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[Varche]

It comes to something when a takeaway delivery firm knocks a manufacturer (Babcock) out of the top 100 quoted firms.

http://www.bbc.co.uk/news/business-42129425

[Sir Tigger KC]

It's all down to BREXIT. 

[Migv6 le Frog Fan]

And the Russians. 

[Lizzie Zoom]

Just shows what a sorry state our industry is in

[Migv6 le Frog Fan]

Not really. Much of our industry is doing pretty well, but a young trendy fashionable company like this can easily shoot up into the FTSE 100. How long it stays there is the real indicator of how things are.
The company I work for produces electronic devices and exports them worldwide. In the last year it has bought a Chinese company, to add to its other acquisitions in Germany, Singapore, U.S. and the U.K.
Its share price has risen from approx. 350 to 525 in the last 12 months. 

[tunnie]

Just shows what a sorry state our industry is in

When you say industry, you are thinking clothes manufacturing and other low skill stuff which is done by the likes of India, Pakistan now.

More valuable industry is doing rather well, technology for example. JLR (well Tata) is doing rather well to, we've just moved on 

[Varche]

Just shows what a sorry state our industry is in

When you say industry, you are thinking clothes manufacturing and other low skill stuff which is done by the likes of India, Pakistan now.

More valuable industry is doing rather well, technology for example. JLR (well Tata) is doing rather well to, we've just moved on 

No I still stand by my original assertion. It comes to something when a fast food delivery company is "worth more" that a proper company that actually makes things. Britain has loads of companies that make things. My mate used to work for the company that makes specialist underwater stuff for example. I do however accept that it is a sign of the times.

[STEMO]

Just shows what a sorry state our industry is in

When you say industry, you are thinking clothes manufacturing and other low skill stuff which is done by the likes of India, Pakistan now.

More valuable industry is doing rather well, technology for example. JLR (well Tata) is doing rather well to, we've just moved on 

No I still stand by my original assertion. It comes to something when a fast food delivery company is "worth more" that a proper company that actually makes things. Britain has loads of companies that make things. My mate used to work for the company that makes specialist underwater stuff for example. I do however accept that it is a sign of the times.

They’re not a fast food delivery company, there are a tech company. The simply put buyers in touch with sellers, and take a cut. Like Uber and others.

[STEMO]

Our local Chinese uses just eat, she was, more or less, forced into it because younger people are obsessed with apps and they won’t use any shop that’s not on the just eat app. They tap in their order, add in delivery if that’s what they want (you can pick it up yourself) and it arrives at your door, delivered by a driver that she ‘employs’, not just eat. If the order comes to £20, just eat take £2 so, unless she puts her prices up, she loses out.
I ring up with my order and collect it, so she gets the full £20.

[TheBoy]

It's all down to BREXIT. 

Partly, most mostly down to the last 20yrs of politics.

Industry is suffering, services is where any growth is now coming from.

Underinvestment due to uncertainties has knackered productivity, making our industry expensive to export. And knee'd in the knackers by the whole EU thing.

[TheBoy]

More valuable industry is doing rather well, technology for example.

Try telling that to any DXC employee. Or HPE employee. Or just about any multinational "high tech" employee

[Migv6 le Frog Fan]

See reply number 4. 
Theres doom & gloom if you want to look for it and theres good news if you want to look for it. Always has been, always will be.

[STEMO]

More valuable industry is doing rather well, technology for example.

Try telling that to any DXC employee. Or HPE employee. Or just about any multinational "high tech" employee

Just eat is tech. 

[TheBoy]

See reply number 4. 
Theres doom & gloom if you want to look for it and theres good news if you want to look for it. Always has been, always will be.

Completely agree.

However, in a global world, we're seeing a lot more doom and gloom than good news, and a lot more people leaving their offices with a small box as their high tech job is cheaper to do in a low cost country.  I feel for those people. And unless they move to Mumbai, stand little chance of getting another job...   ...so they'll end up jacking cars to make a living...

[Rods2]

Different types of company are treated very differently by investors and is reflected in their stock market valuations:

1. Established companies in 'traditional' industries will be priced very much on their track record, profitability, dividends and growth plans and strategy. They are a known quantity and (hopefully) a steadily growing one in terms of turnover, profitably and dividends. As similar companies in a sector tend to have similar performance their share price-earnings ratio will normally roughly fall within the same band.

2. New companies in new development areas are priced on their development potential and future profits and dividends. The price will be a reflection of growth potential and future profit potential. High growth and gaining sector market share are absolutely critical and will be reflected in the share price, profits don't matter losses are ok (within reason) and normally expected, dividends aren't expected.

With type 1 companies, do you want capital gains, income or both? The steady growth hedges against inflation. With type 2 companies you are betting on the capital gains where this maybe immense or not or losing your money if they go bust. The risk and share volatility will be much higher, but so are the potential gains and as the sector matures you are looking for it to gradually transition into a type 1 company.

Trying to equate the two types of businesses and their share prices is like comparing apples and oranges or will the hare or the tortoise have be biggest winning margin when they eventually cross the line?