwinds to lead to stronger revenue growth in FY 2023, it now expects its EBITDA margin to be flat. This compares to previous guidance for a modest improvement.

Cettire Ltd (ASX: CTT)

The Cettire share price has sunk 14% to $1.44. This follows news that the company's CEO has sold down his holding. The online luxury products retailer's CEO, Dean Mintz, sold 41 million shares at a 13% discount of $1.46 per share. This equates to a total consideration of approximately $60 million.

Coronado Global Resources Inc (ASX: CRN)

The Coronado share price is down over 6% to $1.91. The catalyst for this has been the coal miner's shares trading ex-dividend on Friday morning. At the end of last month, Coronado declared a special dividend of 13.4 US cents per share. This equates to approximately 20 Australian cents per share. Coronado will be paying this dividend on 12 December.

Perpetual Limited (ASX: PPT)

The Perpetual share price is down a further 2.5% to $26.92. Investors have been selling this fund manager's shares after the courts pressured it to complete its acquisition of Pendal Group Ltd (ASX: PDL). This effectively rules out its own takeover by private equity. Analysts at Credit Suisse now expect the merger to complete and have downgraded its shares to a neutral rating with a reduced price target of $27.50.

The post Why A2 Milk, Cettire, Coronado, and Perpetual shares are dropping appeared first on The Motley Fool Australia.

It's proving to be a rough day for All Ordinaries Index (ASX: XAO) share Cettire Ltd (ASX: CTT) after its founder and CEO was confirmed to have offloaded a massive chunk of the company's stock.

Right now, the Cettire share price is down 11.9%, trading at $1.48. For comparison, the All Ords index is up 0.32% at the time of writing.

So, why has the company's largest shareholder sold down their stake? Keep reading to find out.

All Ords stock Cettire falls as boss offloads 41 million shares

Cettire founder and CEO Dean Mintz has sold a near-$60 million stake in the online luxury goods retailer in a move that's decimating its share price today.

The approximate 41 million share stake was offloaded in an underwritten block trade. The parcel represents 10.8% of the company's issued shares.

Mintz pocketed $1.46 per share from the sale – marking a 13% discount on the company's previous close. That leaves the total sale valued at around $59.8 million.

Despite parting ways with such a huge chunk of the All Ords constituent's shares, the company's boss still boasts a healthy 45.9% hold.

Commenting on the sale, Mintz said:

Cettire is in a very strong position with excellent momentum as demonstrated in the company's trading update provided at the [annual general meeting] yesterday.

The share sale represents a relatively small portion of my shareholding in the company and enables me greater diversification, whilst increasing the free float and scope for Cettire shares to achieve inclusion in major indices over time.

Investors needn't worry about any more selling for a little while. Mintz will escrow the rest of his Cettire shares until the company posts its half-year earnings in February.

The luxury retailer debuted on the ASX in December 2020. It offered shares for 50 cents apiece under its initial public offering (IPO).

The retailer announced its unaudited October sales had increased 82% year-on-year to reach $34.8 million yesterday. Its unaudited revenue also lifted 71% to $45.9 million, while its average order value jumped 13% to $839.

The post Guess which All Ords insider is selling a whopping $60m worth of their company's shares appeared first on The Motley Fool Australia.

Three All Ordinaries Index (ASX: XAO) shares are setting a brisk pace today.

Heading into the lunch hour, the All Ordinaries is up 0.3%.

Meanwhile, the Zip Co Ltd (ASX: ZIP) share price is up 4.5%, the Cettire Ltd (ASX: CTT) share price has gained 3.9%, and Argosy Minerals Limited (ASX: AGY) shares are up 6.1%.

Here's what's spurring investor interest in these All Ordinaries shares on Thursday.

Why is the Zip share price leaping higher?

With today's intraday gains factored in, the Zip share price is up 17% since Tuesday's closing bell and up a whopping 36% over the past month.

