Another flash sale for ASOS – this time it’s the shares!
Followers of the AIM market may be wondering why the AIM All Share Index is off by 1.7% after the first hour of trading this morning. Well, the culprit is ASOS (AIM’s largest company) and its hugely disappointing trading statement this morning.
Online clothing retailer ASOS has reduced its profits expectation for the current year blaming the strength of sterling. The Company say that this has impacted its higher margin international sales. Furthermore ASOS report increased spending on promotional activity. Read the full ASOS trading statement here. The impact of the trading statement is that shares in ASOS fell be over 40% in the first 15 minutes of trading this morning to £26 from their overnight close of £45.23. This is a hefty fall particularly as the stock was trading at £70 at the beginning of March. Is this the end of…