Any idea how the PE ratio of superdry is 3 when their net income in 2019 was negative? Also the same for the last few quarters, am I missing something obvious. I was going to buy this as a flipper but they just seem to be making losses prior to Covid anyway…
Thanks Cavan , am I right in assuming normalized is to provide a truer reflection i.e. taking out large investments or the result of Covid?
I’d assume there was a big one time expense that was removed when normalised, have to look into their income statements for that. Normalised also takes into account seasonality, and I guess Superdry would be a seasonal brand that sells more in winter
Thanks mate, very helpful as usual.
As per my understanding its PE is not updated,. Its pre-Covid PE and now definately negative. You should see green ahead if you wish to buy its share. Its might be good for a short term investment though.
Wish you all the best !!!
No that’s not correct. If it was pre-covid it would also be negative due to the negative earnings in the 2019 income statement. I think Cavan is correct. Thanks for your input though.