Halfords Share Discussion Threads

[blackhorse23] 28/2/2024 21:41

Money moving to CURY

[creditcrunchies] 28/2/2024 20:10

I tucked away a few at 137p. You'll find it's not just Halfords getting hit the UK economy is slamming into the buffers I'm seeing a lot of dividend cuts this year. Just look at the average yield of the Ft250 it's gone from 5.4% yield down to 4.7% that is the tip of the iceberg more bad earnings releases coming

[brenman] 28/2/2024 18:45

Drop is way overdone. Will bounce to 180p imo. Could well be the right moment for a bidder while management is on the backfoot and shareholders are unhappy.

[strawberry alarm clock] 28/2/2024 18:40

Or otherwise just sell

[creditcrunchies] 28/2/2024 18:03

I don't think these will perform well for at least a year but there is takeover potential you might get rewarded there. Otherwise this is a tuck away job

[hamhamham1] 28/2/2024 17:44

Bought in today in mid 140s.
Little debt, still profitable.
The storm clouds will pass and the sun will come out again.
I wonder if there will be a bit if opportunisn appearing on depressed share price?





-though £1.4bn was combined value. Not hfd takeout :)


A £1.4 billion bid for Halfords from Redde Northgate has been dismissed because it “undervalues” the bike and car parts retailer, according to reports.

That may not be the end of a potential deal, though. The Sunday Telegraph quoted a source as saying: “There were discussions about what an integration of the two businesses might look like, but there were questions over the valuations of both companies.

“Both share prices weren’t doing fantastically well at the time, so there is nothing live at the moment. However, it could come back.”

[darrin1471] 28/2/2024 17:25

It may depend upon who we buy the EV's from. Who is going to be selling us the small EVs. I assume China. Are the new names going to be setting up a dealer network. They could sell online with a few showrooms and all the warranty work could go through a network like HFD

[premium beeks] 28/2/2024 16:59

On the other side of that, there's not a lot on a modern EV that can't be done by a Halfords autocentre. Brakes, tyres, lights etc. with the enlarged garage network there are a lot of possibilities.

[powereddrones] 28/2/2024 16:55

With people buying EVs, there will be less demand for engine oil, oil filters, engine coolant, transmission fluid, exhaust system parts, spark plugs, etc... a lot of stuff that Halfords sell.

[premium beeks] 28/2/2024 16:53

Sooty - re cycle scheme. trying to buy outside of Halfords is very difficult, from my experience.

[premium beeks] 28/2/2024 16:51

I got a Boardman from them in 2021. It's a lovely bike, superb quality. Granted I can't do 60 in a 40 on it through a red light whilst weaving through traffic, but that's not what I bought it for! I'd hazard a guess that there majority of the slightly portly wage earners like me would think similar!,I haven't looked at the national purchase closely but it certainly makes sense from a distance - in my area there are Halfords auto centres within spitting distance of a national so the cross selling / economies of scale / property savings are obvious.

[itisonlymoney] 28/2/2024 16:51

a lot of people don't immediately trust independent garages. and a little knowledge is quite rare. most people who drive cars have absolutely no idea how they work. ask 10 people how the internal combustion engine works, or an electric motor and i guarantee 9 of them won't know. that's why halfords brand value is important.

[louis brandeis] 28/2/2024 16:41

"invest for the future"

Who coined that numpty phrase?

[darrin1471] 28/2/2024 16:40

HFD are rightly IMO selling into the mass cycle market. Leaving upper price points to specialist shops where you can get specialist advice.

I would agree that HFD is a trusted brand but I would also say that a customer on a budget and a little knowledge can get the same done significantly cheaper by an independant garage.

Most shares could be the subject of a bid at anytime so that should not be a reason to invest. Today was a nasty surprise. After so many recent acquisitions there has to be risk of more bad news ahead.

[louis brandeis] 28/2/2024 16:40

Another amazing day on the dynamic LSE.

Investing on the UK market is like being adrift in the ocean on a rotting piece of driftwood.

[premium beeks] 28/2/2024 16:33

Additionally they have essentially a monopoly on the cycle to work scheme for corporates.

[sooty snipes] 28/2/2024 16:27

No probs. If you're invested good luck.

[itisonlymoney] 28/2/2024 16:21

good for you sooty. i'm not a keen cyclist and i've bought three bikes from halfords. bicycles are not a huge part of their business now. thanks for your input. am sure you're just trying to be helpful. btw, during the pandemic they sold out of bikes, so plenty of people do buy bikes from halfords. most of their customers are motoring related though.

[itisonlymoney] 28/2/2024 15:59

a lot of 'wisdom' after the event on show here today. pity some of these 'wise words' didn't appear before the update.

a few observations. they've updated the market very quickly, just a month since the Q3 update. looks like they're being very upfront on what they know. last update was a bit downbeat and said they were hoping for an upturn. evidently it hasn't happened yet.

shares are now at a discount to NAV and even based on the lowest of their current expectations, are at a fwd p/e of less than 10. if they manage to hit the £50m it's a p/e of just 6.

halfords is a massive brand. known and trusted by everyone in the UK. they have a good partner in the form of motoring law and the MoT system. no one can drive around on bald tyres for long. people love their cars and refuse to give them up because public transport is crowded, uncomfortable, expensive, unreliable and spreads covid amongst other things.

they had a bid approach last year. there's a lot of brand equity here and a national network. this could bounce back very quickly. it's a lot closer to the bottom than the top. so on a buy low and sell high strategy, it looks like it might be worth a little punt at this level.

[fuji99] 28/2/2024 13:56

Smithie6: All is summarised on here for me:
"I don't know Halfords RNSs or accounts very well but personally I think the shares are currently univestible at any price since it appears that the exec dirs have no idea what is going on inside the business."