Online web site operator Kogan.com appears to be recovering from the horror run that saw stockpile up and their share value and sales slump, the big question now is whether the run is sustainable running into 2024.
During the past couple of months, the Company has seen a significant 27% jump in their share value to $5.40, the only problem is that it’s no where near their previous peak of $22.
Analysts are claiming that any price-sensitive announcements have already been factored into the stock’s share price.
One analyst is tipping that the stock could climb to $8.42, which is way above what the market is valuing the company at the moment.
When it comes to local retail shares Kogan.com’s share price is being labelled volatile, with the real possibility the share price could sink lower claim analysts.
What will determine the future for the stock is how well it tracked during the recent holiday period and what impact the dock disputes will have on their earnings.
Last year Kogan.com’s third party seller platform Kogan Marketplace took a hit due to “soft market trading conditions”.
Back in August Kogan Marketplace reported gross sales of $260 million in the 2023 financial year, down 28.5 percent from $363.8 million year over year.
At the time Kogan management claimed the decline was in line with the broader online retail market, which saw Harvey Norman report a big slump in profits.
For the overall business, Kogan.com reported revenue of $489.5 million in the 2023 financial year, a 31.9 percent decline from $718.5 million year over year. It also reported a loss after tax of $25.8 million, a 27 percent improvement from last year’s loss of $35.5 million.
