B&m European Value Retail Share Discussion Threads

[lennonsalive] 25/8/2022 17:45

I'm embarrassed by the governments lack of support for public and the business. They seem to be a zombie government this summer and asleep at theWheel

[lovewinshatelosses] 25/8/2022 16:17

If a resolution is not found PDQ, then so, so, many businesses are going to go under, just on the basis of the energy costs. Retail and hospitality especially, even more so for the pure discretionary spend ones. If government bail outs and handouts continue, the citi 18% inflation estimate may look somewhat optimistic IMO. Thus adding further fuel to the fire, as no chance wages etc are going to be able to keep pace with that.
I like so many things about this company as a business, but I think waiting to see if 360 holds is probably the only sensible thing to do. Anything else is just a punt IMO. I was thinking 330-ish roguetraderuk, but your range is probably wiser still. Sidelines for me at this point anyway! GLA.

[roguetraderuk] 25/8/2022 16:01

i was looking at 310/320 but was caught out by the summer bounce. with inflation still rampant as is energy, youd expect more pressure on uk retailers although bme is poss a bit better positioned that some non discount players. i am looking to rebuild a position from scratch once we get below the cycle low so far. youd be well under 10 times fwd which would be a decent valuation to begin with and leaves room for any disappointment.

[lennonsalive] 25/8/2022 15:57

Well seeing as this has crashed through 380, looking at 360 next. Although if that goes 300 on the cards

[lennonsalive] 25/8/2022 15:55

Spend now I think, although I saw a display in a local shop (not B&M) with stocking fillers! Lol

[lovewinshatelosses] 25/8/2022 15:10

The latter I would imagine muz - although in fairness, the Xmas stuff always seems to crop up in shops around late August, so just the usual on that front.
Any chart technicians here? Would be good to know potential support and resistance levels (apart from the obvious year low one of course). GLA.

[muzmanoz] 25/8/2022 13:41

Christmas decorations and gift packs now on sale at my local bandm. Are thy short of stock or wanting people to spend now rather than when energy cost increases hit?

[lovewinshatelosses] 24/8/2022 17:21

Exactly my thoughts, Lennon. The question is whether or not this current share price represents good enough value to buy, or better to wait to see if year lows get tested again (feels likely they will at some point this autumn IMO). Decisions, decisions....

[lennonsalive] 24/8/2022 17:15

I think B&M will be okay long term, but short term with costs will harm them

[lovewinshatelosses] 24/8/2022 11:17

Getting tempted again! Must stick to my guns and not buy above 380p as I initially said, and if I miss the boat, so be it!

[freedomexpress747] 28/7/2022 08:44

Rather quicker than expected, this plus going ex-div reached my price target and I'm out. But will continue to monitor the board as it looks a great company.

[lovewinshatelosses] 26/7/2022 12:53

Well, if consecutive quarters of negative growth no longer mean recession, then perhaps Gordon Brown was ahead of his time and knew that indeed there would be no more boom and no more bust....

[roguetraderuk] 26/7/2022 09:46

every time the umep rate has gone up by 0.3% off the cycle low, its lead to a recession every time. so far its moved 0.1%. i expect over the next two months or three months it will move up the remaining 0.2%. weekly claims are getting weaker and weaker and they are the tell as far as nfp goes. but demand drop off leads to falling prices. walmarts news overnight is the most recent example where consumers will be getting lower prices. this all feeds into the cpi. and of course the us is blessed with energy independence and so falling prices at the pump over the last month or two will also help pull down inflation figures there.

[lovewinshatelosses] 26/7/2022 09:26

Agree that the US is better placed than the UK and Europe - but if the Fed starts QE again, I cannot see how that will not be inflationary (assuming you are right about them now already being on a dis-inflationary path - I have no opinion on this yet).
IMO, to continue with the plan of QT and further interest rate rises, they will have to be willing to eventually crash the stock and housing (and maybe also bond) markets. Sometimes I think they are, and sometimes I think they are not!
Will it be by accident or by design? Same result ultimately I guess - unless they do have it in hand and they are able to engineer a soft landing etc. Place your bets. I know where my bet stands...

[lennonsalive] 26/7/2022 08:53

When B&M have stock left over in stores they reduce the price until it's gone. They have a great model. I have no concerns. They shut the Gloucester city centre store recently (they have two others in Gloucester) due to a hike in rent from landlords. They are keeping an costs.

[roguetraderuk] 26/7/2022 08:53

inflation has peaked in the us for sure. soft data has been showing for a couple of months now thats its coming down. real time hard data will feed into monthly data points from this month. however, for europe and to a large extent the uk, because of energy prices, headline inflation ahsnt peaked, although many prices have started to fall and will continue to do so. but with energy being such a large input, the headline is going to remain frustratingly high for a while.

[lovewinshatelosses] 26/7/2022 08:50

Yep. I am surprised they allowed that to happen, but presumably they would have been in a lot more trouble with shareholders had they gone the other way and ended up with product shortages, while competitors offered plentiful options. Rock and hard place I guess.
Meanwhile, I expect politicians and central bankers to leap on any opportunity (however spurious) to claim that inflation is starting to come under control, when over-supplied retailers start discounting on a scale not seen since pre-covid. I think it may be fairly short-lived, but time will tell.

[roguetraderuk] 26/7/2022 08:40

the irony is that all the biggest and best retailers over there used their supply chain skills to double and triple order, which was fine while there was super strong demand, but now its gone they are left with tons of stock that needs to be discounted and shifted fast. so thats lower margins.

[lovewinshatelosses] 26/7/2022 08:36

I must admit I thought Walmart would have held up better than that. I stand by my faith in this company in the longer term, but I think we might revisit sub 4 quid now on sentiment alone. Not a buyer above circa 380p either in these circumstances.

[lennonsalive] 26/7/2022 08:34

B&M completely different

[kanwar] 26/7/2022 08:23

Thanks Walmart !!

[tonytyke2] 19/7/2022 15:49

Yep, looks to have stabilised over the past month or so and now starting to bounce. GLA with your investments.

[cupra kid] 19/7/2022 14:34

Should certainly see 450p at some point to fill the gap down.

[kanwar] 19/7/2022 10:35

Come on five.

[gregsc] 19/7/2022 10:30

There you go, above 400 now.