Share Name Share Symbol Market Type Share ISIN Share Description
Mccoll's Retail LSE:MCLS London Ordinary Share GB00BJ3VW957 ORD GBP0.001
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  +3.00p +2.26% 136.00p 135.00p 137.00p 137.00p 134.00p 137.00p 83,013 16:35:11
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Food & Drug Retailers 1,131.8 18.4 12.3 11.0 156.64

Mccolls Share Discussion Threads

Showing 501 to 525 of 525 messages
Chat Pages: 21  20  19  18  17  16  15  14  13  12  11  10  Older
DateSubjectAuthorDiscuss
08/8/2018
21:51
I understand that McColl's have been slowly reducing the number of news agents by either selling them off or closing them. I think the confusion with the number of stores is that McColl's are putting in Safeway products in to 1,300 of their 1,611 stores.
loganair
08/8/2018
21:20
WUNDERBAR - Do you remember Alldays? I do. https://www.investegate.co.uk/alldays-plc---090-/rns/sale-of-company/200210281119410104D/ BTW I'm not saying the same will happen here but the retail environment isn't great right now.
she-ra
08/8/2018
20:11
Logonair - how about Estonia's richest man buying the other 90%. If he thought 275p was a good price I wonder what he thinks about 132p!
wunderbar
08/8/2018
20:03
Hi Danny, it's certainly a dark time for the shareprice and I sincerely hope we don't see 120p anytime soon (but I've learnt from past experience to never underestimate the brutality of the market). So, where will this bottom out - hopefully not far from where we are now. In my opinion the rate at which this is falling is not sustainable and I'd expect to see some stability/reversal soon. Afterall share price has fallen 12% in a week, 38% in a month, and 48% in a year. You mention the slump in newspaper and magazine buying but this has been a somewhat predictable decline for many years and I can't believe McColls are overly reliant on this, besides I thought they were focusing more on food produce hence last years tie-up with Morrisons under the Safeways brand. As for a potential writedown in goodwill that wouldn't surprise me. According to Hargreaves Lansdown website, as of two weeks ago, three brokers had price targets ranging from 190 to 250p, average being 225p. At 132p there appears considerable upside from here - but I fully acknowledge broker estimates can turn out to be utter tosh. To be clear I haven't bought on a broker recommendation - more a hunch this is oversold. On a final note, I previously said MCLS had 1300 stores, in fact they have 1650 according to their website. They have one of the largest estates in the uk convenience sector. I bet Sainsbury / Tesco would love to get their hands on some of these stores. Cue ramp....MCLS takeover target!
wunderbar
08/8/2018
19:22
A large estate can become a liability when profitability turns to loss making.
she-ra
08/8/2018
18:16
Can you believe it, Estonia's richest man bought a near 10% stake in McColl's for around 275p per share less then a year ago.
loganair
08/8/2018
18:01
Investors are heading for the door due to concerns over the underlying business model. There has been a slump in newspaper and magazine buying cutting into McColls'core business. The growth in Tesco Express together with a much improved Co-op offering as well as petrol stations upping their game has meant the convenience store sector has become cut throat with McColls in the weakest position. Before you buy any more shares you should visit a dozen McColls shops and work out from the customers you see there and what they are buying how much you'd value the shops at. My view is the goodwill in the balance sheet will have to be reviewed downwards weakening the balance sheet further. Ok maybe by Ftiday afternoon you'll be able to buy shares at 120p but it still doesn't make them good value. Only my first post. I am a refugee from the old iii board but have followed the comments on advfn for a long time.
danny baker
08/8/2018
16:23
I've decided to join the party by making some purchases over past week ranging from 134 to 150p. Must confess MCLS only caught my eye when I saw it appear on biggest losers list a few times, peaked my interest and reeled me in. Having done some very loose number crunching I believe the shares are oversold @ 132p. The Palmer & Harvey collapse was a one off so won't impact future profits (funny enough another of my holdings IMB Imperial Brands took a £100m hit on P&H - and they've subsequently recovered quite nicely). Anyway, back to some very basic numbers. First thing to mention is market cap now only £152m - MCLS payed £117m for 298 former Co-op stores (completed July 2017), given they now have 1300 stores are we lead to believe the market is valuing the rest of the estate c1000 stores at just £35m! I dare say MCLS paid too much for the co-op stores (as seems to be the case with most corporate acquisitions), by how much though? Then there's the business itself, the market doesn't seem to think much of it judging by the hammering over past few weeks. MCLS really shouldn't struggle making £20m per annum, p/e now under 8 - given the potential looks too cheap. As for the divi (c8%) this is significantly increasing on a daily basis as share price continues to slide - something's gotta give. As I say, I think this is oversold, it's been given a damn good kicking of late and I'd expect a reversal of fortune pretty soon. Anyone care to comment?
