Alexander David Share Discussion Threads

[gdjs100] 31/5/2001 21:25

Shame the message board here isn't living up to being as exciting as the share price......

Any juicy snippets of information, anyone?

I've been in the new store in York (at uni here) a couple of times, very impressed, staff were knowledgeable, polite and efficient...

Waiting for the Watford one to open now, will report on that one when I get back home for the holidays!

[timbo003] 01/5/2001 22:54

Well as far as I'm concerned Allders can BOGOF

BOGOF standing for Buy One Get One Free

i.e. the new employee share scheme introduced in the March 2000 budget.

First of all, apologies that this is a cut/paste/edit version of my earlier post, but it is worth reitterating and updating because I think many investors/potential investors haven't yet twigged the significance of this development, but time will tell!

Allders will be introducing the BOGOF scheme later this year, shareholders approved it at the AGM in January.

Apart from the obvious effect of BOGOF incentivising employees and hence increasing sense of ownership/productivity, there could be other positive benefits for shareholders.

I spoke to the company secretary today (01/05/01) and he confirmed that the scheme will start this year. Employees have to buy their shares in the market, and the company will match these with shares bought in the market (at least up until January 2002) rather than issuing new ones.

If you do a rough back of envelope calculation, you don't have to be Albert Einstein to realise this should have a very dramatic effect on the share price, in the upward direction.

Allders employ around 7000 staff, the maximum amount any member of staff can invest is £1500 per annum. Assuming 5000 staff participate in the scheme and invest an average of £1000 per annum this will mean that the staff will be purchasing £5M worth of shares per year, and the company will be purchasing £5M worth of shares per year on their behalf. Together this represents approximately 10% of the total (at the current price).

I would anticipate that most employees will hang onto these shares for a few years to maximise the tax benefits. So the result could be that within 2 years around 20% of the existing shares could be mopped up (if the share price stays where it is).

This could have the same effect as a massive share buy back or several institutions taking major stakes. Of course the employees are unlikely to end up with 20% of the company, 'cos of the effect of these purchases on liquidity, I therefore expect the share price to move sharply upwards in the medium term.

[timbo003] 29/4/2001 17:52

See todays Sunday Telegraph article



Allders are a super share, they seem to have just about everything:- Great growth prospects, direction, value, safety and a damn nice divi. What more could you want

[timbo003] 26/4/2001 15:15

I spoke to the company earlier today. Apparently the interims are due on May 23rd

[user] 25/4/2001 08:19

Yep, I guess somewhere around there.

[gdjs100] 25/4/2001 07:38

Since the sudden hike it's been pretty much all sells. I have been interested in this company since they were below 100p, but missed the boat with this latest rise! I'm a long term holder primarily interested in the nice dividend (current yield of 6.3% is nice but not as nice as above 8% which is what it was before!)

A fall seems pretty likely considering there have been virtually no buys over the last few days, so although I like the fundamentals the money stays out until a bit of a fall and a few buyers are back. How low do you think it will go? I think 115-120p looks likely.

[user] 23/4/2001 09:04

Now waiting for a fall to buy back

[user] 19/4/2001 16:17

oh good I was wrong, splendid

[user] 17/4/2001 08:01

from the shape of the graph you may be right although this could take some time (it tends to move fairly slowly)

Al.

[mr tb] 14/4/2001 22:22

would I be right to say that share price will drop back to 118/120 level, I am not holder of ADS but would like to buy few.

TB.

[timbo003] 14/4/2001 17:06

Well, I went to have a look at the new Guildford store on Friday Morning.

It's the first of a new format christened

Being Good Friday, the Friary centre was quite quiet. Nethertheless there was quite a few people in the Allders store, I suspect some of them were just being nosey like me, but there were quite a few folk making purchases. The store is quite well laid out, and there are several distinct zones: Living, sleeping, cooking and eating, bathing and giving.

The floor space has been enlarged since C&A vacated the store (which from memory, was some time in January). I gather (from talking to staff) that the additional floor space has been created by eliminating the changing rooms and some of the offices. The store is very well located as it is the first shops you come to if you access it from one of the principle city centre car parks in Bedford Road.

There is also a small coffee shop in the store (which was quite busy), where the prices are reassuringly correctly priced (to make a reasonable margin). A cup of coffee costs between £1.25 and £1.90, depending on which variety you choose. Sandwiches cost from £2.25. They also serve a selection of pastries. I spoke to a couple of the staff in the coffee shop who told me that the store opened on Tuesday and that it was opened by the mayor of Guildford. They stated that they have been pretty busy since opening.

The two principal competitors in Guildford city centre are Habitat and Heals, and the new Allders store should take a substantial market share from both these two and to a lesser extent from House of Fraser, Debenhams and Courts.

In summary, I was quite impressed, and on the basis of my initial impressions, I will add more to my holding in Allders on any price weakness. The fact that they are a growth stock in the making, trading on a p/e of 9 and paying a divi of 7% (well covered), whilst the net assets per share are circa 210p compared to the current share price of 128p, makes a compelling case to go overweight in Allders.

[overline] 12/4/2001 18:45

i prefer the 1p and 2p rises .... few notice `til the price has gained 20%..... and it`s a `no go` for day traders.

[user] 11/4/2001 16:15

sorry, not used to profit anymore, bit overwhealming!

[overline] 11/4/2001 15:46

get a grip...user

[user] 11/4/2001 14:29

It's starting to get a bit exciting!

[miked500] 11/4/2001 09:55

moving up again

[peeky] 09/4/2001 23:27

Food for thought : Michael Walters says sell if it goes below 109p.

[user] 27/3/2001 10:01

OK, hopefully up again a bit from here

[overline] 22/3/2001 10:08

boring , but safe....so far

[user] 16/3/2001 08:27

From the shape of the chart I think it may drop to about 116 over the next couple of days before rallying again

A.

[scotsman4472] 01/3/2001 16:17

PSG tipped it pre-xmas, perhaps it's comming true?

[overline] 01/3/2001 16:13

it`s been edgeing up for the last week , with very little trading---strange

[overline] 01/3/2001 16:11

I think there was a favourable comment in the Daily Mail