Mccoll's Retail Share Discussion Threads

[ed 123] 08/2/2019 16:53

Sunnybeachboy, ... dragging the bid down to load up.

Whenever I'm troubled by thoughts like that, I get the doc to up my meds. ;-)

[sunnybeachboy] 08/2/2019 16:09

Not holding here. But looks like someone is dragging the bid down to load up.

[aleman] 07/2/2019 11:47

Looks like somebody has their computer algo set at selling the 50-day. Can it really push the price under 50p (market cap £58m) on forecasts of £35m EBITDA and rising?

[ed 123] 07/2/2019 07:58

As I see it, it's not the Morrisons supplied stores that are the problem, it's the Nisa supplied ones. The latter are the former Co-ops. They number about 300. So, most of the convenience stores should be ticking over ok. Tobacco and paper newspapers are in decline, so McColls newsagents will presumably be in a managed decline. Can the good bits carry the poor ones?

I'd like to see them conserve cash, so cancelling the dividend would be good to me, if I were a shareholder. Maybe they'll write down some goodwill? That would be a non-cash item.

If they can hang on till the Nisa contract finishes and switch the 300 onto Morrisons supply, and then there is some hope. It remains very competitive out there, though.

[kiwimonk] 07/2/2019 07:39

no-one buys cigarettes and papers and no one needs gone off chocolate bars shoved into your face when you are just trying to stay dry from the pelting rain

the high street is dead

long live Jeff Bezos

[spectoacc] 07/2/2019 06:58

Fair comment @Ed123, we know MCLS been struggling since the switch to Morrisons as supplier. Sounds like that struggle is ongoing, but once they're through it, I see no reason they can't thrive again.

As @Aleman says, we should get more indication (at least on outlook) soon.

[ed 123] 06/2/2019 18:09

For me, the dividend is an irrelevance. There is something far more important and that is the trading performance of the business.

With apologies to holders, I can't see McColls surviving in the longer term.

There will be some local monopoly situations which give McColls some good individual shop figures but, where they compete with the likes of Tesco and Sainsbury local stores, McColls will be poor performers (in my opinion). If there are any Aldi or Lidl stores near to McColls' stores, it will be the same outcome. That's how I see it. It's very competitive out there.

One small anecdote ..... I went into a McColls convenience store a couple of weeks ago, an employee was stood outside and followed me in. He was the only worker I could see and there were no customers in the shop. There were several empty shelves. I'd say about a third of the fresh food they should have had just wasn't there - bare shelves. I went out and walked 100 metres or so to a local Sainsbury. The Sainsbury was busy. I counted five employees, lots of shoppers. In short, the Sainsbury appeared to be a thriving business, whereas the McColls was moribund.

I'm not holding any McColls shares nor am I short, but I would urge holders to go out and visit some McColls stores. If you do some leg work you will be able to form your own opinion - which will be much more valuable than taking the opinion of some anonymous poster.

(No advice intended - other than you should get out there and form your own view.)

Good luck to all.

[aleman] 06/2/2019 17:05

We'll know in 12 days. I've not seen Liberum's figures but media reports said they indicate a reduced dividend of 8p - so a 4.5p final.

[spectoacc] 06/2/2019 16:24

Done a lot of sale & leasebacks I believe.

Now given back all that big spike - impressive. What they do with the divi will be interesting.

[diku] 31/1/2019 08:26

Are most of their shops freehold or rental?...

[aleman] 31/1/2019 08:11

The wintery weather might boost sales slightly.

[pj fozzie] 18/1/2019 10:21

Good to see the price holding. Maybe it's just a few investors who've been following, thinking the fall is overdone, but waiting to be sure the bottom has been reached. Maybe they've concluded that the bottom has indeed been reached and now is the time to get in. Really hard to tell in the absence of any real news.

Cheers,
PJ

[cheshire man] 17/1/2019 17:21

67p trade after the bell I see,,,

[aleman] 17/1/2019 16:29

5 times yesterday's volume - so far. About same as 3rd highest day in last 3 months. probably something behind it - a tip maybe?

[bingham] 17/1/2019 16:20

Well ding dong Bell.

[supercity] 17/1/2019 15:59

I guess the seller has finished

[pj fozzie] 17/1/2019 15:11

About time. I've been chasing this one down, convinced the drop was significantly over done - but have grown increasingly nervous. At least this makes the two slices I bought @ 53.8 and 56.6 look good value for money. Still got a long way to go before I'm back above water - my average price overall for my MCLS holding is 122.

Either this is a total bargain or I'm gonna lose a whole sack of cash on this one.

^ One of those two phrases will be true!

Cheers,
PJ

[supercity] 17/1/2019 14:30

There she blows (a week later than expected)Bounce has started

[spectoacc] 17/1/2019 13:54

One-for-alls.

[bingham] 17/1/2019 13:52

Three-for-ones?

[spectoacc] 17/1/2019 06:55

Two-for-ones? ;)

[micha14] 17/1/2019 01:41

Mccolls is incredible value right now

[loganair] 10/1/2019 17:25

Also to remember that per pound of turn over McColl's is twice as profitable as Sainsbury's.

[aleman] 10/1/2019 16:28

FTSE Food and Drug Retailer Index is up over 10% so far in 2019.

[aleman] 10/1/2019 10:16

I'm still struggling to see why these have halved since the trading update. LfL improved to 0% in Q4, which is up from -0.9% in Q3 and -2.7% in H1. Look at some of the Christmas updates from various retailers this week and that really does not look bad at all in comparison.