Jd Sports Fashion Share Discussion Threads

[daz] 08/6/2009 07:48

Decent trading statement this morning.

Like for like sales improving, tempered by exchange rate pressures affecting gross margins later in the year.

I think the statement de-risks the forecast for this year and that the company are on course to be near expectations.

[cockneyrebel] 08/6/2009 07:42

Must be the best performing retailer there is:"On 8 April 2009, in the Preliminary Announcement of the Group's results for the
52 week period ended 31 January 2009, the Group reported like for like sales
growth of +0.3% (Sports Fascias -0.2%; Fashion Fascias +3.6%) for the 9 weeks
ended 4 April 2009.


We are pleased to report that, after a further 8 weeks of trading to 30 May
2009, cumulative Group like for like sales growth has improved to +1.7% (Sports
Fascias +1.2%; Fashion Fascias +4.6%). Whilst hitherto satisfactory, maintaining
the gross margin comparative with the previous year may prove increasingly
challenging later in the year, particularly having regard for exchange rate
pressures. However, the Board remains encouraged by the progress made so far
this year towards achieving results in line with management expectations.

That means the last 8 weeks like for like up around 3% imo.

Usua caution as always - margins may get more challenging going forward' but the £ has started to rise in recent weeks and that has to benefit them.

Can't see hardly any retailers with like for like sales this good - and JD have no debt either and are raising the divi sharply.

Miles too cheap still imo

CR

[cockneyrebel] 04/6/2009 10:42

Couple of 17K trades gone through - might be a bit of stock clearing

CR

[cockneyrebel] 01/6/2009 11:58

ISA'd a few more.

CR

[cockneyrebel] 25/5/2009 12:07

Chart is fabulous here.

Going to do around 80p or more eps this year meaning the PE is 6 or less. (Sports direct trading on a PE of 10)

JD. 3% yield (up 40% this year). SPD yield 4%(flat).

JD. no debt. SPD £478m net det, equiv to the mkt cap.

JD earnings growth of 27%. SPD underlying earnings growth of 7%

JD. are better run and look half the price of SPD or nearly any retailer I can find despite it being so well run and debt-free. They have their Interim Management Statement due June 9 or there abouts. I'd expect a good reaction and buying ahead of that statement imo.



CR

[648790] 22/5/2009 11:01

shut up - £20

[cockneyrebel] 22/5/2009 11:00

yes, bought a small few IND recently - I believe they are doing better than expected and heard a rumour of a big contract win, dunno how good the source is tho.

JD. going through a fiver soon and on to £6 come the AGM in a months time imo.

CR

[whatgoesupcomesdown] 22/5/2009 07:13

rebel, just realised you are into ind too..

[cockneyrebel] 21/5/2009 07:40

Acquisition news everywhere today, can't be bothered to post all the links, search Google news :-)

CR

[daz] 20/5/2009 20:01

Yes, they don't have to get margins up by much to get a good turn on the acquisition and the buying power and logistic changes could do that one its own

The extra investment being made indicates that they might be planning bigger changes like store refurbishment and a re-positioning of the company, which could lead to bigger benefits if executed well.

[cockneyrebel] 20/5/2009 18:53

Investec like the buy:

JD Sports Fashion finished 40p higher at 491.5p after paying €8m for sports footwear group Chausport, its first move into the French market. Investec issued a buy note and said:

"Adding [JS's] buying and operational strengths to local management's expertise should create an opportunity to build a scale business in the French market. JD has plenty of balance sheet [strength] to make further bolt-on acquisitions."

CR

[cockneyrebel] 20/5/2009 16:37

Agree DAZ. They also get all those assets.

I would have thought there would be great economies of scale for JD. It gives them a foothold in Europe to start their expansion and the size of the acquisition is nice and manageable, not getting out of their depth.

Looks great to me - and the fab thing is the PE even at 480p is still just 6, the debt is neglegible and the growth rate is good double digit.

Looks a fab deal to me - hopefully some press and broker notes to follow.

Break out today - no resistance till £6 ish.

CR

[daz] 20/5/2009 14:39

CR

Re Chausport, the exit price to sales ratio looks good: €10m to €40m (including the €2m debt being taken on). They do say though that there will be further investment, which will bump up the price a bit further.

The company announcement says nothing though about the improvements that can be wrung from the takeover, which has to be taken on trust, so it would be good to hear what plans the company has. The article above describes Chausport 'as a business that needs modernising', so perhaps the benefits are significant.

At the very least, it looks like a good use of cash, which is earning next to nothing in the bank and the timing looks excellent, if we do see recovery later in the year.

The share price is responding well, which must mean the analysts like the move.

