1 FTSE SHARE and Look – and 1 I avoid

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This is the time of year in which many companies reveal their results in the previous year. I saw quite a lot last week FTSE 100 AND FTSE 250 Companies present their annual results for 2024.

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Some must be said, they were much more impressive than others.

Ocado: A little promise, but a long way

One FTSE 250 company, which reported its results, only to be a enormous decrease in the share price in response, was Ocado (LSE: OCDO).

The results were what we expect from the company.

A lot of conversations about potential? Yes. Explanations how the company is preparing for long -term results? Yes.

Profits? NO.

The loss company still burns cash.

For now, I still consider his capital business model unverified when it comes to profitability. For now, I avoid shares.

But although I have not been uninteresting on OCADO perspective for a long time, the results also provided several potentially promising chewing points.

One of them is a constant enhance: both a joint retail undertaking with Marx & Spencer And the business of outsourcing offered to retailers around the world is still increasing revenues in the pace. This can put the foundations for long -term success.

I was also hit by the company’s forecast that in the next few years he would change cash flows. I will believe when I see it, but it can be a game changer on the FTSE investment company.

So, although for now I avoid shares in OCADO, I will have an eye on its business results.

WPP: adapting to the changing world

Who would like to be in the advertisement now?

Some customers spend less, whole markets, such as China, are frail, and AI is threatened with replacing many traditionally by advertising agencies.

When the agency network WPP (LSE: WPP) presented its year -round results, the price of the action fell in response as a leading bomb.

In some respects I understand this.

Revenues have a decrease. The company has reduced its working strength by thousands. This is usually not a sign of strength.

But this partly reflects its increased apply of artificial intelligence. AI is a threat to some imaginative WPP activities – but I think that this can lend a hand the company significantly reduce costs. This can be good for profits.

Meanwhile, WPP has a huge company, a enormous global customer base and is one of the leaders of the advertising industry.

He maintained the annual dividend for the action, but taking into account the weakened price of the action, which corresponds to the dividend profitability of 6.1%. This is significantly exceeding the current average FTSE 100.

I did not think that the results of WPP were so bad, but his actions were stuck by the city and sunk to the four -year lowest level.

This can potentially give me an attractive opportunity to buy.

But I still wonder if I miss something that I am very worried about, so I think WPP as a potential addition to my portfolio – but don’t plan to move yet.

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sadasda

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