There's no fresh price-sensitive news out from the All Ordinaries buy now, pay later (BNPL) share. So, it looks like investors are continuing to bid up the share price on hopes the company is indeed back on the road towards profitability.

BNPL shares have also broadly benefited in recent weeks following the lower-than-expected inflation data out of the United States. That data has raised hoped of fewer rate hikes from the US Fed. And, as you're likely aware, BNPL shares have been walloped this year as the Fed, the Reserve Bank of Australia, and central banks the world over began to ratchet rates higher for the first time in a decade.

Which brings us to our second All Ordinaries share having a cracker of a day today, online luxury goods retailer Cettire.

Cettire share price lifts on strong growth trajectory

The Cettire share price is outperforming the All Ordinaries after the company confirmed at today's annual general meeting that it's continuing to experience strong trading momentum.

In October, the company reported that its sales revenue grew 82% compared to the prior corresponding period.

Commenting on the company's performance, Cettire CEO Dean Mintz said:

Our business has started Q2 very strongly driven by a seasonal upswing in traffic and AOV and effective marketing execution. It is pleasing to see continued robust profit performance as we leverage our lean operating cost structure with revenue growth and attractive unit economics.

This All Ordinaries share is riding the lithium wave

Our third outperforming All Ordinaries share is ASX lithium explorer Argosy Minerals.

There have been no new price-sensitive releases from the company since 1 November, but the miner has some good buying momentum going.

Over the past month, the All Ordinaries share has soared 41%, and it's up 110% year to date.

Argosy has been a clear beneficiary of the soaring demand for lithium. The battery-critical metal is trading near all-time highs amid booming growth in global electric vehicle production. And today's trading action indicates investors believe lithium demand isn't about to dry up anytime soon.

The post 3 ASX All Ordinaries shares having a cracker session on Thursday appeared first on The Motley Fool Australia.

Four ASX shares that are climbing more than most today are listed below. Here's why they are rising:

A2 Milk Company Ltd (ASX: A2M)

The A2 Milk share price is up 4% to $5.74. Investors have been buying this infant formula company's shares since the announcement of approval to sell its products in the United States. In addition, this morning the company kicked off its NZ$150 million on-market share buyback.

Cettire Ltd (ASX: CTT)

The Cettire share price is up 7% to $1.98. This appears to have been driven by a broker note out of Bell Potter. According to the note, the broker has recommenced coverage with a buy recommendation and $2.20 price target. Bell Potter believes Cettire "will continue to outperform its peer group consisting of global luxury retailers and local e-commerce players given its <1% market share in a large and growing market which could remain more resilient than other discretionary categories in a likely recessionary environment."

Lottery Corporation Ltd (ASX: TLC)

The Lottery Corp share price is up over 4% to $4.48. This morning this lottery company released a trading update and revealed that group revenue was up 11% over the prior corresponding period during the first four months of FY 2023. The Keno business has been a particularly positive performer, delivering 33% revenue growth.

Weebit Nano Ltd (ASX: WBT)

The Weebit Nano share price is up 5% to $3.12. This follows the release of an announcement from the semiconductor company this morning. That announcement reveals that the first silicon wafers integrating Weebit's embedded Resistive Random-Access Memory (ReRAM) module have been delivered. They were shipped from technology realisation partner SkyWater Technology.

The post Why A2 Milk, Cettire, Lottery Corp, and Weebit Nano shares are rising appeared first on The Motley Fool Australia.

Four ASX shares that are climbing more than most today are listed below. Here's why they are rising:

Aroa Biosurgery Ltd (ASX: ARX)

The Aroa Biosurgery share price is up 12% to 90 cents. This morning this medical device company released its half year update and revealed a 44% increase in revenue to NZ$28.8 million. In light of this strong half, the soft tissue regeneration company has upgraded its full year guidance for FY 2023 by approximately NZ$10 million.

Cettire Ltd (ASX: CTT)

The Cettire share price is up 12% to $1.74. This is despite there being no news out of the online luxury fashion retailer. This strong gain means its shares have now more than doubled in value since the start of the month. This has been driven by the release of a strong first quarter update earlier this month.