[cockneyrebel] 20/5/2009 11:15

Well some punters seem slow to realise it but my bet is there's plenty of buying between here and the Interim Man Statement in a months time.

This opens the doors to Europe now - bought for a snip imo.

My bet is that current trading is ahead too the way that most retailers are ahead of broker expectations.

CR

[cockneyrebel] 20/5/2009 08:12

Great acquisition as leaked above.

Opening the door to Europe.

These are going to motor when the IMS comes out soon imo. Buyers today when the spread narrows imo.

CR

[cockneyrebel] 15/5/2009 20:04

Cop a load of this then - thought it was strong the past few days:



JD Sports set for European debut

JD Sports is drawing up international expansion plans amid speculation that it will kick-start them by acquiring French sports retailer Chausport.


Sources told Retail Week that JD Sports was in talks to buy 81-store Chausport, giving JD an overseas presence for the first time. JD executive chairman Peter Cowgill would not comment on any potential deal but confirmed that the retailer is interested in venturing abroad.

"We have been looking at international economies for some time," he said. However, he added that economic problems internationally would have to be taken into account before any decision was made.

Cowgill said JD would consider both acquisitions and taking the UK business overseas.

JD's fashion-led strategy has made it a front-runner among its sporting rivals. Group profit before tax and exceptional items rose 24 pern cent to £53.6m in the year to January 31, when sales climbed 13.3 per cent to £670.9m across its 440 stores. Like-for-like sales rose 3.9 per cent.

In 2007, Chausport had a turnover exceeding E51m (£45.5m). It mainly sells footwear, but also offers lifestyle clothing and accessories. The retailer stocks mens- and womenswear, as well as products for children and babies. Brands carried include Nike, Puma and Converse.

Edward Whitefield, chairman of consultancy MHE Retail, said that a tie-up with Chausport would make sense. "JD has a lot of brand expertise and has found a business it can convert that needs modernising," he said. "Chausport needs an injection of professional retail brand management."

It is understood that JD has no imminent plans to snap up UK rival JJB Sports, despite media speculation. Industry sources believe that any play for JJB would spark a war between JD and Sports Direct boss Mike Ashley, and be likely to trigger a regulatory investigation.

JJB executive director Peter Williams said the JJB board will continue to act "in the best interests of the shareholders".

Concerns are growing that JJB's next hurdle will be its stock situation. The retailer had credit insurance pulled last year, which caused supply problems with brands.

Williams admitted: "This is an issue for this season but not for next season. Because of the stop-go with the banks, it has been hard to get continuous supply. We are in a far better position now than we were in December."

JJB will issue preliminary results later this month and outline its future strategy.

---------------------------

Less than a tenth the size of JD in sales - get it for a snip I bet and they still wouldn't have much debt.

CR

[cockneyrebel] 15/5/2009 11:33

Interim Management Statement June 9th last year, should be the same this year - Ijust cannot see how these will not be a lot higher then - reckon others agree by the way it's moving - expecting the buying to continue up to that statement and beyond myself.

CR

[cockneyrebel] 14/5/2009 12:49

Nice breakout - through last October highs - I can see these making new all time highs come the next trading statement.

CR

[cockneyrebel] 13/5/2009 11:02

Well look at it compared to BRBY:

BRBY on a PE 13, 2.8% yield, debt, 20% earnings growth over the past year.

JD. PE 5.5, 2.8% yield, no debt, 27% earnings growth over the past year.

JD. target the youth market too with high disposable income, like Asos.

JD. miles too cheap imo and that will get recognised by the market soon imo.

CR

[volsung] 13/5/2009 09:06

In at 445p. Nice share

[cockneyrebel] 11/5/2009 18:27

yes, growth and retail in the same sentence - just the market has been running scared from anything retail in the belief that nobody can grow earnings in retail.

Well I think JD will not only meet but beat forecasts after the recent up-pick in retailing and wouldn't be expensive on twice the rating and a share price of £8 imo.

CR

[barnes wallace] 11/5/2009 18:18

growth and retail ?

in the same sentence ?

[cockneyrebel] 11/5/2009 18:13

New thread with charts:

[cockneyrebel] 11/5/2009 18:12

JD Sports is the class act Sports Retailer imo.

By popular demand, a new thread with charts and more detail:

JD have a excellent earnings growth over the past 5 years achieving a compound earnings growth rate of 50% !!

This year's estimates are for 74.2p to 78.5p eps

The historic dividend is 12p which was a 41% increase over the previous year;

The company website is here:



Current shareprice 424p, fwd PE 5.5.

The company has no net debt.

AGM due around June 26th

Must be the cheapest retailer on the LSE. A fully listed retailer on a PE of 5.5 paying a 3% yield and no debt with historic compound earnings growth over 5 years of 50%.

imo