Hilton Food Share Discussion Threads

[alotto] 16/9/2022 09:32

What are your thought about cultured meat, I have the feeling that there isn't much market for it. Not among vegans, nor meat eaters either.
On the back of the recent trading update:, could inflation and higher interest rates constitute an existential risk for Hilton Food? I wouldn't like to see the company being taken over under-priced at some point in future.

[alotto] 16/9/2022 07:38

I was confident in a rebound, 30% fall is harsh.

[wiltowin] 16/9/2022 07:00

If this fall's again I'm in maybe should've bought yesterday though for the rebound, we'll see?

[blackhorse23] 15/9/2022 20:49

https://www.google.com/amp/s/capital.com/amp/cury-currys-share-price-double

[archy147] 15/9/2022 10:44

What I don't understand is why is this still trading on a PE of 15, even after todays drop?

Isn't it (still) priced a little generously? Tesco is on 11, by way of comparison.

[fabius1] 15/9/2022 10:39

I suspect it is being marked down on potential recessionary impacts on foodstuffs that might be considered close to 'luxury' items. Meat and two veg is generally the fallback when lean times beckon. It certainly looks overpriced to me and all it takes is a little nudge to prompt a correction in a nervous market.

[alotto] 15/9/2022 08:59

I don't think it is a demand warning, volumes are up (in terms of tonnage) and in terms of revenue, obviously sale price rise increases revenue.
I think raw materials inflation will ease eventually, in the near future. We are seeing oil prices declining already. That is nothing happens in the political environment, especially considering that NATO is eyeing to sanction China!

[sphere25] 15/9/2022 08:37

"While we benefit from the strength of our diversified business model and continue to grow volumes internationally, Hilton has not been immune from the impact of macroeconomic headwinds. Across our markets, we have seen volumes come under pressure with the cost of living increasing and consumers becoming ever more cost-conscious. In our Seafood business these trends have been exacerbated with world events leading to unprecedented raw material price increases.

Given these factors, and combined with the impact of start-up costs and rising interest rates, the Board now anticipates that profitability for the year will be below expectations"

If it isn't a demand side warning, it is a cost side warning. Some will be doing both which could really get the alarm bells ringing. The harsh reality of this market is that you simply cannot do a warning. The market marks you down on in line statements (or eventually causes a move down), let alone a warning.

If you're loss marking like TRST and ITM recently, or THG today, you just continue to get obliterated. If they have a decent cash runway to eventually not burning cash, and the market turns in time, some could pop back when the market regains those roaring bullish spirits.

I just wonder if there might be a few takeover bids soon too if the cash runaway is at least a few years out (and buyers see a realistic chance of profitability) as the brutal beat downs continue.

Overall, it is just a proper cleanse by the market.

All imo
DYOR

[salpara111] 15/9/2022 07:52

I dont get it....on a skim reading I don't see the huge red flag that took the share price down 28%.
Did I miss something?
Usual issue with cost inflation etc. If it had been marked down 10% I would have considered that a fair response.
I had a small holding but have doubled up, the business is fundamentally sound so happy to see how it plays out over the next couple of years.

[alotto] 15/9/2022 06:24

Margins squeezed by cost inflation.
On the positive note there is the ingress in the US market and increased volumes.
Something I was expecting

[alotto] 08/9/2022 10:46

Trading update in a week today

[alotto] 14/6/2022 13:53

I have read somewhere that vegan meat substitutes have very very thin margins. How does play out with Hilton, is vegan meat a business worth going into?

[km18] 18/2/2022 17:40

...from last year...

Company overview: A business established in 1994 and founded in the 1960s operating in many countries across the world and headquartered in Cambridgeshire. Their main service is packaging for the major international food retailers. It’s a B2B (Business to business) company that works closely with the leading food retailer to match the needs of their customers and be their first preference.

The EPS growth rates have been quite consistent, averaging at 11.83% over the last 5 years. HFG has performed exceptionally well matching the needs of their client and have seen their biggest growth from the year 2020 – 2021(Revenue rising from 1,815 to 2,774). ROCE of 12 from last 3 years???

Latest communication from the company is in the form of the interim results. We can see that the revenue is growing by 35%, year on year, reaching 1.71 bn from 1.26 bn. However, the operating profits are down from last year due to an exceptional item, named an extensive fire in groups facility in Belgium. As a result, the bottom-line figure is below 2020. The company has seen healthy growth rates in all regions, with Europe keeping the operating margin but increasing the revenues slightly and Australasia outperforming significantly 2020 generating £634.6m in revenue – 2.78 times increase. Outlook is positive and management expects “full year results to be in line with expectations”. Hilton foods is also looking to explore further opportunities in the markets they serve....