Estia Health Ltd (ASX: EHE)

The Estia Health share price is up 5% to $2.06. This morning this aged care provider announced a deal to acquire four residential aged care homes from the Premier Health Care Group. The release notes that these acquisitions are expected to be earnings per share accretive from the second half of FY 2023.

Weebit Nano Ltd (ASX: WBT)

The Weebit Nano share price is up 4% to $2.44. Investors have been buying this semiconductor company's shares following the release of an investor presentation. The presentation reveals that management believes that the embedded ReRam market will grow from $18 million in 2021 to $957 million by 2027.

The post Why Aroa Biosurgery, Cettire, Estia Health, and Weebit Nano shares are rising appeared first on The Motley Fool Australia.

In afternoon trade, the online luxury fashion retailer's shares are up 15% to $1.78.

This means the Cettire share price has now risen a whopping 137% this month.

This has reduced its year to date decline to approximately 52%.

Why is the Cettire share price rocketing higher?

Investors have been scrambling to buy the company's shares this month after it released a strong quarterly update.

During the three months ended 30 September, despite rising living costs and global recession fears, Cettire reported a 62% increase in quarterly gross revenue over the prior corresponding period to $84.4 million.

Management notes that this was driven by the doubling of its active customers to 287,626 and improvements in repeat customer spending.

Another positive was that the Farfetch rival achieved this top line growth in a profitable manner. The company revealed that it delivered adjusted EBITDA of $5.5 million thanks partly to a reduction in its marketing investment as a percentage of sales revenue to low double-digits.

What about its outlook?

While the economic environment remains highly uncertain, the company's CEO Dean Mintz appears confident that Cettire is well-placed for the all-important second quarter.

He stated that "demand environment remains health" and that he has "confidence in our Q2 outlook."

Can Cettire's shares keep rising?

Based on the current Cettire share price, the company has a market capitalisation of approximately $700 million. This means that its shares are trading at 2.1x annualised sales.

As a comparison, its much larger and well-known rival Farfetch is trading at just 1.4x sales at present.

This could be an indication that the Cettire share price has now jumped into overvalued territory. But time will tell if that is the case.

The post Back in fashion? This ASX All Ords share is up over 130% so far in October appeared first on The Motley Fool Australia.

In afternoon trade, the online luxury fashion retailer's shares are up 12% to $1.18.

This means the Cettire share price is now up 30% this week despite a sizeable decline on Monday.

Why is the Cettire share price rocketing higher this week?

There have been a couple of catalysts for the impressive rise by the Cettire share price this week.

The first is the rebounding All Ordinaries index after investor sentiment improved greatly. This has seen a number of beaten down All Ords shares pushing higher this week.

But the main catalyst has been the release of the company's first quarter update earlier this week.

That update showed that rising living costs and global recession concerns haven't impacted the sale of luxury goods on Cettire's online platform.

How is Cettire performing?

According to the release, Cettire's first quarter gross revenue increased 62% over the prior corresponding period to $84.4 million.

This was underpinned by the year over year doubling of its active customers to 287,626 and improvements in repeat customer spending.

Also getting investors excited was news that the company was profitable at an operating level during the quarter. Cettire reported adjusted EBITDA of $5.5 million, on a delivered margin greater than 20%. This was supported by a reduction in its marketing investment as a percentage of sales revenue to low double-digits.

Looking ahead, the company's CEO, Dean Mintz, stated that the "demand environment remains health." In light of this, he revealed that he has "confidence in our Q2 outlook."

Judging by the Cettire share price reaction, it appears as though investors share this confidence. Though, time will tell what happens in this uncertain economic environment.

The post Guess which ASX All Ordinaries share is rocketing 30% this week? appeared first on The Motley Fool Australia.

