Associated British Foods Share Discussion Threads

[philanderer] 26/7/2017 08:48

Primark’s US progress impresses Jefferies


Jefferies analyst James Grzinic is impressed at Associated British Foods (ABF) progress in expanding its Primark clothing stores into the US after a visit to Boston.

‘We visited progress at Downtown Crossing and popped into the newly opened store in Braintree, just south of the city. The former remains an impressive showpiece of Primark’s capability in the market, with great densities, driven by unrivalled prices, great product and an outstanding shopping experience versus local peers.’

Grzinic rates Associated British Foods a ‘buy’ with a £35 target price on the shares, yesterday trading at £29.23, and believes 2018 could be the year when plans for Primark’s longer-term US expansion are put in place.

‘While we do not expect short-term changes to Associated British Foods’ measured approach to Primark’s US expansion, we believe the premises for a fuller US engagement are falling into place,’ he said. ‘Could 2018 be the year when this becomes clearer?’

[philanderer] 17/7/2017 13:34

Primark recalls flip flops contaminated by dangerous chemicals

[philanderer] 14/7/2017 17:33

-117p on the week. Just weird.

[the juggler] 11/7/2017 19:52

Shocker of a day for our share price here......feeling rather miffed.

[philanderer] 11/7/2017 17:32

Can't really buy this after last weeks ABF update...

"M&S revealed like-for-like sales remained negative in the first quarter. LFL clothing and homeware sales fell 1.2% in the 13 weeks to 1 July and food sales were down 0.1%, dragging UK LFL sales to 0.5%.

This "rather put the frighteners on UK retail stocks" said IG's Chris Beauchamp, with Primark owner AB Foods, Next, Dunelm and JD Sports among the fallers, along with food suppliers Greencore and Dairy Crest."

[philanderer] 11/7/2017 15:46

Yes TJ , frustrating day for ABF holders.

-4% and I haven't a clue why.

[the juggler] 11/7/2017 10:17

Philanderer this is indeed hard to fathom. Last week we "gapped up" and now the share price has fallen to fill that gap and so we are back where we started. A very frustrating stock to hold for sure. All the endless Broker Notes forecasting £2 - £5 gains do nothing to help us reach and hold on above even £30. Sit and wait is all one can do.

[philanderer] 11/7/2017 09:40

Hard to fathom , we were the dog's nadgers last week for a day after comment on the update. Now we follow M&S down today.

Casino ;-)

[philanderer] 10/7/2017 10:46

10th july Soc Gen buy tp 3400p up from 3200p

[suetballs] 07/7/2017 15:39

Well we still can't hold £30 - maybe next week!
Suet

[philanderer] 07/7/2017 09:23

7th july Deutsche buy tp 3300p up from 3200p
7th july JP Morgan Caz overweight tp 3300p
7th july Kepler buy tp 3300p up from 2900p
7th july Barclays equal weight tp 3150p up from 3100p
7th july Berenberg buy tp 3100p up from 3000p
7th july Goldmans buy tp 3300p up from 3200p
7th july S&P Global strong buy tp 3400p up from 3200p

[philanderer] 06/7/2017 21:21

Hargreaves Lansdown..... “Primark’s North American expansion finally seems to be gathering a head of steam too, with the two new US stores opened this quarter trading particularly well.”

[philanderer] 06/7/2017 13:21

Investors Chronicle:

IC TIP UPDATES:
Shares in Associated British Foods (ABF) were up 5 per cent in early trading after the group reported that revenue is 10 per cent ahead of last year in its first three quarters. The results have benefitted forma weak sterling, but this is expected to fade in the final quarter.

Sales at Primark are 13 per cent ahead of last year thanks to more selling space and growth in like-for-like sales. The margin was squeezed during the first half of the year from 11.7 per cent to 10 per cent due to the strong dollar making input costs more expensive.

Revenue growth in its sugar business was also strong on higher prices and increased production in Africa. Buy.

[philanderer] 06/7/2017 12:17

AB Foods: Investec reiterates Buy with a target price of 3190p

[philanderer] 06/7/2017 10:51

Primark Sales Surge on Fashion Chain's Low Prices and Flamingos

[philanderer] 06/7/2017 09:02

6th july Liberum buy tp 3150p
6th july ShoreCap buy -
6th july Kepler hold tp 2900p

all unchanged

[philanderer] 06/7/2017 08:32

That`s helped the portfolio out :-)

[tlobs2] 06/7/2017 08:15

Excellent update. Those predictions of 3200p aren't too far out :-)

[suetballs] 06/7/2017 08:13

Received well by the market too.
Suet

[broadwood] 06/7/2017 08:07

Associated British Foods' third quarter was ahead of its forecast as a result of a stronger profit delivery from Primark which had marginally improved the group outlook for the full year.

Group revenue from continuing businesses for the 40 weeks ended 24 June was 10% ahead of the same period last year at constant currency and 20% ahead at actual exchange rates.

The group said results in the third quarter were strong with revenue growth of 13% at constant currency and 20% at actual exchange rates.

It said the results to date reflected a material translation benefit from the devaluation of sterling following the result of the UK referendum on EU membership in June last year.

At current exchange rates, the translation benefit would be significantly less in the last quarter of our financial year.

The group said it continued to expect to report good growth in adjusted operating profit and adjusted earnings per share for the group.

Associated British Foods' third quarter was ahead of its forecast as a result of a stronger profit delivery from Primark which had marginally improved the group outlook for the full year. Group revenue from continuing businesses for the 40 weeks ended 24 June was 10% ahead of the same period last year at constant currency and 20% ahead at actual exchange rates. The group said results in the third quarter were strong with revenue growth of 13% at constant currency and 20% at actual exchange rates. It said the results to date reflected a material translation benefit from the devaluation of sterling following the result of the UK referendum on EU membership in June last year. At current exchange rates, the translation benefit would be significantly less in the last quarter of our financial year. The group said it continued to expect to report good growth in adjusted operating profit and adjusted earnings per share for the group.

[suetballs] 06/7/2017 07:12

Excellent TU today. And Primark had a good quarter - even the US seems to be progressing ok.

Suet