Nov 11, 2023Liked by Cockney Rebel

I appreciate your 11th November sentiment. Perspective!

I like WOSG but isn't there an elephant hiding behind the curtains? The SP dropped 30% in a day in August when mgmt were cornered into a defensive statement concerning Rolex's surprise move into direct retail, Rolex being materially essential to WOSG's trade and meaning it could be perceived as competing against it's own supplier. Personally I think in hindsight that it's bear market jitters but a change in the landscape not yet fully resolved. In my view Rolex won't want to give up WOSG and was only defending an existing sales channel in making the buyout. Better if WOSG had bought Bucherer though! Condensed reporting from Thomson Reuters, 25th August:

"WOSG.L shares fell almost 30% on Friday, on course for the

biggest one-day drop on record, as Rolex's purchase of [luxury watch] retailer

Bucherer raised questions about Watches' prospects.

"Inevitably the market is debating today the extent to which

the news signals a growing risk of a weakening future relevance

of WOSG to a key supplier for the group," Jefferies analysts

said in a note.

Bucherer owns more than 100 sales outlets worldwide, of

which 53 distribute the Rolex brand."

Anyway, I held at the time and bailed for an unpleasant clip around the ear holes. The recent bowl is forming after that day of summer madness and in my view you've bought in at a price point that is back to pre-Covid levels so hard to imagine it will go lower again than it's recent bottom. Maybe I'll revisit and maybe the update says something about Bucherer, I've yet to catch up.

CARD price seems be be recovering this last week from its sub £ lows and ahead of the update.

Thanks for being the guinea pig for WORKS, very decent of you.

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