Four ASX shares that are climbing more than most today are listed below. Here's why they are racing higher:

Cettire Ltd (ASX: CTT)

The Cettire share price is up 2% to 85.2 cents. This follows the release of a first quarter update that revealed that the online luxury fashion retailer has started FY 2023 strongly. Cettire's gross revenue grew 62% over the prior corresponding period to $84.4 million during the quarter. This was driven by the year over year doubling of its active customers to 287,626 and improvements in repeat customer spending.

Moneyme Ltd (ASX: MME)

The Moneyme share price is up 5.5% to 38.5 cents. Investors have been buying this digital consumer credit company's shares following the release of a first quarter update. Moneyme revealed a 148% increase in gross revenue to $57 million and a 183% increase in gross customer receivables to $1.28 billion.

Piedmont Lithium Inc (ASX: PLL)

The Piedmont Lithium share price is up over 3.5% to 86.5 cents. This follows a strong night of trade for this lithium developer's US listed shares on Wall Street. In addition, a number of battery materials shares are outperforming on Tuesday.

Superloop Ltd (ASX: SLC)

The Superloop share price is up 10% to 70 cents. After the market close on Monday, Superloop announced a mutual preferred network partnership agreement with Uniti Group. The broad-reaching partnership covers various retail, wholesale and network elements with Uniti to be offered through Superloop's branded Consumer, Business and Wholesale segments. The agreement is expected to be immediately accretive to Superloop's EBITDA in FY 2023.

The post Why Cettire, Moneyme, Piedmont Lithium, and Superloop shares are racing higher appeared first on The Motley Fool Australia.

At the time of writing, the luxury fashion online retailer's shares are up 17% to 98 cents.

Why is the Cettire share price shooting higher?

Investors have been bidding the Cettire share price higher after the company released an update on its performance during the first quarter.

The good news for shareholders is that rising living costs and recession concerns haven't yet impacted Cettire's sales.

According to the release, the company's gross revenue grew 62% over the prior corresponding period to $84.4 million during the quarter.

This was driven by the year over year doubling of its active customers to 287,626 (up 10.5% since the end of FY 2022) and improvements in repeat customer spending, which was partially offset by a lower average order value.

Another positive for the Farfetch rival was that its operating earnings were in positive territory during the quarter. Cettire reported adjusted EBITDA of $5.5 million, on a delivered margin greater than 20%.

It also revealed that its marketing investment (including brand investment) decreased to low double-digits as a percentage of sales revenue.

Cettire's CEO, Dean Mintz, commented:

Cettire continues to demonstrate strong progress on its strategy to grow penetration of the large global personal luxury goods market. Our marketing initiatives and commercial offering are resonating with customers and we observed an acceleration in revenue and AOV growth into the quarter end, providing confidence in our Q2 outlook. The demand environment remains healthy and our quarterly performance also serves to highlight the attractiveness and resilience (to economic challenges) of the global luxury consumer.

Q1 is traditionally a seasonal low point for the business. The strong profit result highlights the advantages of our proprietary software-driven automation and the uniqueness of our business model, benefiting from a highly flexible cost base, low overheads and minimal inventory exposure. Further, our profitability and supportive working capital dynamics translated into positive quarterly cash flow.

The post Guess which ASX ecommerce share is rocketing 17% higher today appeared first on The Motley Fool Australia.

The All Ordinaries Index (ASX: XAO) is limping towards the weekend, wobbling in and out of the green on Friday. But while the index struggles to gain traction, some ASX All Ords shares are posting notable gains.

Right now, the All Ords is down 0.04%. Meanwhile, its top performing constituents are boasting gains as high as 11.3%.

Let's take a look at some of the All Ords shares outperforming on Friday.

These All Ords shares are defying the ASX's downturn

It's been a rough week on the market. Indeed, the benchmark index is on track to finish the week 3.7% lower than it closed last week's trade. But it's not all doom and gloom. Plenty of All Ords shares are boasting notable gains on Friday.

The index is currently being led by three shares, each operating in vastly different spaces.

