HMV Share Discussion Threads

[montyhedge] 14/1/2013 11:04

Update Thursday, revenue I expect to be down on last Christmas, some store closures probable will be annouced, but they WON'T GO BUST. The suppliers giving them cheap stock, because its a shop window for Universal, EMI, Warner Bros etc.
The new click and collect 2 hours later from a store is a big hit, prices are now cheaper or the same as Amazon, the tide could be turning online.
Shorts beware, you will never get that stock back, when they annouce a deal with the banks hopefully on Thursday, Friday morning either 3.5p or bust.

[grittar] 14/1/2013 11:01

If you have a short and the shares are suspended once if goes into administration you will settled at zero. There is no need to close the short at the moment

[goldfeverrush] 14/1/2013 10:43

Another one bites the DUST...If your DEBT is bigger then your Mrk cap technically your BUST!!!!.Most of all the high street companies which are not Free Hold are going BUST.Who's NEXT?

[graham2405] 14/1/2013 10:38

"the individuals were comfortable enough to run up expense receipts presumably with full confidence they would be able to claim the monies back from the company next month. "

Ever heard of company charge cards....?

[graham2405] 14/1/2013 10:37

"PS Would I not be right in saying that if you borrowed a stock to short and it is suspended, you still have to make good your debt?"

No, shorts have no need to close, they just wait for admin and get paid.

Short squeeze would only happen if HMV got some good news, which is very unlikely.

Even if they get reasonable news it will not change the story, just make it last a little bit longer.

If I had a short position I would just add to it if the price rose, this is only going one way.

The only question is when, not if.

All IMHO

[loganair] 14/1/2013 10:26

I do not think HMV have enough cash to spare to pay for the next quarterly rent due in March and therefore what ever is going to happen, pre-packed or totally out of business will happen before then as the banks will prefer that money to go to them rather than to the landlords.

[manics] 14/1/2013 10:25

I know through the base of suppliers that HMV sent a contingent of 5-6 people to the technology show CES last week in Las Vegas. Those guys all still went, some senior management.

So HMV still spent to send them all there for supplier meetings, and the individuals were comfortable enough to run up expense receipts presumably with full confidence they would be able to claim the monies back from the company next month.

FWIW....

[jimrclark] 14/1/2013 10:20

No matter how black it looks, as with some shares that have gone before, e.g. JJB, the hint of any rescue deal will see the share price rise. OK, it may eventually collapse but the share price will shift about before then.

You only have to look at what happened to HMV this time last year. I'm pretty sure that there were a few doomsayers heralding its demise a year ago. I'm not convinced that the shutters are coming down imminently. I think that it is highly unusual to publicly announce that covenants will be breached and to have a month long 25% sale. Could be acts of desperation or it could be some cunning plan... ok, they're acts of desperation.

Nevertheless, I reckon that there is some fight left in this share, at least for a couple of weeks. aimho

PS Would I not be right in saying that if you borrowed a stock to short and it is suspended, you still have to make good your debt? I think with JJB, some of the last gasp rallies were punters closing their short positions.

[loganair] 14/1/2013 10:19

monty - That is why a pre-packed is best, then stores can easily and quickly be closed at little cost (imo at least another 50 stores need to be closed), far less debt, nothing for the current share holders and the suppliers still have their shop window.

[clocktower] 14/1/2013 10:17

Click and collect will not save them monty - the overhead costs are still there and they do not add up. Its all above convenience of having goods delivered to your door as well as the price. Doomed but then as with Game the Dead Cat bounce might allow you to get out with a profit imo.Good Luck

[montyhedge] 14/1/2013 10:12

Massive punt, but he who dares wins Rodney, HMV most shorted stock through Cfd's etc. everyone expects them to go bust. Trading update Thursday, I expect ok nothing brilliant.But they won't go bust, annouce a deal on some store closures I would imagine. They have the suppliers backing because it's a shop window for their cd's dvd's etc.With click and collect I can see this a big hit and with prices cheaper or the same as Amazon it's a winner.Pure punt but rewards if it comes off. Option money.

[grittar] 14/1/2013 09:58

Good luck. You are very brave

[loganair] 14/1/2013 09:54

HMV in rescue talks with lenders as high street struggles amid tough trading conditions: HMV is locked in rescue talks with its lenders as the high street struggles to cope with harsh trading conditions. The negotiations come after the firm signalled that it is likely to breach key loan agreements this month.

It is also expected to disappoint when it updates on Christmas trading this week.

[montyhedge] 14/1/2013 09:54

Must be mad, just bought some HMV my daughter who buys from Amazon, just told me she prefers HMV click and collect, order online same price or even cheaper, then you can pick up 2 hours later in store. Can the tide be turning from Amazon.

[grittar] 14/1/2013 09:21

Support. Where from?

[quidzinn] 14/1/2013 09:13

No need for suspension HMV has support

Q

[grittar] 14/1/2013 09:10

I think at 0.1p one might close the short position because its just simpler to get paid in full but I can't see many people closing short positions at 1.26p. Frankly with the uncertainty if might be fairer to suspend now.

[graham2405] 14/1/2013 09:07

If they go bust, you get paid, no need to close short before they go bust.

If they get temporarily suspended, you wait like everyone else.

Hence those individuals suggesting a short squeeze is due are nuts. No one is going to close a short at this stage, may as well wait for the fat lady to sing.

[grittar] 14/1/2013 09:06

If its a CFD when it goes into Administration you will be settled as zero value. Shorting at this level looks a good trade.

[montyhedge] 14/1/2013 08:29

Guys what happens if your short and they say they get suspended, can you still close your position, do you offer the market maker a token price of say 0.02p to close? Does anyone know

[montyhedge] 14/1/2013 08:16

I expect a Rns that Hendersons have dumped more.

[skinny] 14/1/2013 08:00

There are some (limited) options

[montyhedge] 14/1/2013 07:52

£800,000 in Jessops vouchers, customers have lost. I spent my Hmv voucher. You can see what's going to happen.
Why don't they suspend until everything sorted out, one way or another.