Marks And Spencer Share Discussion Threads

[artnouveau] 24/5/2011 10:20

Without repeating what I've already said your short at £4 might pay off if markets continue downwards in coming days as is the trend. Would close it if goes sub £3.80 though. Shares will go ex divi in next couple of weeks so difficult one for you as institutions might continue buying to get income but not evidenced today.

For me it's a 'hold' and I bought with the view of dividend income for my ISA/SIPP and will continue holding onto them in rocky markets.

ArtN

[alphahunter] 24/5/2011 10:08

Are any of you guys be able to log-in on to the webcast?
It looks like the registration form has not been set-up properly by ccevents. I've left a call with their IR.



Thanks Philanderer for the feedback.

My take is that the numbers were good, BUT as widely expected and evidenced by the recent strong run in the share price ahead of the announcement. Dividend a tad higher than expected & M&S Money bringing an extra £5m to the PBT - possibly not factored in.

Outlook, gross margin up 0-25bp possibly slightly disappointing but the orders for cotton have probably been already placed for the autumn collection, cost expected up 5%, in line.

MKS seems to be in an expansion mode, cost/capex up for expected incremental revenues and surely the full-ownership move back into the Continent is one to watch closely, hence the lack of premium valuation that JPMCAZ was referring to IMHO. Folks in Paris are quite excited about MKS moving back. Incidently, Abercrombie is also opening a flagship store on the Champs Elysees.

MKS's share price going forward will more likely be driven by sector rotation - the same that has pushed Unilever up despite a soft profit warning - than stock specifics in the next few weeks in my opinion.

Any views?

[druinsky] 24/5/2011 09:45

10.8p dividend x 25000 shares = £2,700 lovely jobby!

[druinsky] 24/5/2011 08:23

In addition the directors have proposed a final dividend in respect of the year ended 2 April 2011 of 10.8p per share amounting to a dividend of £171.2m. It will be paid on 15 July 2011 to shareholders who are on the Register of Members on 3 June 2011.

[artnouveau] 24/5/2011 08:02

Looks a 'hold' to me. Dividend will keep insto's very happy which is paid in July, ex div date is June 1st payable 15th July, next divi is Christmas. Medium term looks very encouraging to me. Markets so jittery it's not hard to just pick any stock and just short it at the moment.

ArtN

[gruss] 24/5/2011 07:51

I hope it is enough to send them shorters running for cover.

[artnouveau] 24/5/2011 07:44

Cautious outlook, final divi of 10.8p which is over 13% up on last year.

[tuco 1] 22/5/2011 20:23

Article in todays Sunday Times Business section also says MKS had a bumper Q1 with profits likely to be up 12 to 15% ....
All things equal should be a strong opening tomorrow a.m .

Tuco.

[alphahunter] 22/5/2011 19:20

ArtNouveau,you're welcome.

[gruss] 22/5/2011 09:52

Will strike terror in the hearts of them shorters. If forecasts prove right I can see the share price rising on Tuesday because them shorters will be racing to close their positions.

[dnfa1975] 22/5/2011 09:04

M&S profits prove to be hot stuff
By HUGO DUNCAN
Last updated at 9:13 PM on 20th May 2011

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Marks & Spencer looks to have cashed in from the Royal Wedding and warm weather having seen profits surge last year.
The High Street favourite is expected to post a 12 per cent rise in profits – up from £632.5million to £710million – when it reports results for the 12 months to April 2, on Tuesday next week.
It could prompt M&S – whose latest advertising campaign includes the likes of Lisa Snowdon, Dannii Minogue and Twiggy (pictured) – to raise the dividend with investors looking for a total pay-out of 16.5p a share, up from 15p last time.

Cashing in: M&S latest advertising campaign includes the likes of Lisa Snowdon, Dannii Minogue and Twiggy
Chief executive Marc Bolland is expected to say that the new financial year has got off to a strong start, with sales bolstered by sunny weather, the Easter break and the extra Royal Wedding bank holiday.


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[artnouveau] 22/5/2011 07:56

Hopefully good news in the pipeline...

[artnouveau] 20/5/2011 16:40

Thanks for being so informative as to why you've opened your short. Usually in recessions (who can forget Next going down to 9p in the early 90's recession) retailers are sure fire for going bust or profits plunging.

Have to say M&S is bringing in the right people. Not just the Chief Exec but also to expand the internet side of things.

Gap has been hit by cotton prices, of course M&S food offerings also hit as costs of wheat and other food staples increase.

I'm looking out for whether they maintain or increase the final dividend with the results which may indicate how confident they really are about the overall consumer environment going forward.

Good luck with your short. However, I suspect there's other retail stocks or other sectors commodity based that would be more fruitful on a short basis. ASOS for example as a retail stock, M&S doesn't stand out to me as an obvious short.

ArtN (long M&S, but sold a third of my holding recently)

[dnfa1975] 19/5/2011 14:12

600p target for me here

[tuco 1] 19/5/2011 13:42

Looks like this might be breaking out to the upside here .....close above £4.10 needed to confirm ....


Tuco.

[wllmherk] 19/5/2011 13:15

you might have a bit of a wait nick old boy

[nickward] 18/5/2011 09:50

GRUSS

Hi Gruss, I am back again, I closed that short your refering to quite awhile ago with a healthy profit, now I am getting ready to short again, just waiting for the scales to tip.

[tigerbell] 18/5/2011 08:32

Does anyone know why though, I have not seen anything anywhere to explain such a quick drop.

[e-boffin] 18/5/2011 08:22

tigerbell

You seem to be right. Just dropped like a stone.

[artnouveau] 18/5/2011 08:12

Results out next Tuesday. ArtN