That’s a huge figure compared to boohoo’s market cap of £670m and shows there could be a lot of growth left, particularly in emerging markets.Īnd I think there will always be big demand for cheap but fashionable clothes. The online fashion industry is worth $1.7trn. If this was the case, then buying in at 53p might be immensely profitable further down the line. So the poor results above could just be a temporary blip. Rampant inflation has created a tough period for companies, especially retailers that sell non-essential products like clothing. While not unusual in a growth stock, when combined with declining revenues it points to an uncertain future and goes some way towards explaining the cratering share price. boohoo was unprofitable in 2022 and has a negative price-to-earnings ratio.
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