B&m European Value Retail Share Discussion Threads

[tonytyke2] 01/11/2024 13:05

Yep, good luck with your trading. I use the short list as part of my checks before buying, to check for anything excessive going on that I need to know about. I don't short.

[backmarker] 01/11/2024 12:52

No, I don't normally look at shorts as I don't do any short trading and most of the shares I trade/invest are AIM stocks and I wouldn't trust the data.I try and trade BME for fun, as it has no stamp duty or levy, a narrow spread and moves >1% per day, and critically appears undervalued to me, as I'm effectively doing buy-sells.I have managed a small net profit to date, but only because I took an early profit after the last results, and wasn't holding when they turned turtle shortly afterwards.I feel BME should be well above 500, maybe even 600. But the market clearly thinks otherwise and you can't fight the market.I'm hoping the next news in a few days will be as positive as last time, in which case I shall be ready to jump in and grab a few.

[tonytyke2] 01/11/2024 10:46

Yep backmarker, I invested recently here based on value and the dividend. The short interest was 3.4% then, and it's now dropped to 2.7% with 2 funds short. I tend to use www.shorttracker.co.uk do you?I am going to be adding more soon, it currently passes 6 long screens on Stocko.

[backmarker] 01/11/2024 09:18

I wondered whether BME was being shorted, and of course it is. It is currently shown at 2.72, down a little on last time. I assume that is because as the share price drops the potential profit from shorting reduces so short positions are reduced.Fwiw, BME has a slightly lower figure than Sainsbury or Morrisons.

[backmarker] 18/10/2024 10:14

TR1. If I've done my sums right the Gray Fdn holding is worth around £200m, and at least about a half of that must have been made very recently.That's a big investment, and I assume must have been made after a careful analysis of BME.Maybe this is a sign that we are at the bottom and 400-410 is the new base.Very encouraging, and if the interims are good then I have been keeping some powder dry with which to get back in.

[backmarker] 16/10/2024 15:50

No announcement yet on date of interims. I'm expecting them around 11 Nov.

[mozartprodigy] 10/10/2024 07:45

Thanks Wad Collector - I saw this clip from HMRC before and rolled my eyes at it! Wonder if anyone who got paid the actual money got the deduction and can confirm!?!

[wad collector] 09/10/2024 20:56

Don't think much of the share price drop is about shipping costs - the container rate from Shanghai has halved in last 2 months.


Here is HMRC response to this question

Re: Luxembourg withholding tax on dividends
On 19th July 2023 the Luxembourg Parliament ratified the updated UK-Luxembourg Double Taxation Agreement, whereby Withholding Tax on interest, royalties and dividends was reduced to 0%, other than for REIT Property Income Distributions which the treaty reduces to 15%. With the UK government having already ratified the new treaty, this change was applied from 1 January 2024. However, the dividends in B&M European Value Retail SA that were paid to me on 12th February 2024 and 5th August 2024 have both continued to be paid net of 15% tax. Correct me if I am wrong, but I assumed that from 1st January 2024 dividends in Luxembourg listed companies would be paid gross to UK beneficiaries, and any dividend tax due would be paid at UK dividend rates and calculated in our tax returns. Am I able to reclaim the 15% tax on these dividends, as my taxable income is less than the personal allowance, and is there any way to have the B&M dividends paid gross in the future?
Many thanks.

Hi Julia Marsh,

This is a matter for the Luxembourg authorities.

HMRC will continue to apply the current tax treaty in force, until an updated version is agreed.

Luxembourg: tax treaties

Thank you.

Err so that's clear then...

[mozartprodigy] 09/10/2024 08:51

Can anyone confirm whether you still pay 15% withholding tax still?Tia!

[muzmanoz] 02/10/2024 15:27

Stores in my local area have had their available hours cut back a lot. They flex hours based on sales. Either sales are down or they are trying to protect or improve margin (possibly because of national minimum wage increases or to fund new store openings). Knock on effect is that senior staff are leaving and they struggle to recruit and retain staff. Card factory's last results were tainted by minimum wage increase.

