Grab: What do I expect?
In the coming month, on Aug 25, $Grab Holdings(GRAB)$will do it earnings call. For me, it's a make or break, because I've been holding on to this stock since Mar this year.
It's also a milestone I will look at to see whether I should hold on to this stock or sell it. I have been diligently accumulating it in small amounts.
Performance
Its stock price has been slowly increasing, back from a low of $2.26 (this year) to now of $2.90. The stock has had its fair share of protractors, who rightfully have pointed out that the company has yet to make profit and is still leaking cash.
For me, I have literally seen them make changes to their business model in order to deal with the decrease in driver supply. They decreased the waiting time from 5 to 3 min recently which I thought increased efficiency. In addition, they have come up with new cash flow services, such as GrabMaps.
More importantly, incentives have gone down. I am not sure if ridership has decreased as well. However, in terms of performance, I expect much lesser losses and more importantly, to break even by this year, despite their forecast of Q1 next year. With the easing of measures, I do not see why not and it's an opportune time to show investors what the company can do.
Share Price
If the company is able to do this, I believe the share price will rise to $3.30-3.50 by Nov. That's only for break even. If it starts making a profit, well, I am looking at $5.00.
Conclusion
Now, this is all speculation, but it would feel good to have identified a company at its initial growth stage. This is after its fall from grace from highs of $17. This fall has no doubt left lasting effects on the company as well as SPACs as a whole, which took away a lot of focus from its potential. I could be wrong but... What do you think?
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- RedpillBluep·2022-07-29The key issue is market size, unlike Gojek, which is capitalizing Indonesia large market to expand various types of services and springboard into the rest of the southeast Asia. Grab's growth is a ?5Report
- LesterTan·2022-07-29Unless u trade based on price actions, don’t ever buy a losing biz n hope it’ll be profitable in the mid/long term. Cheap can be cheaper. Buy solid companies eg amzn, google or even baba4Report
- Toby_Chua·2022-07-30Waiting for fair value enter price of $1.542Report
- Niknaks·2022-07-30Please remember car sharing companies like grab didi or uber .. till now still not making money.. so be cautious3Report
- Jlkc·2022-07-29How do you come to 3.3 to 3.5? And why its nov? Everything with data behind or gut feeling?4Report
- VKHO44·2022-07-29Hope it will go up... I bought it at peak time.3Report
- Humbly·2022-07-29My personal view is that Grab will continue to struggle to make a profit7Report
- EdwardLe·2022-07-29I dont think it will announce profits even if there is1Report
- Flochin·2022-07-29I used to think positively abt Grab but not so now. Their drivers had drastically reduced, crazy peak charges, no drivers. Investment product loses money for customers. Tough to get to green soon.6Report
- DanZillaXD·2022-07-29Grab is a giant industry and they will have to come up with something to keep them alive if they want to stay giant for long.5Report
- BigBlueBear·2022-07-30If you can hold for the long term, this may work…they launched way above $6.00 so patience is the only option2Report
- Ericdao·2022-07-29Only grab taxi n car biz is making hell lots of money from the poor driver. Their grab food continues to bleed. Short term definitely going up5Report
- Aysan·2022-07-30It is quite scary for me to see stock price dropped from 17 to 2. The growth rate now is slightly up and I didn't see any sign that it will have significant growth.3Report
- Heistheone·2022-07-29Buy n hold[Smile]5Report
- MortimerDodd·2022-07-29In fact, the market is still good these days, looking forward to this is a good start.4Report
- JSQ·2022-07-29If Grab company want to profit, the only way is replace robot for human. Auto robot drive and robot food delivery.3Report
- lowmy·2022-07-30slowly building up4Report
- jllwang·2022-07-30Thanks. Like please4Report
- 377tkr·2022-07-30Will tge share price continue to drop?4Report
- Goondu·2022-07-29ok thanks4Report