[On :freetrade:] Ocado - OCDO

Couldn’t find a topic about Ocado, so thought I would make one.

News today is that they are partnering with Japanese retailer Aeon: https://uk.reuters.com/article/uk-ocado-aeon/britains-ocado-signs-technology-partnership-with-japans-aeon-idUKKBN1Y30KT

A string of interesting news then, as it follows announcing Ocado’s first “mini” robotic warehouse in Bristol:

Identifying Bristol as big enough to sustain what Ocado calls a “customer fulfillment center” (CFC) also triples the number of addressable cities for Ocado.

Shares in Ocado were up 0.9% at 0903 GMT, extending gains this year to 49%.

I should’ve kept my shares. :slight_smile:

1 Like

And their deal with Aeon in Japan too :slight_smile: Nice 10% jump overnight!

1 Like

Another boat I have missed :unamused:

Down over 8% today:

Disclosure: I wrote the content at the links below

Ocado has developing competition for microfulfilment (smaller distribution centres that can sit in urban centres closer to customer homes): TakeOff are building 50 centres in the US. Alert Innovations have a trial with Walmart in the US. Fabric (was Commonsense) have 560 m2-sized centres in Israel. Etc.

Ocado’s 13 month build-out sounds quite slow compared to some of these, but you’d guess there will be plenty of space for companies in this category.

(Of course the logical end point of putting distribution centres ever closer to the last mile might be that they become convenience stores. Or Amazon eventually just builds the warehouse around the city, which it is effectively trying out with its temporary pavement distribution efforts…)