Debenhams Share Discussion Threads

[essentialinvestor] 09/2/2017 11:51

The Wimbledon store is nice, although prefer HoF Guidford, try to steer clear
of central London these days.

[harry_david] 09/2/2017 11:48

Had my once a year visit to the Oxford St store yesterday. The ground floor was heaving. Spoke to the girl at Dior who said she had been there two years and it was getting busier and busier though yesterday was exceptional.

[edmundshaw] 09/2/2017 11:30

spob, no more than anyone else. In the meantime it is a nice little bonus...

[harry_david] 08/2/2017 22:59

And don't forget they have £50 million up their sleeve from some very clever currency insurance this year.

[terminated] 08/2/2017 18:42

They are one of the biggest cosmetic sellers, and like boots that trade is usually unaffected by the ecomony. The clothing side is franchises so there overheads are few and far between. That leave houseware, which let's face it, if you buy it from Debenham you usually have more money than sense, but then HoF thrive on these people. It would be good if they owned more property but they were fleeced by private equity that sold it's property and re floated the stock a few years back. All that said they still deserve to be in the 60's on projected profits.

[tintin82] 08/2/2017 11:45

Off course. Not much on the balance sheet. But no denying DEB makes a load of cash in relation to its mcap, hence why I hold.

[niggle] 08/2/2017 11:41

fair point but less than 1/10th of those 'intangible' assets

[tintin82] 08/2/2017 11:11

£86m after tax hardly a tiny profit for a company valued at £675m

[niggle] 08/2/2017 11:05

The problem I have with Debenhams is that it is basically worthless. Take the 962m of intangibles out of the balance sheet (794m stated as Goodwill!) and you have a company with a total deficit if 78m.

A current deficit of 185m

The slightest knock could wipe out that tiny profit and take the company out of business.

We know what Goodwill is worth in a damaged company - just look at Woolies etc.

There is a reason that 6.2% divi looks attractive.

Maybe worth trading but to hold them? erm no.

[freddie ferret] 07/2/2017 16:54

Same price now.

[terminated] 05/2/2017 14:59

Yea just under a blazing 1p rise. Still, I'll take it ?

[pillion] 01/2/2017 16:35

DEB's on Fire !!

[terminated] 26/1/2017 22:49

It also notes the consensus is hold with an average price target just over 58p.

[simon templar qc] 25/1/2017 19:31

Downgrade onl 1 Buy rating 8 Hold 6 Sell

HTTP ://www.webbreakingnews.com/2017/01/25/j-p-morgan-chase-co-reaffirms-underweight-rating-for-debenhams-plc-deb.html

City AM Why The UK is falling out of Love with Fashion..

[edmundshaw] 25/1/2017 19:08

Shoezone is another with good defensive qualities and long management experience: the lower price point works better in a downturn - though I think Debenhams has some defensive qualities also due to their customer profiles, and of course they are on a low rating currently.

[essentialinvestor] 25/1/2017 12:00

GRG is my favourite High Street retailer, lots of inherent flexibility
in their short lease shops, closures, repositioning of locations relatively
easy as a result. Much higher rating than DEB though only fair to say.
Tend to avoid their shops myself as like my food a little too much ).

[terminated] 25/1/2017 11:46

M&S may well have higher margins but of the two I prefer Debenhams. The best thing for me is that Debenhams relies on vendors to innovate, who thrive only if there goods sell, thus ensuring they are always customer focused. M&S on the other hand don't have a clue what to do. There offerings are safe and uninspiring.Walking around the local shopping center the other day I was amazed at the number of small niche shops that had opened, selling outdoorware, footware, luggage shops, as well as smaller fashion shops. The high street is changing but I think Debenhams is ideally situated as they offer a range of niche shops under one roof, which for me reflects the direction the high street is going. M&S however, represents a bygone model.

[edmundshaw] 24/1/2017 22:08

The last CEO was OK and good on detail imo, but didn't satisfy the city who wanted more. I hope the new man can deliver, it's a changing market and while debs is catching up well in mobile and internet sales, they have to stay sharp...

The main worry fo me, outside of pure trading, would be if the new CEO wants the dividend cash for other purposes... that could be a problem for income funds, for example.

[simon templar qc] 24/1/2017 19:38

Well said EI.

Margins a lot higher at Marks.

Even if JL was listed I would not buy in. Too risky at the moment and that is the value trap.

[essentialinvestor] 24/1/2017 19:15

Sometimes facts are clearer than subjectivity-
look at the last 5 years on pretax.

[pillion] 24/1/2017 19:11

Quite correct too wllm !

Received a tasty dividend payment into my account this very day

[wllmherk] 24/1/2017 18:53

Simon, I think Marks should move away from clothing, their food is brilliant, high quality stuff, but, their clothing only appeals to those in their 60's and above. Debenhams, I feel, has a much wider appeal, my daughter is 21 and likes their beauty products, my Mrs likes their clothes. Totally anecdotal, but, I'm a holder here and happy to collect the tasty dividends as I await the share price recovering.

wllm