Domino's Pizza Share Discussion Threads

[trt] 16/2/2007 07:53

Page 62 of this weeks shares magazine comments on how good DOM's results should be next week and the possibility they might return even more cash to shareholders.
They finish the article with a BUY recommendation.

[cambium] 15/2/2007 12:27

Altium reiterate with 7.60 target!

[trt] 15/2/2007 12:11

Press comment started ahead of results :
"Domino's Pizza shed 1.5p at 658p ahead of full year results next week which are expected to show a near 40% jump in profits."

[trt] 15/2/2007 09:49

Their previous target price was £7.60 with a BUY recommendation so it seems strange that they go to £7.50 and with an ADD recommendation.

However 10p doesn't make a difference after all !!!

[cambium] 15/2/2007 09:20

Sorry to ruin the party, but I think Charles Stanley is a downbgrade with a £7.50 target.

[trt] 15/2/2007 07:57

On 14/02/07 Charles Stanley reiterated its ADD recommendation
On 14/2/07 Panmure Gordon reiterated its BUY recommnendation

[trt] 12/2/2007 08:07

Only 6 trading days left until the results !!!

[indieman] 10/2/2007 12:06

hy,

You're a gent.

Try out the Deviation Indicator. I got it from David Schwartz but, despite that, it can be useful. It's the lastest daily closing value divided by the average for the last year. It's good for spotting overheated markets/shares. The FTSE-100 is currently at 106 (3 day smoothing) which is nice, long-term safe territory.

That's all folks.

[hybrasil] 10/2/2007 10:57

completely understand - hope it keeps working

[indieman] 09/2/2007 17:31

hy,

Once in the public domain, technical methodologies tend to stop working. I have tried validating several secondary charting indicators and none of those I tried was better than marginally profitable. People still believe in them though. To ruin a method's usefulness, let others know about it.

I don't even keep the information on an on-line computer to stop it being hacked into.

That's the long way of saying sorry, I can't.

[trt] 09/2/2007 17:19

Indieman,

Yes we all have different methods we use to invest in shares.
At the end of the day as long as we all make money then it doesn't really matter.

Roll on the 20th Feb !!!

regards

trt

[hybrasil] 09/2/2007 17:07

go on indie
fill us in on your methodologies

[indieman] 09/2/2007 16:48

trt,

I don't work that way.

I have a number of stocks I follow and on which I can apply my own methodologies. Although predominantly fairly large cap, I simply use technical methods plus some simple macro-economic filters to decide what to invest in. I couldn't read a balance sheet if it was printed in the Beano. I am also unconvinced by fundamental analysis. A major study beta several years ago showed that FA predicted the future well 40% of the time. TA predicted the future 50% of the time. What is important, whichever method you choose, is to drop the duds and concentrate on the winners. That way, you can do well on only a 3 out of 10 hit rate.

Not really being a big or long term investor, I don't worry about tax breaks and the like. However, I have a large Capital Gains Tax allowance to use up thanks to a decision on taxation of share options a couple of years ago. I just look to increase the chances of making a profit using the methods I have to hand. They're not high tech, but they are my own.

[hybrasil] 09/2/2007 16:37

Nearly 1% of the co changed hands today

[trt] 09/2/2007 09:32

Yes long term holds in the FTSE 100 are the back bone of investing producing good dividends and gradual capital growth over a number of years.

Once one has established a holding in such stocks its good to invest / diversify elsewhere including FTSE 350 and AIM.Yes there is slightly more risk involved but if one does ones homework including many hours spent undertaking detailed research on companies the rewards / returns can be rather large indeed.

Tax benefits are very good when holding AIM stocks for a number of years -Capital gains tax reduces depending on how long you have owned the share.
For example taper relief allows the following - if you hold an AIM share for 10yrs and you are a basic rate taxpayer you will only pay Capital Gains Tax ( at the rate of only 12%) on only 60% of the profit ( gain ).
Higher rate taxpayers pay tax at the rate of 24% on 60% of the profit ( gain ).

All the above only after allowances ( CGT 2006 - 2007 £8,800 ) + indexation have been deducted.

So you can really see the benefits !!!!

[indieman] 09/2/2007 08:59

I checked my monitor and found 8 out 9 of my stocks are up at the moment, with Dom in the middle in percentage gain terms. Very welcome. The FTSE is looking at a five year high once more this morning.

I never average up or down, partly because I'm not a trader, but also because I like the reduced risk inherent in a reasonably diversified stock set. Age and risk aversion; most of my stocks are £1bn+ companies, mostly in the FTSE-100.

[trt] 09/2/2007 08:22

Back up we go again I do hope folk took advantage of the drop over the last few days and topped up.

[indieman] 09/2/2007 08:06

trt,

Sentiment is driven by more than just results, although it is a major consideration. I'm continuing to hold as well.

My original comment was aimed at those who seemed to think that very good results would necessarily result in an immediate increase in the share price. Many years' experience shows that 'it ain't necessarily so.'

[trt] 08/2/2007 18:32

The sentiment however is driven by "results" ( facts ) and with DOM continually beating market profit forescasts year after year "results" are always excellent.
I for one have taken advantage of the recent dip in the share price to top up my holding and it appears others are doing the same and I like Nigel Wray will continue to hold -I truly cannot see the sense in selling shares in a company which is going through a strong growth phase.

[indieman] 08/2/2007 16:54

trt,

Agreed, they don't know by how much the profits are likely to exceed expectations. But then, neither do we. I'm not suggesting basing decisions on share-buying on facts. It's not facts that drive share prices but sentiment.

Domino's is a growth company, so future prospects naturally figure large in the company's story. I'm suggesting that, in the shorter term, buying on rumour and selling on news is often a useful strategy around results time. That is of no concern to me, a medium term investor, nor to long term holders.

[trt] 08/2/2007 07:32

Well yes but they don't know exactly by how much the profits are likely to exceed expectations and that is what will bring the share price rise.
If everyone based their decision to sell on fact they would have missed the rise over the last few years from 93p to £6.30ish.

A core holding is simply not worth trading as the last few years have shown.

One has to look at the future prospects that is how the market now values a share - with DOM they are growing year on year in both the number of stores & profits and with the pizza market expected to be worth in the region of £1.8bn come 2009 and DOM being twice the size as its nearest two rivals its profits will continue to increase rapidly as we are already starting to see.
Lets not forget that cash is being returned to shareholders as well.

I don't see Nigel Wray selling any of his 27.51% stake and he didn't become a multi -millionaire by making rash decisions over his investments

Plus lets not forget all those broker outperform / buy ratings and profit upgrades that just keep coming

[indieman] 07/2/2007 22:32

Everyone already knows the results are likely to be well ahead of prior expectations. Hence investors have already priced that in and made their investment decisions on that basis.

It is as likely that the shares will fall on the results as rise. Buy on rumour, sell on news.

[trt] 07/2/2007 11:16

Its the MM's reacting to small sellers who probably have stop losses in place.
The MM's will obviously need to acquire stock prior to the results and this is there way of doing it.

When the company said " profits will be ahead of current market expectations " as they did on the 9th Jan, then we should all be filling our boots ready for the results on the 20th Feb.

Nice profit ( in addition to one's long term holding ) to be made from these levels come the results !!!

[pshevlin] 07/2/2007 10:40

Surely a bit more than a tree shake?
Anyone got eany thoughts on why so many people are selling. Is someone shorting here?