The Gym Share Discussion Threads

[davr0s] 03/12/2019 09:28

I hold but brokers just guess like everyone else. They have been shown to be 49% right historically so more wrong than right. They are just noise imo. I'm hanging on here until the trend breaks

[thomshrike] 03/12/2019 08:56

Good news, that are not included on broker estimates and should lead to some upgrades in the future.

[masurenguy] 03/12/2019 07:58

More positive developments.

03 December 2019
The Gym Group plc

Update on Small Box Format Rollout and New Credit Facility

The Gym Group plc is today hosting an analyst visit to its Newark gym, which opened on 11 November 2019 and is the Company's first 'small box' format site. The development of the site pipeline for the small box format is in progress and the Company expects to open 5-8 small box gyms during 2020. This is in addition to the continued expansion of the Company's standard format estate, which will continue to be rolled out at a rate of 15-20 new sites per year. The Company is also pleased to announce that it has entered into a new 4 year, £70m revolving credit facility provided by HSBC, Natwest and Banco de Sabadell. The new facility replaces the Company's existing £60m facilities on improved terms and will provide flexibility to execute the Company's strategy.

[scooper72] 29/11/2019 14:47

*my family....

[scooper72] 29/11/2019 14:46

David Lloyd offered much family a whole day free pass at their new place in west London. It was nice. But food was over priced and as much as they want it to be a posh experience it's hard to create when u have little kids running riot and not enough staff to clean up properly. They've now offered me a 2 week free pass for £38. Hmmm. Bit desperate.

[masurenguy] 29/11/2019 10:34

Thanks for that very interesting input, QuePassa. Perhaps you could also update us if, and when, his 72% stake is sold.

[masurenguy] 28/11/2019 08:04

Good spot, and read across, thomshrike.

[thomshrike] 28/11/2019 07:59

Main (unlisted) peer Pure Gym published numbers yesterday. No apparent change in the market environment. This is an important Q for the business, due to being back-to-school season. i.e. positive read-across to GYM.

[masurenguy] 27/11/2019 12:50

Barclays Capital recommends an Overweight position on GYM today with a target price of 300p.

[masurenguy] 07/11/2019 08:33

Peel Hunt reiterates their August Buy recommendation again today with a target price of 350p.

[thomshrike] 25/10/2019 11:57

I thought this would be common sense, but anyway for clarity: on any year-to-date calculation (or month-to-date or week-to-date), you use as the starting point the closing price of the day before the start of the period.

[thomshrike] 25/10/2019 11:21

Hi QuePassa, the 2018 closing share price was 273.00. The stock is indeed flat Ytd.

That said, I agree: the stock is showing a brave face now - including being resilient during the times of Brexit uncertainty and substantially outperforming BFIT NA in the last 6 months. Also note the recent SATS IPO in Norway, a conventional gym operator. Reading one of their IPO reports just highlights how so much more solid is GYM's business model compared to theirs.

The risks that hurt the share earlier in the year never materialized. The only concrete negative was the concessions made to PT, but that is worth 3-4% on a DCF at most. Other than that, good news: acceleration of LFL, consistent margins, added market share gains, good outlook for growth.

Berenberg recently added GYM to their list of stocks that could potentially being taken over on a post-Brexit environment.

[mount teide] 25/10/2019 10:45

As previously mentioned after taking 50% profit on 75% of the holding at circa 300p in Q4/2018, put that back to work here following the totally irrational drop back to 200p.

So, it's pleasing to note the share price collapse back to sub 200p was totally irrational and, that we are likely on for another circa 50% return this year, as the fundamentals and chart have got 300p+ written all over it.

[thomshrike] 25/10/2019 09:45

Just to point out that today the GYM LN share price is finally flat year to date. This flat performance is IMO arguably unfair against the backdrop of a very significant progression in terms of earnings growth and outlook for the business.

[thomshrike] 11/10/2019 15:18

ahahah that's right!!

[masurenguy] 11/10/2019 14:56

Well let's hope so - I'm already well ahead here.
Another stock we have in common ! :0)

[thomshrike] 11/10/2019 14:24

Who else is hoping that today's market rally is the catalyst for GYM to finally break out of its trading range to the upside?