Oil and gas explorer Carnarvon Energy Ltd (ASX: CVN) is in the lead, posting a 11.3% gain to trade at 16.7 cents. It's joined in the All Ords top three performers by minerals explorer and developer 5E Advanced Materials Inc (ASX: 5EA) – up 7.5% to $2.28 – despite the prices of both oil and major commodities falling overnight.

The Cettire Ltd (ASX: CTT) share price is also posting a decent performance, lifting 7.9% to trade at 75 cents. That's despite no news having been released by the online luxury goods retailer.

Many larger ASX All Ords shares are also putting on a strong performance today.

The Macquarie Group Ltd (ASX: MQG) share price, for one, is lifting 2% right now. Meanwhile, shares in Clinuvel Pharmaceuticals Limited (ASX: CUV) are up 3.9%.

Finally, tech favourite and ASX constituent Life360 Inc (ASX: 360) is also well and truly in the green, having lifted 6.4% at the time of writing.

The post It's a cloudy day on the ASX, but some All Ords shares are still shining brightly appeared first on The Motley Fool Australia.

The Cettire Ltd (ASX: CTT) share price shot up on Tuesday morning after its 2022 financial results revealed explosive growth.

The stock was up 16% at one stage, but has settled down to $1 at the time of writing for a gain of 13.7%.

What did the company report?

• Revenue up 127% to $209.9 million
• Net loss after tax up 7,494% to $19 million
• Active customers up 127% to 260,249
• 50% of gross revenue is from repeat customers, compared to 40% in FY2021
• Adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) at negative $21.5 million, from positive $2.35 million in FY2021

The company attributed the huge earnings dip to "significant investment to scale platform". 

What else happened in FY22?

In February, Cettire celebrated a deal with Chinese e-commerce giant JD.com Inc (NASDAQ: JD) that was meant to open up a $150 billion addressable market. The retailer also launched a beauty vertical in January, which got its foot in the door of a $100 billion global addressable market.

In the background the company continued to invest in its systems to scale it out for growth.

What did management say?

Founder and chief executive Dean Mintz said:

In FY22, Cettire continued its rapid scaling. Sales revenues have increased almost 10x in the last 2 years as our proposition has gained traction and we have invested to capture the global market opportunity. We finished the FY22 year with much stronger foundations than the beginning of the period. 

During FY22, we made significant advancements to our technology platform. We now own the technology stack across the end-to-end customer journey, having launched and migrated all traffic to our proprietary storefront software. This is a major milestone and provides significant incremental functionality and flexibility to support our global growth. 

What's next?

While the company gave no specific guidance for the 2023 financial year, it did forecast EBITDA would turn positive.

Mintz said:

Our greater scale has facilitated rapid growth in our supply chain, which in turn enables us to better serve and attract more customers. We have also secured improved terms with some of our partners which support better unit economics over time. Cettire is a business that will only get better and stronger as we grow.

We're really excited and encouraged by the early FY23 results achieved during July and August. We have observed continued strong revenue growth as our marketing continues to optimise following adjustments to our operating settings. It is pleasing to see that our increased emphasis on profitable growth is already delivering results based on July's trading performance, and we have demonstrated in prior financial years that the business can generate healthy profits when it is operated to do so. We have a nimble and flexible business model with a largely variable cost base and minimal inventory risk. This enables us to adjust quickly to market conditions and optimise performance.

Looking ahead, successfully launching in China and beauty remain key focus areas within our growth strategy into FY23.

Cettire share price snapshot

Cettire was well-received by the market in the first half for its explosive growth, sending the shares up about 60% to their mid-November peak. The newcomer actually overtook established e-commerce peer Kogan.com Ltd (ASX: KGN) by market capitalisation in September.

But like many growth stocks, it's been a sorry story in the second half. The Cettire share price has fallen more than 73% since the start of 2022.

It hasn't helped that there has been constant speculation that Mintz would offload his shares as soon as escrow restrictions would allow.