[backmarker] 02/10/2024 12:34

At the last presentation we were given to understand that BME had freight costs covered.It will be another month before we get the interims. That may actually work for me as I am currently fully invested. However I may well have some cash by then and depending on the results and forecast I may well reinvest here. To me the company seems tightly run and I cannot understand why the share price has been falling rather than rising. But Mr Market likes to play his games and get inside people's heads. So sitting on the sidelines waiting for news seems a sensible course of action for now.

[lennonsalive] 01/10/2024 10:28

I wonder if shipping freight charges are a concern

[nakedmolerat] 25/9/2024 14:33

went into a B&M, all shelves stocked up for halloween and christmas stuff, only a small amount of summer stuff tucked away reduced.

i cant see anything wrong in stores

[backmarker] 25/9/2024 10:53

Last year we had the H1 interims in early November. Also an announcement of timing in mid-September.No announcement yet for this year but presumably the interims will still come in early November.Maybe we will learn something then.

[kenmitch] 24/9/2024 09:04

backmaster

Amazon is nowhere near as big a worry as Temu is. Their competition has been there for years and both BME and Dunelm have easily coped with it.

Temu like SHEIN are bankrolled by the Chinese Government via subsidies etc and so can sell far cheaper than BME and Dunelm can. Already SHEIN has ruined ASOS and BOO. Something has to be done about this Chinese undercutting of UK prices (it’s happening with electric cars too) as otherwise Chinese competition could ruin otherwise very efficient and successful UK Companies.

[backmarker] 24/9/2024 08:25

TEMU impact an interesting thought. I confess to being a TEMU customer, spending £15 (free delivery) every few weeks on a variety of cheap kitchen and garden accessories and rolls of stickers for the grandchildren. I hadn't really explored their much wider range of products.Thinking about it I wonder if the likes of Amazon might be making a bigger dent as they seem to offer even more alternatives to the B&M range.

[kenmitch] 23/9/2024 13:04

In case this helps a bit. Two possible reasons for the continuing fall in the share price:-

1. Outlook statements this year have been vague on prospects unlike in the past. I sold for that reason on the fall in January.

2. Concern about Chinese Company TEMU muscling in on their business. BME haven’t yet mentioned this worry, but nor did BOO or ASOS before their share prices crashed.

I’ve now reluctantly sold Dunelm (a superb shop we use a lot) for that same TEMU reason.

[backmarker] 23/9/2024 08:42

They have been falling for a while with no obvious reason. It was thought weather and shipping costs might have damaged Q1figures but we were told all good. The shares rebounded for a couple of days then started falling again.The only news since then has been some options giveaways that sounded a bit dodgy, but nothing on business activity.Probably won't get anything more until the Q2 update.

[barrysunny] 23/9/2024 08:41

It seems UBS has a sell on BME.

[shaker45] 23/9/2024 07:43

Why the fall? Can't see news or big sell?

[bulltradept] 23/9/2024 07:05

Below £4 calling...

[ianst12345] 10/9/2024 09:18

Placed on "negative catalyst watch" by JPM. They probably want the shares cheaper ;-)

[backmarker] 06/9/2024 12:21

The fall continues. 435 breached, and 430 isn't holding. I wonder what the news is, and how bad it is?Anyone have any ideas ?

[backmarker] 02/9/2024 06:59

Given today's RNS I would suspect the recent options grant were also nil-cost.

[backmarker] 28/8/2024 15:28

I don't blame you. On the basis of what has been made public BME should imho be well over 100p higher.Normally their reporting seems very clear, precise, even formal. But the reporting of those option grants - which I took to be part of an incentive package - was anything but.I watch and wait, but have no appetite for these right now, and it would seem there are many who have similar feelings as the share price continues to look sickly.