Greggs Share Discussion Threads

[philanderer] 04/10/2022 13:34

Greggs hikes price of sausage rolls again - but rising costs have not deterred shoppers as sales jump 15%

[kalai1] 04/10/2022 13:30

Greggs issued a Q3 Trading Update this morning titled, “Trading in line and full year expectations unchanged”. So business continues to grow solidly, consensus FY23 revenue expectations are for £1,417m which would equate to growth of about 15% on the year. Certainly total sales for the 13 weeks to 1 October 2022 were up 14.6% with 90 net new shops opened year-to-date. Management continue to expect around 150 net shop openings in 2022, there has been no change in the cost inflation outlook for the year. Valuation is now looking pretty reasonable again following a halving of the share price in 2022, forward PE ratio at 14.3x is average for the sector, GRG has traded on multiples over 20x for extended periods over the past 5 years. There is reasonable growth, with reasonable profits and at a reasonable price here. The weakening macro environment and lack of momentum are the main clouds, share price remains in a correction for now. Other than that, GRG is a solid, growing and profitable food retailer worth owning at some point. Monitor for now...

...from WealthOracle

hxxps://wealthoracle.co.uk/detailed-result-full/GRG/560

[muchodinero] 04/10/2022 12:38

Barius, I don't think I'll be following any of your advice. Good luck with that £10 buy..it's never going to happen unless they do a 2 for 1 split...more like £30 entry in 12 months time imho!

[philanderer] 04/10/2022 09:29

Good update..

Greggs was benefiting from a low average customer spend of just under 4 pounds, the diversified location of its shops and a broadening of its product offer, with more hot food and vegan options.

Faced with higher costs, Greggs has, however, pushed through another round of price rises this week, including for its famous sausage rolls.

[whalehq] 04/10/2022 08:41

I think I've had profit warnings on the majority of my holdings over the last month or so. This update was consquently a welcome relief LFL cost inflation more than offset by positive revenue LFLs reads well and importantly the growth plans are still intact. In typical fashion it is by far my smallest holding however.

[topazfrenzy] 04/10/2022 07:12

This company is recession proof ... keep adding at these levels

[zeppo] 03/10/2022 10:09

Trading statement tomorrow?

After that?


I'm a believer!

[barius] 03/10/2022 09:16

I will be looking at buying some at a more realistic price, somewhere between £10 and £12ish. The price will fall a fairly long way from here.

[tmfmayn] 01/10/2022 17:10

[Podcast] GREGGS With Mark Atkinson And Maynard Paton #GRG


A 30-minute podcast about the investment potential of sausage rolls. We talked about Mark buying more at £18, how Greggs can survive the upcoming recession, the company's superfans and its financial history:

[livewireplus] 30/9/2022 12:22

.... a sausage roll :-) .... (their Vegan one's seem to be selling reasonably well - someone in queue in front of me always buys some - by the time I get to the counter there are invariably only 3 left - hence can't avail of the 4 for price of 3 long-standing promotion).

[westdean] 30/9/2022 12:05

dean'n: Your buying this stock would be a matter of celebration for us, but what's in it for us?

[deanmatlazin] 30/9/2022 07:18

Bought this morning. What a great opportunity. I went to most Greggs stores and the business still running good despite inflation/recession. Back to £20+ soon

[geraldus] 10/9/2022 14:47

They are that thin,next time there is a Covid outbreak there will be no need to open the shop,just slide them under the door. Having shrunk so much I expect some people will have an excuse now to purchase two.

[spacecake] 10/9/2022 10:05

Living in the north east of the UK ( a couple of mile from HQ and central bakery) and having stuffed myself with steak bakes for 40 years I can assure you they have not changed one bit, if anything they have got better over the years due to increased quality control at the bakery and the shops.

[geraldus] 08/9/2022 15:53

I have a visit to Greggs in various locales about once a fortnight.The steak bakes are a disappointment with more gravy and less meat.They can't trim them up anymore so they are reducing the filling but with an increase in the price - Poor value.

[philanderer] 07/9/2022 18:22

xd tomorrow morning for the 15p dividend.

[blackhorse23] 24/8/2022 22:40

Switched to CURY (LSE) excellent DEBT FREE dividend stocks ... multi bag from here

[philanderer] 10/8/2022 08:24

Berenberg: Greggs can double sales by 2026


Greggs (GRG) continues to trade well in a difficult environment and broker Berenberg believes it can double sales by 2026.

Analyst Owen Shirley reiterated his ‘buy’ recommendation and target price of £36 on the high-street baker, which fell 1.6% to £20.56 on Tuesday.

Following last week’s first-half results and a meeting with company bosses, Shirley is ‘even more confident in the direction being set by Greggs’ leadership’.

‘The company is performing exceptionally well in a challenging environment, and we continue to believe that it has an excellent chance of achieving management’s target of doubling 2021 sales by 2026,’ he said.

Although cost pressures are mounting, Greggs is offsetting that ‘with strong sales momentum’, helped by two rounds of price increases in December and May.

Shirley said there was ‘potential for over 50% consensus upgrades by 2026’.

‘We believe that, on the current consensus trajectory, sales will reach around £1.9bn-£2.1bn in 2026, and profit before tax £250m,’ he said.

‘However, this is well below management’s sales target of £2.4bn in 2026, which we believe would translate into profit before tax of between £300m and £450m, depending on how much of the benefits of operational gearing are returned to customers. This implies that, if initiatives like growing evening sales are successful, there could be significant upgrades to medium-term consensus estimates.’



citywire.com

[gibbs1] 03/8/2022 08:48

Greggs warns sausage roll and steak bake prices could rise again in blow for customers

The cost of food at Greggs will go up in 2022, the much-loved high street bakers has warned, as it is forced to pass on the rising cost of ingredients, packaging and energy bills to its legions of fans

[mike24] 02/8/2022 17:07

greggs get a nice free plug, promoting food warehouse latest
store to open with 8 pack,
"le sausage rolls"

edit, had greggs taken up the op to buy a few freeholds (as Beauchamp Park)
they could have hedged themselves against rate/rent costs, in turn not having to put
units back as landlords lease conditions, a six fig sum in many cases,
being landlords themselves, would be dictating legal/surveyor issues in turn creating
a nice company pension pot,

P&O pension fund was the best , staggering % gains on units

[la forge] 02/8/2022 16:11

Dividends

The previously-declared special dividend of 40.0 pence per share was paid in April 2022.

The Board has declared an interim dividend of 15.0 pence per share (2021: 15.0 pence). The overall ordinary dividend for the year will be proposed in line with our progressive dividend policy, which targets a full year ordinary dividend that is around two times covered by underlying earnings.

The interim dividend will be paid on 7 October 2022 to those shareholders on the register at the close of business on 9 September 2022.

Outlook

Despite market-wide inflationary pressures Greggs has continued to perform well. Consumer behaviour is still recovering from the impact of the pandemic and employment levels are high. In a market where consumer incomes are under pressure Greggs offers exceptional value for customers looking for food and drink on-the-go. In the four weeks to 30 July like-for-like sales in company-managed shops were 13.1% above the equivalent period of 2021.

Clearly there are considerable uncertainties in the economy as a whole, but we continue to trade in line with our plan and are making good progress against our strategic objective to become a larger, multi-channel business. As such, the Board's expectations for the full year outcome remain unchanged.