And indeed in March, he did exactly that. Mintz sold down 35 million shares in the company, which represented an astounding 9.18% of the issued capital at the time.

The post Cettire share price takes off after 127% revenue jump appeared first on The Motley Fool Australia.

With interest rates rising and investors anxious about an economic downturn, ASX shares in the retail sector have been hammered for most of this year.

While the devaluation has affected the entire industry, it's hit online retailers especially hard.

Technology shares have also plunged in 2022, so it's little wonder businesses that intersect between the two sectors would struggle to maintain their valuations.

Analysts at Firetrail, in a memo to clients, took US giant Shopify Inc (NYSE: SHOP) as an example of what's happened globally.

"Shares in US e-commerce platform Shopify fell over 14% in late July after the company announced it was cutting 10% of its workforce," read the memo.

"Shopify, like many other online retailers, had bet that COVID would permanently shift the channel mix away from physical retail. However, now that the US economy has reopened, e-commerce adoption has fallen back to the pre-COVID trend line."

Locally, the Firetrail team cited how Temple & Webster Group Ltd (ASX: TPW) and Kogan.com Ltd (ASX: KGN) have seen their share prices halve so far this year. Redbubble Ltd (ASX: RBL) has lost a painful 70%.

A golden buying opportunity for online retail shares?

But, perhaps in a contrarian view, Firetrail questioned whether this presents a buying opportunity for online retail stocks.

"Assuming a reversion to e-commerce adoption growth in 2023/2024, could value be emerging in the online retailers?"

The Motley Fool chief investment officer Scott Phillips agreed with this proposition.

"It seems to me that the market has decided that, because the economy might slow (maybe even dramatically) many – most – retail stocks are worth nearly nothing," he said.

"But let's say you have a 5, 7 or 10 year time horizon. As long as these businesses aren't significantly or permanently damaged by a recession, they'll come out the other side. They'll probably go on to deliver even higher sales and profits in the years ahead."

Already some investors are waking up to this opportunity, sending some ASX shares to the moon in a hurry over the past few weeks.

Temple & Webster has enjoyed a 57% rocket upwards over the past month, Kogan has travelled 39% up, and Cettire Ltd (ASX: CTT) shares are a crazy 132.5% higher.

What are the chances that business is lost forever?

According to Phillips, the devaluation seen this year assumes a permanent loss of business.

But the probability is that that's not true over a long period, even if a recession rudely interrupts for a brief time.

"If you could buy an asset that might struggle for a short time, then go back to its successful past… well, a share price that suggests relative Armageddon is likely to be, in hindsight, cheap."

The Firetrail team noted how Woolworths Group Ltd (ASX: WOW) took this attitude when it recently decided to buy online retailer Mydeal.Com Au Ltd (ASX: MYD).

"The company offered a 61% premium to market [price] to acquire listed marketplace Mydeal.com.au in May."

The post Could these devastated ASX shares make a roaring comeback? appeared first on The Motley Fool Australia.

It's been big.

I can't say I hadn't noticed – disclosure alert: I own some of the companies I'm about to talk about.

But I hadn't noticed just how big the recovery has been.

The Motley Fool's Director of Research, Kevin Gandiya, shared some numbers with the team yesterday.

As of that date, these were the one-month share price gains of four online retailers:

– Cettire Ltd (ASX: CTT) up 156%
– Adore Beauty Ltd (ASX: ABY) up 93%
– Temple & Webster Group Ltd (ASX: TPW) up 64%
– Kogan.com Ltd (ASX: KGN) up 44%

(I own Adore and Kogan shares, for the record.)

Those are some serious one-month numbers.

And remarkable that they're four similar companies.

But they're not oil explorers. Or biotech hopefuls. Or – god forbid – crypto funds.

They're retailers.

Online retailers, to be sure, but retailers.

Not the sort of businesses that can turn on a dime. Or are particularly easy to grow.

Software companies can sell to customers, who download infinite copies of inventory-less products, instantly.