wunderbar
02/8/2018
13:18
In fact if your sad enough to look you will see that I said I was out on a post 136d ago - but maybe you won't believe that post either
davr0s
02/8/2018
13:15
I couldn't care less whether you believe it or not - I know what I did
davr0s
02/8/2018
10:42
I'm curious, Eastbourne, why you wouldn't take DavR0s comment at face value? Cheers, PJ P.S. To keep on topic - I'm currently of a mind to top up my holding of MCLS - I think I hold a very similar view to Ed 123 on this stock.
pj fozzie
02/8/2018
09:35
Of course you did DavROs.
eastbourne1982
31/7/2018
17:46
2 year low = bearish. Cheap can always get cheaper. I traded it this time last year exited for a decent profit. Wouldn't consider touching it at the moment
davr0s
31/7/2018
17:43
Woah this is cheap now
john09
31/7/2018
11:07
Personally I would put MCLS goodwill at no more than £50mln. It seems to me by putting such a high value on goodwill companies are just trying to say they are worth far more then they're really worth and therefore much of the value put on goodwill is just a con.
loganair
31/7/2018
10:49
Accounting standards positively encourage overpayment for acquisitions as goodwill can be carried on the balance sheet unhindered by writing it off until the cracks get too big too hide. See Travis Perkins reults today. In the case of MCLS, market cap £180m, goodwill £250m, PAT for H1 £1.4m. Discuss.
schway
30/7/2018
17:30
Yes, that results from overpaying for the acquisition.
ed 123
30/7/2018
17:00
How many times does one company take over another, then with in a year having to substantially write down the goodwill portion of the company they took over.
loganair
30/7/2018
16:31
Ok, no problem, Loganair. :-) As you'll no doubt know, the calculation of goodwill uses some assumptions, which of course rely on judgements. So, there isn't a single, correct answer. Notwithstanding that, the calculation has to appear fair and reasonable to the external auditor. So, I guess you must think that some of the assumptions are overly generous. Anyway I don't see goodwill as being of much importance. I only addressed it in response to our friend's outlandish claim. The fact is that when a business is trading to expectations (ie. trading well), the amount of goodwill will not need writing down and so, in a normal context, goodwill is not of any great interest.
ed 123
30/7/2018
15:58
Ed - I'm not saying that goodwill on the books is worthless, I'm saying that most companies put goodwill as too high a value on their books.
loganair
30/7/2018
15:30
Well, yes, if a company goes bust and isn't sold on as a going concern, its goodwill will be zero. Its tangible assets may be valued below book too, for that matter. To say, though, that McColls' goodwill, as reported in its latest accounts, is worthless is clearly wrong ..... unless you think the entire McColls Group cannot be sold for an amount in excess of its net tangible assets. Net tangible assets are negative here, around minus £100 million. So Schway's statement about McColls' goodwill being worthless is so obviously wrong ... and hence mischievous, imo. It doesn't make any sense to say that a business with positive earnings (adjusted ebitda of £44 million in McColls' case) has a negative value - hence goodwill or some equivalent is a necessary inclusion in a company's accounts to make them fair and reasonable.
ed 123
30/7/2018
15:06
Personally I think goodwill is valued to high on the books of most companies as when companies go bust this goodwill is not worth a thing.
loganair
30/7/2018
14:54
I'd be a bit cautious about the motivation of Schway, who has posted a grand total of just 3 messages on ADVFN, knocking three different shares. For the few who may not understand goodwill, it will not be "worthless"; it is a figure calculated by the directors, revisited each year and checked by the external auditors. It represents the value of the business in excess of the value of its tangible assets. With the purchase of the 298 Co-op stores the value of McColls' goodwill will naturally have increased. Then there's "financing itself through its suppliers". McColls added 298 Co-op stores and so it will fill these with produce bought on normal commercial terms. Therefore the value of the produce in these stores adds to the trade payables in McColls' accounts. Nothing sinister, just normal practice for a retail business. I could add my own negative but that concerns the story presented by the Board. I suspect the trading update of February 2018 could have given some earlier warning of the extent of costs and disruption caused by the P and H administration. Assuming the accounts and Board's narrative have been written honestly, there should be a recovery in second half performance. Then y/e 30 Nov 2019, hopefully clear of adjustables, should show what the enlarged and newly supplied business can do. With the increasing proportion of sales in the groceries category, the continuing bolt-on buying of independents, and the anticipated growth in the convenience store sector as a venue for shoppers, McColls should have a positive future. There has been a lot of change in the McColls' business in a short period of time. Imo, management are making the right moves. The business needs a little time for the changes to bed in and to clear itself of most of the exceptional costs. No promises, of course, but it has a fair chance of success, imho.
ed 123
30/7/2018
13:28
The richest man in Estonia bought a nearly 10% stake in McColl's a year ago paying around 275p per share and he said at that price he saw a great deal of value in McColl's
loganair
30/7/2018
10:35
Huge amounts of worthless goodwill on the balance sheet, and it seems to be financing itself through its suppliers of + £30m in the half.
schway
Chat Pages: 21  20  19  18  17  16  15  14  13  12  11  10  Older
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