Mccoll's Retail Share Discussion Threads

[scotch broth] 12/3/2019 08:22

According to press reports the Morrisons supply deal is under review by Morrisons.

[markdallara] 11/3/2019 20:38

I got lucky this time - so nearly put a -20% stop loss on Sunday evening which would have stopped me out at about 70p which would have been extremely annoying given the bounce back. Never seem to get these right,low % stops stop me out when I don't really want to, high % get me into trouble just the same. Did that early hours morning after the referendum when there was a sharp dip but only for a couple of hours which cost me a packet. Hard to know what to do.......

[lukehold] 11/3/2019 20:11

Stop loss got triggered at 80p will see what happens tomorrow was planning to hold long term

[emacsapation] 11/3/2019 17:11

tree shaking perhaps? interesting things to come on Wednesday?

[volsung] 11/3/2019 16:49

Thanks Germanicus. Didn't expect that with MCLS

[germanicus] 11/3/2019 16:47

Well played there Volsung. That was some wild ride!

[volsung] 11/3/2019 16:42

...or maybe not lol

[john09] 11/3/2019 15:40

That’s some drop.

[volsung] 11/3/2019 15:34

Possibly a tad early? LOL

[volsung] 11/3/2019 13:39

Seems like an ideal time to top up. So I have...

[loganair] 11/3/2019 10:41

Not always possible as the Coop next door to my local McColl's newsagent already has the Post Office concession.

[cheshire man] 11/3/2019 10:36

They need to incorporate a post office in very shop,,,,,,,,,post office getting far busier now with all the banks and hole in the walls disappearing, the shops that have them from what I have seen in local area do very well

[joines1] 10/3/2019 21:59

Yes. exactly why McColls needs to cull ' Martins ' Newsagents are a PREHISTORIC past ….

[loganair] 10/3/2019 21:51

Maybe some of McColl's newsagents in small villages etc are profitable, however on the whole the vast majority I'd think are loss making.

I would also think that McColl's close newsagents when their leases come up for renewal and just let them go.

Our local McColl's newsagent use to be very profitable, 50yds from the local school, kids popping in to buy sweets etc. Sadly over the years a Coop, Waitrose and Lidls have all open up in the vacinity. For most things the McColl's newsagent is 50% more expensive then even the Coop, it no longer opens on Sundays and closes at 18.00 in the evenings.

Personally, I get my newspaper free when I spend £10 at Waitrose.

[joines1] 10/3/2019 19:13

Hi

I agree broadly with your outlook. The way forward NOW for these big grocers is community based/supportive stores. Engendering customer reliance based on putting money and resources in to the community your local shop supports. Tesco was way ahead of the competition on this front and the market was not ready for it ( failure in the USA and local metro stores ) so it flopped. People now want it, so I see massive growth here. McColls need to get rid of all of their newsagents. It's a no brainer albatross around their neck. Everything's online, the only paper I ever buy is on Sunday and so do my family and friends. Do that. Focus on customer and community and bang ! MY view. Good luck all

[loganair] 10/3/2019 17:48

If Morrisons makes a move on McColl's I would think it will be a year away and they would want McColl's to divest further of their newsagents and poorly under performing stores.

Over the past 4 years McColl's have reduced the number of newsagents from a little over 500 to a little over 300. Last year McColl's divested themselves of around 35 newsagents.

I am confident in saying that it will be far cheaper for Morrison to buy McColl's rather then setting up convenience stores for themselves.

If for example Morrison paid £200mln for McColl's, double the current share price that is only 135k per store with stock.

If Morrison do ever make an offer for McColl's I can see it being an agreed offer at a one off price.

[germanicus] 10/3/2019 15:05

Cheers joines1. very interesting indeed!

Be lucky all

[joines1] 10/3/2019 13:01

Morning all. McColl's gets a mention on page 2 of todays Sunday Times. Morrisons are to update investors on their relationship with McColl's on Wednesday when it reports on it's full year results. Hold on to your hats this could be a very interesting week ahead. I'd hope to see some more impressive gains on the back of Morrisons involvement and their 4.5% sales increase. Good luck !

[aleman] 08/3/2019 21:58

That's the $million question in many ways.

Margins are slim and being buffetted by competition and change at the moment. MCLS is probably worth somewhere between £0 if things go badly and £600m if it got things right and Morrisons took over down the line with enhanced margins. I think the gloom has been a bit overdone and it won't be in trouble tomorrow. I think the market got a bit too gloomy about the Palmer and Harvey bankruptcy disruptions - hard to manage but maybe could have been handled better but now largely in the rear view mirror. Maybe EBITDA x 4 or about £150m cap would give a better balance of upside and downside until things become clearer? Just my guess amongst many that might very quite a lot, depending on how they perceive the risks and management capability at implementing changes (and now Morrisons' influence on it).

[thefartingcommie] 08/3/2019 20:13

Aleman

Still only around 2.5-2.6 times expected 2019 EBITDA...

...what would you consider about right here?

[wskill] 08/3/2019 19:01

Very true Aleman I have been buying a few bombed out stocks recently mcls and a few others well over sold the shorts seem to have got carried away with their shorting prowess.

Bodes well for shareholders who realised that current share price is far too cheap.

[aleman] 08/3/2019 11:35

Still only around 2.5-2.6 times expected 2019 EBITDA.

[cheshire man] 08/3/2019 11:35

Have to say the chart is looking pretty dam good atm :-)

[thefartingcommie] 08/3/2019 11:00

supercity........I am seeing 125p as to where this is heading

agreed...large gap to be filled..93-118p....looks to be where this heading....into the gap first off......