Joules Share Discussion Threads

[debsdowner] 10/10/2022 16:18

UK economy is going to collpse and so will consumer spend Fitch downgrades UK economy again as interest rates set to go even higher than previously forecast.....

The ratings agency - which last week downgraded its credit outlook on the UK to ‘negative̵7; from ‘stable’, citing the mini-budget - now expects UK GDP to shrink 1% in 2023, having forecast a 0.2% contraction in September.

It cited "“extreme volatility" in UK financial markets and the prospect of sharply higher interest rates.

The ratings agency noted the sharp selloff in government bonds and sterling following the mini-budget on 23 September, "as sizeable unexpected and unfunded tax cuts - coming on the back of a large-scale energy price subsidy - signalled sharp increases in government borrowing".

Fitch now expects much more rapid interest rate rises from the Bank of England as it tries to offset the impact of looser fiscal policy and a weaker currency on inflation, "buttress investor confidence in sterling assets and demonstrate its independence in the face of increased financial market concerns about fiscal dominance".

The agency now expects the policy rate to rise to 4.25% in December from 2.25%, and to hit 5.0% by the second quarter of 2023. Previously, Fitch had expected rates of 3.0% and 3.25%, respectively, which was below market expectations.

"Rising funding costs, tighter financing conditions, including for mortgage borrowers, and increased uncertainty will outweigh the impact of looser fiscal policy in 2023," it said. "Fitch sees the economy entering recession from 4Q22 as rapid rate rises compound the impact of the energy crisis and the contraction in the eurozone."

[debsdowner] 10/10/2022 16:02

If the guy who has picked up about 9% was going to buy more as he said he would in the Mail article he has had ample opportunity to pick up shares today.

As he has to inform the market at every 1% move readers will know within the next 48 hours possibly 24 hours.

Lets see if he declares if not it suggests he has been spooked by the RNS.

The article said he had been offered to meet up with directors so wouldn't have known anymore than other shareholders before he raised his stake.

It will be interesting to see what he thinks now Joules are considering a CVA.

What normally happens in a CVA is if the company goes down that route they normally issue a RNS to say there will be little value for shareholders as they delist.

If readers differ these points feel free to say it is nothing off my back I haven't a position just watching after interest as have seen so many retailers hit the wall over the years

[srpactive] 10/10/2022 13:50

The statement today might also be sending the message out
to all concerned as support the cash raise or the worst might
happen.

dyor

[1daka] 10/10/2022 13:04

As far as I can see there ar no shorts on joules

[srpactive] 10/10/2022 12:49

Oh, maybe you should rename to halo.

[debsdowner] 10/10/2022 12:47

srpactive, no I am not I am posting to warn potential investors of the risk.

[srpactive] 10/10/2022 11:52

Debs

So you are short then?

tia

[debsdowner] 10/10/2022 11:41

velvetid, yes but the company deteriorated since.

[debsdowner] 10/10/2022 11:40

srpactive, I have a knack of knowing when a company is in deep trouble check out Debenhams.

[velvetide] 10/10/2022 11:38

srpactive, the comments were not negative around April, almost the opposite

[debsdowner] 10/10/2022 11:38

Retail Gazette

"Joules has admitted that it could be forced to suspend its operations as it considers a CVA to turn its fortunes around."

Doesn't read good to me



With consumer spend getting worse Joules may be forced into a CVA in order to close some shops and refinance or if things get worse shut up shop and sell off head office to pay off debts which would mean end of business.

The situation has probably worsened in last month imo and new investor made a huge mistake.

Lets see if the guy increases his stake now after the company statement and he will have to do so after each 1% increase !

[srpactive] 10/10/2022 11:34

debs

Are you short here or getting paid to post negative comments
every minute?

Everyone here knows of the risks associated with companies that
drop 90% plus.

tia

[debsdowner] 10/10/2022 10:00

No mention of CVA in September media report after SKY said company was looking at a CVA



Joules is struggling to stay afloat the £20 million vanity project head office must be costing a lot to operate.



Harry do you know what struggling to stay afloat means ?

[debsdowner] 10/10/2022 09:51

harry, is that why there is 1.5 million shares traded and share price not moved much ?

Furthermore that is not what the company said today, they said one option is to consider a CVA.

Strange don't u think after denying the SKY article?

[harry_david] 10/10/2022 09:42

The share price tells us that somebody wants this business and is willing to pay for it.

[debsdowner] 10/10/2022 09:23

Looka like a two way pull those who want out too big a risk and those who think there is more value.

The recent stakeholder could be buying more to do a debt deal ?

A possibility.

[debsdowner] 10/10/2022 08:51

1daka, do you know what insolvent means?

[debsdowner] 10/10/2022 08:49

This is what a CVA is:



However a CVA can also mean little value for shareholders.

[1daka] 10/10/2022 08:08

Cva is not administration.

[1daka] 10/10/2022 08:03

Directors are trying to hold the share price down imho

[1daka] 10/10/2022 08:00

That’s no my understanding of what a cva is.

[debsdowner] 10/10/2022 07:36

OH dear Joules forced into making a statement before the share price jumps up:

" Whilst this remains the Board's focus, the Company also continues to consider a range of other potential options which may be available to it, where a CVA is one of a number of such alternatives, and notes it has not determined if such alternatives are required. A further announcement will be made if and when appropriate."

So SKY was right Joules is being advised to seek a CVA as one of the options, the new holder may get stung !

Also buyers on last week could also lose their shirts. It seems to me things not turning around as some thought.

For those that don't understand a CVA is a company voluntary administration !

Could mean zilch for shareholders.

[1madasafish] 09/10/2022 21:25

It's not negative it's how people see Joules current predicament. I also would like to see them become profitable again and I'm not an investor currently.

[srpactive] 09/10/2022 20:48

Crew bouncing and opening stores very rapidly
sine 2020. But joules doing hopeless, if crew
can do it so can TJ. Lets hope for a recovery here.

dyor