(Editors' Note: Ocado Group trades on the London Stock Exchange under the ticker symbol OCDO.L, with ~ £9.5M average daily volume).
The last six months since my previous article on Ocado (OTCPK:OCDGF) have been eventful for the company. After recommending shorting the company at $6.50, Ocado's stock rose by 50%, peaking at nearly $10 per share. The London traded equity, OCDO.L rose from £4.48 to over £6.2x, a rise of just under 40%.
However, over the last three months, shares in Ocado have halved in price. Has the time come to cover or do I still see further downside?
Let me briefly recap the motivation for shorting the company from my last article:
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|