Carpetright Share Discussion Threads

[lauders] 30/1/2016 02:36

Eastbourne1982 - Fair comments. You may be right. At least unlike some of the long filtered and possibly soon to be filtered members here you make rational bear cases when you believe them. What would your fair bit more level happen to be out of interest? On the dividend front don't forget that Mr. Walsh has indicated it will be resumed. When I don't know but he knows it is a good thing to do as far as investors are concerned and I am prepared to wait here.

[market sniper3] 30/1/2016 02:24

Very good post Eastbourne. Like Bon Marche originates from West Yorkshire. Asian family used to own it, not sure now. Older women say they now sell the stock that Marks And Spencers used to sell.

cheers.

[eastbourne1982] 30/1/2016 02:17

The price may well have tanked however fundamentally these are far from cheap, half year results in December showed profit around 7 million on revenue of around 230 million, net cash of 4.1m is OK but hardly sensational, no dividend and prospects of growth are limited. The market cap is currently 266 million, realistically Carpetright could have a market cap of circa 150 - 175 million on the fundamentals of the business and it wouldn't look staggeringly cheap.

As a comparison I recently bought Bonmarche, current price is around £1.77, market cap is 89 million, the business is making circa 10 million a year, has a fantastic financial position with net cash between 15 - 20 million and pays a dividend of just under 4%.

Neither Carpetright or Bonmarche are exciting shares to hold however you only want to be buying them if they offer good value, one does and one needs to drop a fair bit more to look tempting.

[market sniper3] 30/1/2016 02:14

£2 written all over it ultimately.

[lauders] 30/1/2016 01:52

Hmm.... Your crystal ball must be better than the facts available to the directors some of whom just paid 400p a share. You could be correct but I would say the director buys are more of a sign than your "stick your finger in the air and see which way the wind is blowing" style. Time will tell.

W Walsh 25,000 GBP4.00 25,000 0.04%

Mrs S
N Page Page 6,250 GBP4.00 22,282 0.03%

[startrekker] 30/1/2016 01:17

Breached weak support at £4 , £3 here we come very quickly

[market sniper3] 29/1/2016 16:33

200p written all over it, and thats generous.

[rubberbullets] 29/1/2016 16:02

indeed indeed

[market sniper3] 27/1/2016 16:44

Yep scared to death its going to tank badly and not surprised,as SK says you cant keep 0% credit going for more than 18 months.

[james8] 27/1/2016 16:37

director buys of >£100k

[eastbourne1982] 27/1/2016 16:14

I have no position in Carpetright however I notice comments about shorting etc, well if you like a short, take a look at VCP as a candidate, huge debt pile and massively overvalued imho.

[market sniper3] 27/1/2016 15:58

Just persuaded Evil K this is the best Short on the market at the moment.

[market sniper3] 27/1/2016 12:25

Shares in furnishings chain Carpetright (CPR) plunged more than 10 per cent in early trading after the group revealed Christmas trading had been hurt by lower footfall on the high street. Like-for-like sales managed to grow 2.4 per cent in the 12 weeks ended 23 January, but that was helped by enticing January sales which lured customers back into stores. The promotional activity will bear down on the group’s gross margins this year though. They are now expected to fall between 100 and 150 basis points compared to previous guidance of 50 to 100 basis points.

[startrekker] 26/1/2016 16:42

Next stop £2, outdated business model, can buy most of their carpets online for less than half their SALE!! Prices.

[kemche] 26/1/2016 16:17

There's definitely someone following him around Mike. Any idea who?