B&m European Value Retail Share Discussion Threads

[roguetraderuk] 20/5/2022 13:01

gap at 400 might be the time. results may 31st but will all be about guidance and margins

[nakedmolerat] 20/5/2022 12:57

I am buying back in at 400p, but retail stocks have been badly hit will inflation fears so no surprise at the drop.

[groveman1] 20/5/2022 09:12

Ram 3765 is a bot. The identical text "Pop up BME . 300 nurses to train for GDR game changer new test .Anticipated news . Multibagger possible .", right down to punctuation/ spaces etc. has appeared in Rio Tinto thread, which I am also monitoring, at least. Suspect this has been fired out into various others as well. Ignore - automated nonsense text.

[wad collector] 19/5/2022 16:54

He's a ramper, filter him.

Well I definitely didn't catch bottom... continues to fall.

[lennonsalive] 19/5/2022 12:43

What are you talking about?

[ram376s] 19/5/2022 11:16

Pop up BME . 300 nurses to train for GDR game changer new test .Anticipated news . Multibagger possible .

[wad collector] 17/5/2022 14:11

Picked some more up at 465. May not be bottom, but hopefully good enough for a midterm punt.

[lennonsalive] 09/5/2022 13:52

It's a very clever model, as they aren't holding short life food and sell stuff in ranges for a short period until it's sold

[roguetraderuk] 09/5/2022 12:48

they are a discount store and yes there should be some trade down boosting revs but there is an element of discretionary in their mix so its possible that that has attracted some interest on the sell side. but the shares have massively outperformed retail ahead of what is going to be a tough year in terms of growth in earnings. i think they will do better than f/c but the shares may still need to be sold by some. there is support here at prev lows at 450 but i would be more comfortable buying the gap at around 400p. i said before that the fact that earnings are to be flat might make the mkt lose its patience and its a question of letting that play out and then you can step in. id say it happens between here (450) and 400

[lennonsalive] 09/5/2022 12:36

If anything I would have thought more people will shop at a discount store this year and buy cheaper goods than they'd been paying elsewhere.

[roguetraderuk] 09/5/2022 07:12

there was some talk a couple of years ago of a bid from an american fund after a stake was taken, this was sais to be north of 600p. over the last 12 months they massively outperformed the retail sector so this period of weakness is probably due. there is support at 450 which if broken should lead to a filling of the gap by 400p. earnings growth is expected again from 23/24 and the multiple on that share price for the 24 numbers would be around 10.

[lennonsalive] 09/5/2022 07:02

All good retail stocks hit badly, such as Bm, pets and dunelm

[salpara111] 07/5/2022 09:25

Been watching this one and every time I think it has bottomed out it goes and proves me wrong!
While they will be under the same inflationary pressures as other retailers I still feel the value proposition will play out well.
Set a limit order for 425, I don't really expect it to be hit but who knows!

[fozzyb] 06/5/2022 15:02

Eat my own words

[fozzyb] 03/5/2022 14:36

If private equity can take out Morrisons then B&M can be considered a target. It would likely take north of £6 to get it rolling and so I don't see this retreating to mid 4s as someone suggested

[roguetraderuk] 22/4/2022 11:25

wad, yes to many of the things you say but all of those good things are in the price. results are due end of may (yr end march 27th) so any warning likely to have happened by now. so one can expect a consensus at least for the full year. sweaty crease lowered their target but kept a buy recently stating upside risk to summer sales but then they expect lower than consensus numbers for 23. up to now b&m have consistently met or beaten on the trot.

[muzmanoz] 22/4/2022 10:28

Year end was 27 March. It will be interesting to see a trading update. Surprised they haven't given one around this notice.

Up against tough comparators from last year, minimum wage increase just kicking in and a fair part of B&M goods are discretionary spend. They've kept rolling out seasonal goods earlier and presumably at some point this has to catch up with them. If they were able to increase their food offering in store that might help in the coming months (my local bandm has one aisle of food and 9 other aisles)

[bulltradept] 22/4/2022 10:21

Also got to factor in rising transport costs, rising minimum wage, the selling of a chuck iirc of the family's shares some time ago (I think).

Plus the chart does have a distinct lower feeling about it.

[wad collector] 22/4/2022 09:57

No, Detail can sometimes be important...."Sell" is clear and brief but not useful without justification...

I'm not sure whether this is a buying opportunity or not, the recent profits have been impressive and it does seem a place that people go when they are short of cash, so maybe their model is robust in terms of reduced consumer spending?

[bulltradept] 22/4/2022 08:41

Nicely worded, take hundreds when a few will do!

Accuracy, Brevity and Clarity. ;-)

[roguetraderuk] 22/4/2022 08:24

up to now its massively outperformed the uk retail sector because there havent been any slips ups. todays announcement adds a bit of uncertainty so you are losing some of that premium to the sector. earnings are expected to be flat over the next couple of years and i always assumed eventually investors will get disinterested and that would see the shares move more back in line even if still at some premium. i have been looking at 460-480 with support at 450. there is a gap at 400 to fill if things were to go downhill earnings wise but given the area of the sector in focuses on, you expect it will do less bad in any particularly deep or extended consumer based downturn.

[bulltradept] 22/4/2022 08:10

Breaking support, incomes being squeezed BME in the firing line even if it does provide good value, the share price should probably be closer to £4.50 I'd wager over the coming months.

[lennonsalive] 22/4/2022 08:10

Probably insider information

[wad collector] 22/4/2022 07:35

25p drop today appears to be in response to the announcement of the CEO retiring in a year. I wonder if the shorters knew that?

Actually , looking at the last couple of yrs shorting history, the recent rise is not so remarkable.
hxxps://shorttracker.co.uk/company/LU1072616219/

[wad collector] 16/4/2022 21:00

The short rise from 1.8 to 2.9% last week was the largest rise in any UK company.