Cake Box Share Discussion Threads

[johndoe23] 28/6/2024 13:15

Sid, as I stated below, cash adjusted the forward PE is about 7. This is a good way of screening undervalued shared, as in Peter Lynch book "one up on wall street "

[levinson1] 28/6/2024 13:14

Sid B - fair comment except that they have consolidated well and are now concentrating on growth again . The brand recognition is increasing and therefore the online presence will imo become of increasing importance together with the increasing range of productsFurthermore imo they will pull a rabbit out of the hat to boost growth. Will be interesting to see what they say in their podcast at AJ Bell next week.Sukh's purchase of shares this week at 174p is a very good sign too - shows great confidence when he already owns over 25% of the Company.

[sid_b] 28/6/2024 12:28

Levinson, I understand when you say that the company looks better now than when it was priced at 400p but the key difference is growth.
Today, even their target growth rate is 20-22 stores per year which makes it <10% per year.
PE of 15, PEG of c. 1.5. Dividend of c. 6% when risk free rate is c.5% doesn't sound so undervalued.
Earlier their growth trajectory was steeper and that's what the market was pricing.

As I have been saying, either Sukh needs to run it like a dividend company and be satisfied with the share price (may be with a bit of upside) or think of utilising its cash pile and FCF to invest is faster growth.

This is a strategic decision and so far Sukh has reiterated their modest ambition to grow at <10%.

[levinson1] 28/6/2024 11:30

The CEO usually has something new to say when he presents

[spwh100] 28/6/2024 11:12

AJ Bell webinar presentation on 3/7 featuring Cake Box

[levinson1] 27/6/2024 16:23

Precisely. Shares should be on equated PE of 18 ++ . They look poised to double. Great that the CEO bought more at 174pTheir previous peak was £4 and the company looks better now than it did then

[justiceforthemany] 27/6/2024 15:04

185p paid.
215p looks to be the next resistance point.

[johndoe23] 27/6/2024 14:51

Worth noting that cash is 11p a share, so cash adjusted PE is around 7 times

[disc0dave46] 27/6/2024 12:28

Interesting purchase but should be taken in the context that to-date he's sold / banked £16.2m (net).He's held well in excess of 30% previously (at listing it was 41.3%).Why would he take it private ffs!.

[johndoe23] 27/6/2024 11:52

Yep good enough for me. Added.

[levinson1] 27/6/2024 11:48

Cake Box Holdings plc, the UK's largest retailer of fresh cream celebration cakes, announces that it has been notified that on 26 June 2024, Sukh Chamdal, Chief Executive Officer, purchased 50,000 ordinary shares in the Company ("Ordinary Shares") at a price of 174 pence per Ordinary Share (the "Purchase"). Following the Purchase, Sukh Chamdal is beneficially interested in 10,212,915 Ordinary Shares, representing approximately 25.5% of the Company's issued share capital. Further details of the Purchase can be found in the Notification of Dealing Form below.

[levinson1] 27/6/2024 11:45

Brilliant that Sukh is increasing his stake at 174p. Its all pointing to 250p per share. Starting its ascent properly now - loads of buyers and no stock around

[justiceforthemany] 27/6/2024 10:35

CEO BUY 50,000
Holds 25.5%
Not far off the 30% threshold for an offer, if he wants to take it back private.

[johndoe23] 26/6/2024 10:42

Hmm willchrck sharecast had as tomorrow

[spwh100] 26/6/2024 10:37

Ex-divi is 11/7 surely?

[johndoe23] 26/6/2024 10:30

Ex div tomorrow might wait until then to add

[justiceforthemany] 26/6/2024 10:27

180p paid.
Dividend upcoming.

[levinson1] 26/6/2024 10:05

No more stock left on the sell side. Seller looks all cleared. Now open to the climb to c £2.50 imo . Happy days

[levinson1] 24/6/2024 14:14

Think market makers are working with the stake builders to keep the price down. They're really suit themselves merchants

[johndoe23] 24/6/2024 14:10

I'm not expert but a bit surprised share price hasn't ticked up

[levinson1] 24/6/2024 14:02

And another 49,000 just bought at 175p Upward pressure m higher

[johndoe23] 24/6/2024 13:55

Yes, there's a seller but stock being taken by the buyer. So all parties happy at this level. Interesting to see when the MM's might take this up..

[levinson1] 24/6/2024 13:51

Another 25,000 just bought at 175p Stakebuilding all over CBOX. A 250p bid imo imminent

[spwh100] 24/6/2024 10:31

oh no, I've been filtered. Name calling? pot calling the kettle black springs to mind

Opposing view? you only ever turn up somewhere with constant, negative posts and attacks on people, we all know your game. Very sad, predictable and pathetic