Kitwave Share Discussion Threads

[johnyee 7] 24/4/2024 15:52

Anybody on here looked at Hud? Owns online retailer Discount dragon.
Seems to be doing ok.

[w13ken] 19/4/2024 10:52

Not as bad as last July when 4 'wives' sold £3m of shares #wifegate

[johndoe23] 19/4/2024 10:14

Not a great look

[monet] 19/4/2024 08:54

Looks like she sold near the top.

Director/PDMR Shareholding



Kitwave Group plc (AIM: KITW), the delivered wholesale business, was today notified by John Hope, a PDMR at the Company, that his spouse, Tina Hope, who is a Person Closely Associated ("PCA") had sold 175,000 ordinary shares of one pence each in the Company ("Ordinary Shares") on 17 April 2024 at a price of 363 pence per Ordinary Share.

[w13ken] 19/4/2024 08:38

Good interview with Kitwave's new CEO, Ben Maxted, where he talks about which type of acquisitions are targeted. They are well on their way to £1Bn turnover.

Dividend payout next Friday.

[igoe104] 04/4/2024 07:41

KITW going Ex Dividend today..

[someuwin] 03/4/2024 21:45

Kitwave Group (LON:KITW) – Really Powering Away

[igoe104] 28/3/2024 15:06

Good to see 2 large buys at £3.72 this afternoon. Nearly 830k worth...

[johndoe23] 28/3/2024 12:15

Didn't see this one coming at all. Well done all holders

[w13ken] 28/3/2024 11:36

Tipped in Shares Magazine again today.

‘We continue to believe this valuation is too low given the group's strong cash generation, robust balance sheet and considerable further consolidation opportunities available.’

[someuwin] 28/3/2024 08:17

Canaccord reireates BUY and ups Target

Valuation and recommendation

The shares have traded strongly across 2024, up 38% YTD. On revised estimates, Kitwave trades on 11.9x Oct'24E PER falling to 11.1x Oct’25E with an Oct’24E/Oct217;25 dividend yield of 3.2%/3.9% and FCF yield of 7.6%/9.3%. We continue to believe this valuation is too low given the Group's strong cash generation, robust balance sheet and considerable further consolidation opportunities available. Our TP increases to 455p from 435p (15x CY24E PER), reflecting the upgrades.

[riverman77] 28/3/2024 07:48

And I suspect earnings will be enhanced once all the synergies kick in.

[dr biotech] 28/3/2024 07:20

It’s 6x earnings if you deduct all the assets. At a minimum you’d have to deduct the cash. Looks decent.

[igoe104] 28/3/2024 07:11

Nice acquisition. 10 times earnings , and 8.5 million cash and assets..

[petersinthemarket] 18/3/2024 17:43

16 March 2024: MIDAS SHARE TIPS: Food delivery giant Kitwave caters to all our needs: About twenty years before his final defeat at Waterloo, Napoleon is said to have described England as ‘a nation of shopkeepers’. The claim was considered offensive, Napoleon got his comeuppance and today Britain prides itself on its retail qualities. In food and drink alone, there are around 90,000 independent stores across the country catering to our last-minute, local and impulse needs. But we are a country that also likes a coffee, a pint or a bite to eat, and around 350,000 outlets offer just that service, from the Highlands to the Cornish coast. Kitwave helps these businesses function by supplying name-brand food and drinks to more than 40,000 convenience stores, cafes and caterers across the country. Petrol stations, care homes, gyms and schools are also among the group’s client base, but in both cases Kitwave is very focused on delivering what businesses want, when they need it, at a price they can afford. The strategy is working and Kitwave shares, valued at £3.42, should pay off. The company, based in North Shields, a few miles from Newcastle, started in 1987 with one self-service store. Today, almost 5,000 deliveries are made per day from 30 depots. Orders vary in shape and size, but Kitwave specializes in small, frequent deliveries, averaging £350 each time. Chilled and frozen products are particularly popular with retailers, while eateries source almost all their products from Kitwave, except fresh meat and fish. The company’s range is extensive, with 44,000 individual products, from Magnum ice cream and McCain crisps to chips and cola to onions and lettuce. Choc full of products: Kitwave’s range includes Magnum, advertised by Kylie Minogue Customers don’t pay delivery fees, so Kitwave makes money by adding a surcharge to the products sold. However, margins are small and many companies prefer to have their goods delivered rather than going to self-service stores. The results for the twelve months to October 31st prove this point. Turnover rose 20 percent to £602 million, pre-tax profits rose 39 percent to £25 million and the dividend rose 21 percent to 11.2p. Looking ahead, there is ample potential for continued strong growth. The wholesale market is huge, with an annual turnover of almost £25 billion, excluding cigarettes. Big players account for more than half of revenues, but there is still around £10bn left in the hands of independent operators. Here Kitwave is doing better than most other companies, with growth that far exceeds its peers. The independent market is also highly fragmented, with hundreds of small players owning one or two depots and serving only local customers. This makes for attractive acquisitions for Kitwave, so the group has completed thirteen deals in recent years and more are expected. Founder Paul Young, 67, is retiring this summer, but his successor, Ben Maxted, has been with the company for more than a decade and knows it inside out. In its early 40s, Maxted is eager to improve profit margins and productivity by making the most of technology, from driver route planners to headsets that help warehouse workers navigate orders more effectively.
Online ordering is also increasing, with the average number of orders growing as customers are presented with a plethora of product options. There is also a pipeline of acquisitions, as Maxted and chief financial officer David Brind have a wide network of contacts and can find deals before they hit the open market. However, there will be no radical departure from Young’s proven formula. Delivering thousands of goods to thousands of customers day in and day out is a demanding task. Anything can go wrong and customers can be fickle. Kitwave’s success is based on developing relationships with its suppliers, understanding its customers and ensuring that goods are in stock and delivered on time to the businesses that need them. The company joined Aim in 2021 and is reaping the rewards with greater recognition across the market. Brokers are optimistic about the prospects, predicting turnover of £660 million and profits of £29 million for this year, with a dividend of 12.7p. Maxted and Brind are keen to reward shareholders and Kitwave’s balance sheet is strong, so steady dividend growth is expected.
Midas judgment: Kitwave is a success story from the North East, aimed at retailers, cafe owners and diner ladies. It has achieved strong growth as a private company and has continued in that vein since going public three years ago. At £3.42 the shares are a buy.

[dr biotech] 17/3/2024 10:14

Thanks eeza/igoe

To hurdle the paywall hxxps://archive.is/0Qnjt

[johnyee 7] 17/3/2024 10:02

You lucky people. I must remember to buy shares in a company when I set up a thread.

[igoe104] 14/3/2024 15:39

KITW tipped in the shares Magazine..

[igoe104] 07/3/2024 15:56

Someone is still keen 165k buy at £3.30

[igoe104] 06/3/2024 14:04

Kitw today presentation

[dr biotech] 06/3/2024 13:41

Unlucky - though they didn't do a lot in the first year or so.

To answer the question in the title - they don't see booker as a rival. Booker deliver to large stores with a minimum drop size of something like £2k+ Kitwave is aim at the much smaller players. Much more about customer relationships and less about price.

[johnyee 7] 06/3/2024 13:34

Wish I'd bought some when I started this thread,completely forgot about it.

[dr biotech] 06/3/2024 10:52

Decent no nonsense presentation. Will run the company prudently - keep making moderate size acquisitions and allow them proper time to bed in. Obviously care about their staff.

No formal lock up for the CEOs shares - just have to go by what he said in the RNS in that he looks forward to remaining a shareholder.