Marston's Share Discussion Threads

[jeffian] 12/3/2018 16:20

CC2014,

I tend to agree with you and that's why I hold this share. I'm at the stage of life where I'm more interested in steadily growing income than capital growth, but I think that in this case the market is more vindictive than irrational. They've never really forgiven MARS for the deep discounted Rights Issue and dividend cut (sorry, "rebase") announced on 18 June 2009. All MARS management can do now is to operate the levers available to them - grow revenues, protect margin, boost profits and eps and pay increasing dividends - and hope that the market forgives them one day and gives them a higher rating!

[smurfy2001] 12/3/2018 16:07

Am l missing something why is the yield so high?

Also of interest MARS is one of the picks:

Killik's Top ISA Picks for Income

[cc2014] 12/3/2018 15:13

I guess this is Woodford's take on it as well. He / I accept that markets get pushed to extremes and can become irrational but the current "extreme" is far more extreme than I can think of over an extended period of time.

Things will correct when they are ready and then everyone will be rushing to invest is safe dividend paying stocks with a growth story.

Well that's my plan anyway

[septimus quaid] 12/3/2018 15:06

Same with Lowry, at least the guy could actually paint/draw

[careful] 12/3/2018 14:59

Maybe I should have gone further off-piste and referred to Tracy Emin's unmade bed.
Thinking of adding more here.

[jeffian] 12/3/2018 14:53

"You only have to look at the paintings of that talentless man Picasso to appreciate how warped market valuations can be."

Hmmm. Maybe going a bit off-piste there, careful. I can't upload images here, but have a look at his paintings "First Communion" and "Science and Charity" painted when he was 14 and 15 respectively and then tell us whether you still think he was "talentless". The fact that he left figurative painting behind was a matter of artistic choice rather than a lack of talent. What people are prepared pay for it is another matter.

[careful] 12/3/2018 10:42

You only have to look at the paintings of that talentless man Picasso to appreciate how warped market valuations can be.
£50m plus for trash.

I don't get the Amazon hype either.
PE of 200+, almost profitless.
That means they could go bust if things slow down, as they could.

[cc2014] 12/3/2018 10:31

Valuations are all about perception.

I've been invested based on solid fundamentals for years and I'm still here and making a decent return. I've only met one person who made a load of money from a FEVR type investment where they did cash out at good time and had enough sense to then spread their risk and has had a decent lifestyle out of it.

Everyone else I know who's make a bundle on FEVR type stocks then invests it in something else with the same strategy and tends to lose their pot.

I'm afraid being careful isn't exciting I do ok. I have tried a couple of times to dabble in these crazy P/E stocks when I've done really well and got a bit of money I'm prepared to lose 90% on. That's the way it has always turned out though. I'm always in too late so I try to avoid now.

[chinese investor] 12/3/2018 09:59

The Government should give a brewers a tax break !

[careful] 12/3/2018 09:56

Mars seem to be a well run outfit.
But have the drinking out, eating out culture of the UK changed?
We certainly need some better weather to entice people out.

Also credit card debt is at a peak.
One day the public may stop shopping until they drop, leasing cars they cannot afford, and actually live more frugal lives.

Seven years of fat are followed by seven years of famine.
That is not original, I read it somewhere.
..but whoever said it, he was right.

[careful] 12/3/2018 09:51

organised pumping with fever tree.
a common tactic during the dot com era.
Reading Prof j.k.Galbraiths classic 'the great crash of 1929'.

such practices were well explained, and were targeted at booming particular stocks.
Market manipulation is rife today.
As Buffett said recently, we are buying a share of a business.
Profit, cash, prospect, assets are all that matter in the long term.
It takes time.

[jeffian] 12/3/2018 09:41

I'm not sure "it could have been worse" is a great investment strategy!

[chinese investor] 12/3/2018 09:35

If they hadn't been canny then it could have been a lot worse !

[jeffian] 12/3/2018 09:34

Or, looked at over a longer period -

[chinese investor] 12/3/2018 08:46

Steady Progress !

[tim 3] 09/3/2018 22:45

Agree I think people are refusing to pay the ridiculous prices some places are charging for often pretty average food.

Went in TFI the other day and 2 meals with drinks cost £44 and was nothing special the same meal in spoons would be about half that with drinks offers.

Not been in a Martsons recently but in weatherspoons even in the week they have been packed.


Think people are still dining out but are being more cost conscious.

[exel] 09/3/2018 22:03

Pps - take another look at that share price graph/chart - that's a huge double bottom forming. ex

[exel] 09/3/2018 22:00

Certainly 'city centre' casual dining is in a very tough place. But take a look at eg Jamie's pricing for a large glass of ok wine! They have dug their own grave. MARS is an out of town operator with much more realistic pricing. That said, it can't remain totally immune to the general Brexit-induced recession that is plainly now 'brewing'. That's where it's growing brewery distribution deals will come in to assist. ex - ps dimensional advisory have recently built a 5% stake after their customary exhaustive sector/company diligence. Someone believes!

[exel] 09/3/2018 09:44

Guess people will have spotted from last months rns that dimensional fund advisors now hold 5% of MARS. Their website is worth a view, in terms of overall FUM and investment philosophy. ex

[chinese investor] 08/3/2018 12:11

My Break Even Price is 101p but I'll be keeping them for the lovely Dividend !

[chinese investor] 08/3/2018 09:15

exel,
When I produced this thread I created the title after looking at the share price.
It appears Marstons have played a canny game in a challenging market !

[exel] 06/3/2018 22:48

Not sure M needs shaking up any more than GF + team are doing? Always thought he was a smart guy, but that interview really impressed me. ex

[exel] 06/3/2018 22:44

Septimus, brill interview! Hugely insightful! Thanks for sharing! ex