....from WealthOracleAM

[alotto] 03/2/2022 13:07

Anyone has a view on Robert Watson sale of 50,000 shares at 950p, followed by more sale in January worth £1.2m by co-founder Brian Ashford-Russell?

[tole] 16/1/2022 13:22

Peel Hunt: Hilton is on the front footHilton Food Group (HFG) shares are 'good value' for a business with cutting-edge technology and growth opportunities, according to Peel Hunt.Analyst Charles Hall retained his 'buy' recommendation and target price of £13.80 on the stock, which fell 1.4%, or 16p, to £11.10 on Thursday.Trading last year was as expected, with tech investment, strong growth in Australia, and the recent acquisitions of a handful of companies.Hall noted the acquisition of Agito, which is an automation and software controls business, adding to the existing tech capability in 'foods connected'.'The shares are trading on 18x December 2022 price/earnings...which is good value for a high-quality business with a growth tech edge and numerous growth opportunities,' he said.Hall noted Hilton's 'focus on supplier resilience as a lasting impact of Covid-19'.'We see this as a clear opportunity for Hilton to demonstrate the benefits of its close customer relationships and open-book contracts, where the customer is able to have clear insight into its supply chain,' he said.'This should provide the blueprint for additional business wins.'

[philanderer] 10/12/2021 14:46

Placing = 1140p

[tole] 08/9/2021 06:08

Hilton making 'healthy' choices, says Shore CapitalHilton Food Group (HFG) has acquired the remaining 50% of its joint venture partner, Dalco Food, which broker Shore Capital says is a 'healthy positive'.Analyst Darren Shirley reiterated his 'buy' recommendation on the stock after the acquisition of Dalco, which is a leading vegan and vegetarian product manufacturer based in the Netherlands. Hilton's shares were down 0.5%, or 6p, at £11.58 on Tuesday.'[This] is a healthy positive for Hilton, further strengthening its position in what is a strongly growing protein category and demonstrating in our view the medium to long-term strategic thinking that has underpinned the group's excellent track record of sustained growth,' he said.Shirley left his forecasts unchanged but will look to update expectations after next week's results.'The stock is trading on a 2021 price/earnings ratio of 19.6x... We reiterate "buy",' he said.

[pugugly] 08/2/2021 14:14

Personal marker at 1050p re RW - To watch list

Very quiet thread - usually indicitive of a good value share - Query however the move to veg based meats?

[philw2009] 20/1/2021 21:03

Non-exec just bought £10k too.

[philw2009] 20/1/2021 20:58

I've owned HFG since 2010 but in July 2020 I saw a headline, "Coronavirus: Why have there been so many outbreaks in meat processing plants?" and panicked and sold out for £12.26.

However, all was fine. So I'm happy to have bought back in at £10.19 on Monday! Hopefully it returns to previous levels pretty quick, I don't see any reason why it won't (famous last words..)

[plootocrat] 18/1/2021 11:40

Chairman just bought £100,000 worth

[2toptrader] 17/1/2021 08:03

"(Sharecast News) - Shares of food packing company Hilton Food tumbled on Friday after an undisclosed institutional shareholder placed a 9.9% stake.
According to traders, 8.1m shares in the company were placed at between 1,050p and 1,100p - compared to Thursday's closing price of 1,164p - with JPMorgan the bookrunner.
A trader said it's likely the seller is Fidelity Management & Research."

Clumsy sale. at first I thought it was a downgrade but couldn't find anything and it didn't make sense given the strong trading. Bought in at £10.45 on Friday , I'm hoping it will recover quicker than 3-6 months ! Don't know if I can be that patient.

[salpara111] 16/1/2021 14:14

I bought in here for the second time at 1090 recently and was pleased with the market update on Thursday and then somewhat alarmed by the drop on Friday!
As the company has said nothing I can only assume that a very large block of shares has been put on sale.
It is disappointing that it has not been managed in a smoother manner, for a stake of this size they would normally market it via a bookbuild behind the scenes and then announce it as a done deal.
We are now down 14% and well below the suggested offer price, having said that, it is a very illiquid stock so anyone wishing to acquire a significant portion of the business would expect to pay a premium.
I have set another limit order for 975 as I really like the business and expect the share price to recover over the next 3-6 months.