Biotechs can make a discovery, get an approval, or sign a distribution deal that can dramatically change a company's future with a single signature.

Retailers?

Even online ones need to attract customers, make a sale in a hyper-competitive environment, then fulfill the order with physical inventory that's been made, stored and then shipped.

Not the easiest businesses to scale.

So, what gives, to see share prices soar so significantly in such a short amount of time?

In short, sentiment.

The market – writ large – has simply changed its collective mind.

A month ago, the market hated these companies.

In the 20-odd trading days since… it hates them a lot less.

Don't get me wrong – they're all lower than past highs.

There are no victory laps here.

But the phenomenon is too notable to pass up.

Yes, some sales numbers have been better than expected.

That helps.

But that only helps if the 'expectations' were wrong in the first place which — I don't think it's controversial to say – they clearly were.

Otherwise?

The market just changed its mind.

In a very big way.

But I've got to ask you: is it really possible that a retailer – even one relatively early in its corporate life, like Cettire – can be worth one price a month ago, and 2.5 times that price, this week?

Note I didn't ask about its price.

I asked about its 'worth'.

And the difference between those two terms is precisely the point I want to make.

See, it's my contention that some of the current retail valuations are way too low.

It's a point I've made almost everywhere in the past few months – TV, radio, online and here.

Here's why:

It seems to me that the market has decided that, because the economy might slow (maybe even dramatically) many – most – retail stocks are worth nearly nothing.

(Okay, not 'nothing', but some are trading at or near single-digit price/earnings ratios!)

Now, let's play this forward.

Let's say – touch wood – we go into recession in 2023, and sales and profits fall.

Not great.

But let's say you have a 5, 7 or 10 year time horizon.

As long as these businesses aren't significantly or permanently damaged by a recession, they'll come out the other side.

They'll probably go on to deliver even higher sales and profits in the years ahead.

Sure, the 'recession' year is a net detractor.

But if you could buy an asset that might struggle for a short time, then go back to its successful past… well, a share price that suggests relative Armageddon is likely to be, in hindsight, cheap.

And that downturn may not even come, or be shorter or shallower than some expect.

Put more simply, investing is a game of probabilities. There is a range of possible outcomes.

Right now, most retail companies' shares are priced as if the most likely outcome is a permanent (or very-long-term) loss of value.

Which means that if the future is brighter, the shares are available at pretty attractive prices.

And moreso, if you were to consider this group (and more besides) as a basket.

One or two might struggle for one reason or another.

But as a group?

Now, that doesn't mean I know what's going to happen next.

They might fall again before they rise.

I might even – how many people say this out loud? – be dead wrong.

But I think there's a very, very good chance that companies priced for Armageddon will do well from here, if such disaster doesn't, well, actually happen.

And unless the Australian economy falls into a permanent funk, I reckon that's a pretty good bet.

Fool on!

The post Are the stores themselves on sale? appeared first on The Motley Fool Australia.

Let's have a look at the state of play for some of the leading names.

The Kogan.com Ltd (ASX: KGN) share price soared 50.16%.

The Redbubble Ltd (ASX: RBL) share price ended 22.75% higher.

The Cettire Ltd (ASX: CTT) share price jumped 23.36%.

The Temple & Webster Group Ltd (ASX: TPW) finished up 13.50%.

Despite these large gains, they are still heavily in the red for 2022, but things could be looking up for them individually and as a sector. Company quarterly updates have been flowing thick and fast today.

Why could things be better than expected?

Normally there's a reason for such exuberance in a particular sector.

While only today's buyers of each of these shares can truly say why they were happy to pay a much higher price today than yesterday, there could be a few different reasons.

For starters, Kogan's update for FY22 may have included some promising signs for the sector. Sometimes investors like to take positive signs from an update from one business and then think that it's applicable to other businesses.

Kogan showed that in FY22, gross sales increased by 0.1% compared to FY21. The e-commerce business noted that it had returned to positive quarterly adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) after a "successful ongoing recalibration of operating costs."

