Associated British Foods Share Discussion Threads

[philanderer] 09/9/2019 09:35

...it admitted like-for-like sales were 1% down, reflecting the tough market conditions amid political and economic uncertainty over Brexit.

These factors, coupled with rising wage, business rates and rent costs, have combined with consumer uncertainty to strike high streets with scores of chains forced to seek rescue plans while others have fallen.

[philanderer] 09/9/2019 09:12

That's gone down like a bowl of sick.

Very disappointing

[andysaw] 09/9/2019 09:03

It hit the bottom of the triangle on daily to go back to the top of the triangle around 23.80. Don't see it going below 22.50

[tlobs2] 09/9/2019 08:44

Nothing in the trading update to justify the drop. IMHO

[andysaw] 09/9/2019 08:42

Nice fall. Good opportunity to buy now.

[philanderer] 06/9/2019 10:12

Pre close trading update due out monday.

[philanderer] 05/9/2019 21:39

5th sept JP Morgan Caz overweight tp 2740p

reierates

[tlobs2] 27/8/2019 07:47

ABF is one of those shares that I don't worry about in my SIPP. It has a nice broad spread of profitable companies that help generate decent dividends for me each year.

2950p would be good but only when I am looking to convert my SIPP to cash. Until then keep sending the dividends over :-)

[philanderer] 22/8/2019 17:50

yesterday..

21st aug Jefferies buy tp 2950p

[tlobs2] 16/8/2019 11:02

From HL article earlier today.....


Some economists have said the figures demonstrated that consumers were not fazed by the imminent Brexit deadline, while “others have said consumer spending also got a lift from the heatwave in July, and were sceptical that consumers would keep spending as much, as the 31 October Brexit deadline moved closer” reports The Guardian.

The answer, as usual, appears to be somewhere in between. “To be sure, there were a couple of special factors that explain why spending, after a bumper June, was again solid in July,” says Larry Elliott in The Guardian. “That said, though, there are also underlying reasons why spending is holding up” he adds, citing record employment and faster wage growth.

Whatever the reason, “shoppers spent so vigorously last month that the economy is set to return to growth, dodging recession despite the pressure from the US-China trade war and the risk of a ‘no deal’ Brexit”, says Tim Wallace in The Daily Telegraph.

While the surge in retail sales relied in part on heavy discounting and food sales slipped and household goods shops also struggled, “nonetheless the overall improvement in sales indicates the strong jobs market and rising incomes are giving the economy more support, boosting domestic demand even as exports struggle and businesses hold off investment in the face of intense political uncertainty”, he adds.

[tlobs2] 15/8/2019 12:38

Loving this bad weather. Primark will be doing a roaring trade in hats, jumpers, coats and brollies :-)

[philanderer] 14/8/2019 09:38

And again.

[philanderer] 14/8/2019 09:38

And again.

[philanderer] 13/8/2019 09:14

Oh dear , this is getting repetitive.

[philanderer] 31/7/2019 09:24

Sound numbers from NXT.

[philanderer] 29/7/2019 19:37

A good day tl :-)

[tlobs2] 29/7/2019 10:06

Excellent response from the market to your optimistic post Phil. Well done :-)

[philanderer] 28/7/2019 20:33

Primark takes on landlords in push for rent cuts


Fast-fashion chain seeks reductions on shops up for contract renewal as rivals cut rents using insolvency deals

[philanderer] 24/7/2019 14:05

Good weather must be helping summer sales :-)

[philanderer] 18/7/2019 16:20

“Retail sales were markedly stronger-than-expected in June as volumes rose 1.0% month-on-month. This was a much better performance than had been indicated by soft June surveys from the CBI and the British Retail Consortium and followed month-on-month declines in both May (0.5%) and April (0.3%),” commented Howard Archer, the chief economic advisor to the EY ITEM Club.

“Non-food sales led the way in June with volumes rising 1.7% month-on-month in June with a decent gain in sales of textiles, clothing and footwear (1.2%) which was helped by sales and also reflected a bounce-back after a marked fall the previous month. Sales of household goods rose 1.9%,” he added.

“Consumers have clearly been more resilient than most other sectors of the economy and have seemingly largely brushed off Brexit concerns – no doubt helped by the overall improvement in their spending power since mid-2018 as well as record-high employment,” Archer suggested.


Proactiveinvestors.co.uk

[philanderer] 08/7/2019 20:03

RIP


'Primark founder Arthur Ryan dies'

[philanderer] 05/7/2019 13:42

Dividend into account this morning :-)

[tlobs2] 05/7/2019 06:40

If that doesn't draw long term investors in nothing will !

[philanderer] 04/7/2019 17:34

Primark beats High Street slump and steps up its US invasion


Primark on Thursday defied the slump in the clothes sector and the chaos on the high street as it unveiled rising sales and widened its attack on the US market.

The fast-fashion retailer is to open three US stores, including one on a prime piece of retail estate on State Street in Chicago, taking the total to 12.

John Bason, finance director of Primark’s parent AB Foods, said the US expansion was “considered” but put no limit on Primark’s US ambitions.

There is a long and painful history of UK retailers flopping in America, most notably Tesco and Marks & Spencer.

Bason said these failures are “etched on my forehead” but insisted Primark has a strong niche and no obvious direct competition.

“We’ve got a model,” he said. “There is nobody quite like us.” The City seems to agree. Darren Shirley at Shore Capital said the new stores are “a clear sign of growing confidence in the US opportunity, an opportunity we believe is not being reflected in ABF’s valuation”.

[philanderer] 04/7/2019 17:32

Nicholas Hyett, equity analyst at Hargreaves Lansdown, said: "Primark continues to deliver a very impressive performance in a tough retail environment without the aid of the online businesses that’s keeping most retailers’ necks above water. Offering shoppers value for money when rivals are struggling has seen Primark seize market share in the UK, and the proposition is proving attractive overseas too, with a reasonable performance in Europe and promising noises emerging from the fledgling US business.

"The retail performance is unfortunately being soured by the struggling sugar operations, where the end of quotas has seen sugar prices plummet. The good news is that conditions seem to be stabilising. Throw in a good performance from ABF’s branded groceries business, which includes Twinings, Ovaltine and balsamic vinegar brand Acetum, and it looks like the rest of the sprawling empire might finally be set to support rather than undermine the success on the high street.”