AO World (LON:AO) Posts Quarterly Earnings Results

AO World (LON:AO) issued its earnings results on Wednesday. The company reported GBX 6.36 earnings per share (EPS) for the quarter, Digital Look Earnings reports. AO World had a return on equity of 21.65% and a net margin of 2.83%.The firm had revenue of GBX 126.66 billion for the quarter.

AO World Price Performance

AO opened at GBX 91.50 on Friday. AO World has a 52-week low of GBX 77.15 and a 52-week high of GBX 120.40. The stock has a market cap of £532.10 million, a P/E ratio of 20.86, a PEG ratio of -2.13 and a beta of 1.22. The business has a fifty day moving average of GBX 90.50 and a 200 day moving average of GBX 97.95. The company has a quick ratio of 0.48, a current ratio of 1.09 and a debt-to-equity ratio of 36.92.

Insiders Place Their Bets

In other AO World news, insider John Roberts sold 5,359,056 shares of the business’s stock in a transaction dated Friday, April 17th. The shares were sold at an average price of GBX 90, for a total value of £4,823,150.40. 47.09% of the stock is owned by insiders.

Analysts Set New Price Targets

Separately, Jefferies Financial Group reiterated a “buy” rating and set a GBX 160 price objective on shares of AO World in a research report on Wednesday. Two equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat, AO World has a consensus rating of “Moderate Buy” and a consensus target price of GBX 134.

Key AO World News

Here are the key news stories impacting AO World this week:

• Positive Sentiment: AO World reported record annual profit and said it is returning cash to shareholders, a sign of solid operating performance and improved capital discipline. Reuters: UK retailer AO World logs record profit as discounts, membership draw shoppers
• Positive Sentiment: Jefferies reaffirmed its buy rating and raised its price target to GBX 160, which may support investor confidence in the stock. Digital Look: Broker view on AO World
• Neutral Sentiment: The company posted quarterly earnings of GBX 6.36 per share with a net margin of 0.98% and return on equity of 7.92%, showing profitability but not a major surprise on its own.
• Negative Sentiment: Management said UK tax and wage pressures are driving it to shift more sales, customer service and other roles overseas, raising concerns about higher domestic costs and potential political backlash. Yahoo Finance: Labour’s taxes are driving jobs offshore, says AO World boss

About AO World

AO World plc, together with its subsidiaries, engages in the online retailing of domestic appliances the United Kingdom and Germany. It retails fridge and freezers; laundry products; dishwashers; and audiovisual equipment, as well as computing, mobile, gaming, and smart home technology products. The company provides logistics and transport services. In addition, it engages in the investment activities; and waste electrical and electronic equipment (WEEE) recycling activities. The company sells its products through its websites, marketplaces, and third-party websites.