Inflation picks up

For the three months to 30 June 2022, the Australian Bureau of Statistics (ABS) reported that consumer price index (CPI) inflation rose by 1.8%.

Over the 12 months to June 2022, CPI inflation increased to 6.1%.

The ABS noted that the most significant price rises were new dwelling purchases by owner occupiers (up 5.6%), automotive fuel (up 4.2%) and furniture (up 7%).

Looking at the broader furnishings, household equipment and services segment, annual inflation was 6.3%. Food and non-alcoholic beverages saw inflation of 5.9%.

The ABS stated that goods accounted for 79% of the rise in the CPI in the latest quarter, reflecting "high freight costs, supply constraints and prolonged strong demand."

Online retailers could benefit from the inflation environment

There are a couple of factors that could mean online retailers are able to deal with the current situation better than their bricks and mortar peers.

One example is that ASX online retail shares may not have the same exposure to the increase in costs. For example, online retailers don't have store networks. Stores come with costs like wages, electricity and rent. Employee costs and electricity costs are rising. Online retailers don't have the sales staff to pay more wages to.

Another possibility is the fact that online retail businesses collectively may be able to attract customers looking for the cheapest prices amid the inflation damage to household budgets. Discounted online sales could be particularly attractive during this period.

The founder of Kogan, Ruslan Kogan, made comments today that highlighted the potential changing customer behaviour:

Times are changing. In uncertain times, people don't want to alter their lifestyle but they are happy to shift the way they shop. We know that in an environment where great value becomes even more important, Kogan.com serves an important need.

What's next?

There isn't a crystal ball to say what happens next with inflation.

But, August will reveal a lot of results and trading updates to tell investors how things are going. Outlook statements and guidance could be particularly interesting.

The post Could ASX online retail shares be getting a boost out of inflation? appeared first on The Motley Fool Australia.

The end of the financial year is fast approaching, which means two things: it's time to start getting your personal taxes in order and ASX shares may see some extra selling pressure.

The S&P/ASX All Ordinaries Index (ASX: XAO) has weathered a 0.8% decline since the beginning of the month. Though, a subset of companies inside the index might receive more punishment this month.

Commonly, investors that are ready to call it quits on an underperforming investment begin to action their sell orders in June as the end of the financial year draws near. As you might imagine, this can momentarily depress the performance of ASX shares.

In particular, companies that have already experienced significant falls in the financial period tend to have a greater chance of landing on the chopping block.

In light of this, here are nine companies that might be subjected to increased selling this month.

ASX All Ords shares that could be tax time targets

One common market adage is, "sell in May and go away." Though, this isn't such a feasible approach for long-term investors. Additionally, the share market isn't predictable enough to confine it to such simple rules. If it were, we'd all be timing the market perfectly — and, we know that isn't the reality.

However, it is always helpful to mentally be readied for potential short-term share price weakness. Furthermore, if these are companies shareholders believe are winners over the long-term, any downside this month could serve as a buying opportunity.

Below is a list of ASX All Ords shares that have experienced the greatest falls during the financial year. Based on the above-mentioned logic, these companies could be in the sights of investors looking to make use of capital losses:

From the above table, we can see that buy now, pay later (BNPL) companies fell out of favour during this time. ASX All Ords shares such as Sezzle and Zip have both been incinerated, tumbling more than 90% since 1 July 2021.

Meanwhile, other ASX shares that could experience further selling this month include former standouts. Companies like Cettire, Pointsbet, and Dubber were all stellar performers in FY21. Unfortunately, this financial year has seen their respective share prices turn and retreat.

A previous version of this article mistakenly included Tabcorp Holdings Limited (ASX: TAH), which has since been removed given YTD share price falls were attributable to The Lottery Corp Ltd (ASX: TLC) demerger.

The post 9 ASX All Ords shares that could be stung by tax-loss selling appeared first on The Motley Fool Australia.