Dp Poland Share Discussion Threads

[sabre6] 12/3/2021 12:55

When lockdown finishes this should take off as the Poles like to go out and sit in a restaurant to eat pizza

[ember11] 25/2/2021 10:01

Worth a read.
hxxps://www.thefirstnews.com/article/its-pan-tastic-pizza-more-popular-in-poland-than-in-italy-as-order-in-food-10397

[ember11] 22/2/2021 15:12

I've just bought in as I also think that after the aquisition it's a very "strong buy". For any doubts I can confirm that Dominium Pizza is quite popular in Poland and... Polish people like pizza and eat lots of it.
Worth considering is also Polish consumer market preference- in Poland people prefer to order pizza in big chains like Domino/Dominium Pizza, Pizza Hut or Telepizza unlike in the UK where most preferred is your local Asian takeaway. Therefore thousands of potential competitors don't exist.
Just to clarify. Dominium Pizza chain is not just a chain of takeaways. It's a chain of proper restaurants where you can sit down (in summer in an outside garden if you prefer), have a nice pizza of your choice, coffee, pop, a pint of lager or a glass of wine. Good service and always full of customers. That's my experience from Warsaw.

[adrunkenmarcus] 19/2/2021 14:56

Perhaps so, but DPP is on course for being free cash flow positive in 2022 and with rapid expansion potential then I wouldn't want any purchaser buying DPP except at a MASSIVE premium. I've long held DPP and DPP's shareholders should get the benefit of growth in the 2020s.

[hybrasil] 19/2/2021 12:47

So the holders of the Indian Franchise have just bought 30% of dpeurasia.

That means there is another potential purchaser when this is profitable

[adrunkenmarcus] 30/1/2021 14:46

Oh, they like pizza. I ate at a Domino's Pizza store in Warsaw back in 2012. Very tasty!

[remarkomsoc] 30/1/2021 14:16

i have yet to witness a polish person eat a pizza

[hybrasil] 30/1/2021 14:05

Guernsey.
Faynon holding in July 2020 was 8 m shares. It’s now 18 million.

[guernseymoney] 29/1/2021 21:40

@hybrasil - Faynon have held since June last year also. Another Irish chap, Nick Furlong, was over 15%, via his investment vehicle.

I’ve held (and traded) DPP for several years, average success, now firmly in at 10p.

[hybrasil] 28/1/2021 12:38

Faynon which announced yesterday it has 18m shares or just over 3% of the company is no stranger to the franchise business. They have Mao in Dublin and Starbucks in Ireland among others.

Interesting to see if they buy more

[sabre6] 27/1/2021 11:45

I seem to remember reading something about a company taking over another company (who would have to dispose of its pizza outlets) if the takeover was to go ahead. DPP would be in a position to buy the pizza outlets obviously all the above are Polish company's
Sorry it's a bit vague

[adrunkenmarcus] 26/1/2021 20:07

I agree it is a good merger. And I am long DPP. By a long way! I bought quite a bit extra this year, including topping up at 7-8p.

I'd like it to hit 250p a share in a few years. However, doing so requires heroic assumptions. Even if we take £36 million as the forecast turnover in 2022 then assume 25% growth in 2023 and 2024, we get to £56.25 million turnover in 2024. There are somewhat over 600 million shares in issue so to get a share price of 250p would require 'Mr. Market' valuing DPP at 27x 2024 turnover. The highest so far was 10x turnover when DPP hit its peak in late 2016 and the market apparently was pricing in substantial future growth.

What are the specific assumptions and/or valuation metrics you're using to get to 250p? I'm long too and I'd love it if you were right.

On a more conservative basis, if we had £56.25 million turnover in 2024 and valued the business at 10x turnover, we'd still get a share price of about 93p in 2024 which would be a 9x return in three years. :-)

[hybrasil] 26/1/2021 16:52

I agree Sabre and particularly as I have just discovered my average cost and I have participated in every fund raising since flotation is 20p.

However I don't know if any of you looked at dpeu results or trading statement today.

It has 6 times as many stores as dpp and is valued exactly the same..


Should they merge I ask myself?

[sabre6] 26/1/2021 11:09

I think the deal done last year is fantastic and I don't think that the market has woken up to this yet.
£1 this year yes
£2.50 next 2-3 years
Moved the goalposts slightly

[adrunkenmarcus] 23/1/2021 17:25

sabre6, I'd very much like those, but I think it's rather ambitious!
Turnover is forecast to grow 118% in 2021 to £32m and then to £36m+ in 2022.
If we assumed 10x turnover (I think DPP was, briefly, valued at that level in 2016) then 10x 2022 turnover would be a market cap c. £360m or about 60p a share.
If they could get to 600 stores (long term max.) and we assumed each store contributed £1m to the market cap then we'd get to about 100p a share.
I'd prefer it to reach 250p in 2022 though! I'm in long.

[sabre6] 23/1/2021 16:56

Here it goes
Interest just beginning
£1.00 this year
£2.50 the following year

[hybrasil] 04/1/2021 18:58

Looks as this is only going one way.
All buys today

[sabre6] 31/12/2020 12:27

Would not be surprised if this was tipped for the new year as their is so much potential here

[adrunkenmarcus] 31/12/2020 11:17

ditto matt123d - am up 25% on my top up after re-admission!

[matt123d] 31/12/2020 10:56

Added a few here past couple of days. Potential for a big move up next year!

[sabre6] 29/12/2020 15:16

1blue
Makes a very good case to buy this share and I totally agree with the new buy note

[1blueletter] 24/12/2020 08:52

Great buy note on DPP -

[adrunkenmarcus] 22/12/2020 21:04

Consensus forecast puts DPP down to generate £1.2 million in free cash flow in 2022, which puts it on a forward 2.5% free cash flow yield.