Greene King Share Discussion Threads

[timbo003] 23/9/2009 10:48

It woz UBS wot did it!



Pub stocks now look about as appealing as a busy boozer's slop tray. That's the verdict of big-hitting broker UBS which today advised dumping four of the biggest operators: Enterprise Inns, Marston's, Greene King and Mitchells & Butlers (M&B).

Analysts at the Swiss bank think investors have become punch drunk on a triple-whammy of good news for the sector: the improved economic outlook, England qualifying for the World Cup and changes to the rules on pub gaming machine stakes and prizes.

But they reckon shares in the sector have rallied so sharply that anything less than a V-shaped economic recovery will leave them vulnerable.

They also warn that the margins for leased and tenanted pubs are unlikely to return to former highs, with the recession and smoking ban highlighting the need to redistribute profits from the pub companies to the lessees and tenants. There could be two years of lease renegotiations ahead, which will eat into margins.

UBS is therefore particularly bearish on the leased pubs market, preferring managed pub operators such as M&B. But they have still cut their rating on the All Bar One owner from neutral to sell, believing M&B will not be able to improve margins swiftly when consumer spending bounces back.

The downgrade left the sector nursing a nasty hangover. Greene King was the biggest faller on the mid-tier, plunging 27p to 421p. Marston's was off 4¼p at 102¼p, Enterprise Inns lost 4½p to 139p and M&B sank 93¾p to 289p.

[jeffian] 23/9/2009 10:48

Salpara111,

Sorry to hear about your situation. I have a daughter just graduated and am seeing at first hand how hard it is to get employers interested. Good luck.

I have 2 comments on your 358. Firstly, there is a 'parallel universe' in the economy at the moment. Unemployment, as you say, is a huge issue for those experiencing it and their natural reaction is to clamp down on discretionary spending. But for those in employment (still, thankfully, the majority) things have been remarkably benign - income holding up, prices falling, mortgage interest rates down etc. - leaving them plenty of spending money. I live in West London (which I accept is hardly representative of UK as a whole) and you can hardly get through the door of decent pubs here. Secondly, (again, maybe a W London perspective) if people are being more careful with their money, this seems to be at the expense of 'posh' restaurants and to the benefit of gastro-pubs. Clearly there is a danger that unemployment will get worse and everyone will feel the need to tighten their belts, but having been through many recessions, including the nightmare early-1970's, my view is that the traditional pub is remarkably resilient and GNK is one of the best-managed integrated regional brewers (brew/wholesale/distribute/retail/pubco).

Regards, Ian

[gulliver2] 23/9/2009 10:32

Sorry to hear of your job loss but you can't be hurting too much if you have money to invest.
These broker downgrades are just part of their "clever clever" games I was talking about.
In time they will upgrade and their clients will enjoy the benefits of the tricks.

[gulliver2] 23/9/2009 09:19

Crazy. This is a good company, doing well. The recession is easing and anyway the last thing anyone economises on is their social life!!!!!!
There must be some silliness in the traders' minds. I do wish they would stop trying to be greedy and clever. It is what has screwed us already when they got egg on their faces.

[purplebox] 23/9/2009 09:00

Another horrid open - I really don't understand this share.

[hotfinance14] 22/9/2009 12:53

I still expect this to hit 300p.

[wad collector] 22/9/2009 12:51

last week;

WEDNESDAY

The Times

Greene King is benefiting from the boom in real ale, with a 12% jump in volumes of its own-brewed beers led by a strong performance from Old Speckled Hen. But in truth, the real barometer of the firm's financial health lies in its pubs. And here again, the Suffolk-based company is beating the competition. Like-for-like sales are up but the outlook isn't clear with unemployment hitting consumers in the pocket. Hold on.

[gotnorolex] 18/9/2009 15:57

With the RSI down at 30, had to get back in after a long absence!
Glad I did and will stay for a long time!

[wad collector] 10/9/2009 12:40

Yes , with the customary caution.

Funny - haven't heard from hot finance for a while - I wonder why.



hotfinance14 - 21 May'09 - 18:45 - 306 of 351


This is going back to 300p.

[timbo003] 08/9/2009 07:12

A very, very reassuring trading statement out this morning



I predict we will have an up day today

[nextlink] 13/8/2009 09:03

Now the ex dividend dip is behind us, this share is showing strength.
No doubt the good news from Germany and France may be helping.

[purplebox] 31/7/2009 14:40

One week tree shake?

[kbass] 29/7/2009 12:41

Might have to dip back in.

[westcoastrich] 29/7/2009 12:28

The final
dividend will be paid on 14 September to those shareholders on the register at
the close of business on 14 August.

[westcoastrich] 29/7/2009 12:28

fat dividend due

[kbass] 29/7/2009 05:24

Red all round?

[purplebox] 28/7/2009 15:53

Has anybody got any idea of what's going on today?

[captain_kurt] 18/7/2009 11:06

Greene King bosses top up

Fri 17 Jul 2009
LONDON (SHARECAST) - Directors at Greene King have been topping up their holdings in the pub group and brewer, spending a combined total of nearly £70,000.

Chief executive Rooney Anand was the biggest spender, buying 8,119 shares. Finance boss Ian Bull took 5,137 shares and directors Jonathan Lawson and David Elliott took 1,732 and 1,268 a piece respectively.

They each paid 423.5p a share.

Following the purchases Anand has 160,473 shares, Bull has 35,958, Elliott has 179,638 and Lawson 14,785.

Earlier this month the firm, which owns Greene King pubs in England and Belhaven pubs in Scotland, reported profits that beat forecasts it made at the time of its rights issue in April that raised over £200m for the group.

Profit before tax and exceptional items for the 52 weeks ended 3 May fell 15% from the previous year to £118.5m, but that was ahead of the £115m predicted.


Top Director Buys

Greene King (GNK)
Director name: Mr Rooney Anand
Amount purchased: 8,119 @ 423.50p
Value: £34,384

Greene King (GNK)
Director name: Mr Ian Bull
Amount purchased: 5,137 @ 423.50p
Value: £21,755

[captain_kurt] 17/7/2009 13:47

Director buys and a great yield.

[timbo003] 03/7/2009 16:27

blue brazillian

Providing you buy before august 12th you will get the divi

[blue brazilian] 03/7/2009 15:31

If I bought these today or even early next week have I missed out on the dividend of 15p?

[timbo003] 03/7/2009 09:10

yes, lots of positive press comment, for example:

[hectorp] 03/7/2009 08:36

2-3 newspapers tip this as a seasonal BUY today.
- The price is down at the moment.
Useful to have such a compnay in my folio of miners and gold cos for a bit of diversification and few companies rise in the summer except brewers , and it is HOT.

[wad collector] 02/7/2009 08:44

There are lots of things I wish I had bought or sold yesterday!
The results, compared to the sector , look reassuring to me.