Mccoll's Retail Share Discussion Threads

[spectoacc] 17/3/2020 13:49

Which part? :) I mean that MCLS had a big debt load before Covid-19 kicked off, which worried the market. It still has that debt load, only now the share price has cratered. And yet the actual business is going to be flying. Supermarkets, MCLS, OCDO - there's not many winners, but I fancy those.

Even in full lock-down countries (eg Spain, France), the one shop allowed to remain open is food shops. And perhaps unlike the supermarkets, the staffing levels shouldn't be an issue for MCLS either (ie no "groups").

I'm talking my book, I'm long both higher and lower, but when I look at OCDO up 9% today, and how the supermarkets have performed, MCLS is an outlier.

[spectoacc] 17/3/2020 11:46

Not selling, the market is looking at the debt load, which isn't going anywhere, not the fact MCLS will be one of the few winners in this sorry saga.

Had the same debt at 50p, before the massive boost to trading.

[paulcarrm9mx] 17/3/2020 10:47

MCLS shares @ 17.00p intresting. How long before the buy out or closure.

[spectoacc] 16/3/2020 16:12

A rare avg for me, a token 50k at 15.32p. Market having a preposterous dcb, the likes of OCDO & supermarkets flying. Yes, MCLS heavily over-loaded with debt, but it shouldn't be down 30% IMO. (This is, of course, only and avg! Long originally from way, way higher).

[loganair] 16/3/2020 15:20

If there is a lock down in the UK, unlike most companies, McColl's and the other supermarkets will still be bring in their full amount of revenue and will still be making profits.

[loganair] 16/3/2020 13:37

People have gone completely insane.

I popped into Tesco to do my normal shop, Monday mornings as always the least busy time of the week.

I have never seen it so full.

The weekly supply of UHT milk came out and was left on its wooden pallet, with in 5 minutes 90% of it was gone.

When the pasta ran out, people looked behind them what they could buy, with in 1 minute all the jelly had gone. Sweets and chocolates were also going fast.

Oranges are also selling quickly when lemons are better as lemon oil boosts the immune system why there is 'lemsip, etc. Lemon, green tea which also boosts the immune system and a multi vitamin tablet for the Vit 'C'.

People are acting like its the BBC Survivors series of the 1970's when 99% of the population died of the virus.

[paulcarrm9mx] 16/3/2020 11:30

Can this thread be kept to McColls info only please as much as possible. McColls are well stocked but out of the following
* hand sanatizer
* loo rolls
* pasta
* rice
* uht milk
Items recommended
* pot noodles
* freeze dried foods eg spaghetti
* long life foods eg tinned peas/veg
* part bake breads

[aleman] 16/3/2020 09:10

Been to out local Coop for milk this morning. Plenty of that, but everything else has been clobbered.

[aleman] 16/3/2020 07:33

Not sure of relevance but ABF report better trading than expected for H1 to late Feb due to higher margins in Primark and Grocery.

[paulcarrm9mx] 16/3/2020 05:25

All supermarkets and convenience store should temporarily transfer to card payments only and introduce systems for handling products previously handled by Instore customers. Especially loose unwrapped items like fruit and veg

[aleman] 15/3/2020 22:11

And all discounting will disappear so margins will increase. It's been utter madness seeing supermarkets with offers on the price labels and nothing on the shelves!

[kazoom] 15/3/2020 21:45

Good point Aleman,I hadn't considered that. It probably would not be a massive effect, but potentially could be quite significant.

[aleman] 15/3/2020 20:41

Just thinking of all the meals that were eaten that will now be replaced by food bought from supermarkets and convenience stores - work, school, colleges, universities, conferences, festivals, restaurants, pubs, hotels, cafes, burger joints, KFC, cruises, Butlins, etc. Any more? Will all takeaways stay open?

[cliff edge] 15/3/2020 15:39

last message was for Paul carm

[cliff edge] 15/3/2020 15:36

Is this something that you can evidence as actually being the case, or is it just an assumption that you have made?

[loganair] 15/3/2020 15:34

Germany will close its borders with France, Austria and Switzerland from Monday, according to the German newspaper Bild.

Closing of the border was not only to contain the Covid-19 epidemic but also to prevent panic bulk purchases by foreigners which was apparently causing supply problems in areas around the borders.

[paulcarrm9mx] 15/3/2020 15:09

Morrisons has priority pick in true McColls and coop has priority pick nisa supplied x coops

[scobak] 15/3/2020 13:22

or had it stolen.

[bradley12] 14/3/2020 16:53

If they've got no stock then they must have sold it!

[paulcarrm9mx] 14/3/2020 15:58

Haha you have got to be joking with no stock due to hoarders

[loganair] 14/3/2020 14:32

If the UK sadly has to take the same route as Italy and Spain at least McColl's and the other supermarkets will be one of the bright spots as they'll be one of the few industries to keep trading, keep a revenue stream going and still are making profits.

[loganair] 13/3/2020 15:32

Liberum said McColl's "deserves credit" for the stabilisation achieved in 2019 and its ability to deliver on promises set out at the the time of the firm's interim results.

"The strategy is now more focused, and while it is early days, we are encouraged by some green shoots in H2," said the broker.

The analysts also said they weren't concerned by McColl's dividend suspension and stated the move was "sensible", while work continues to restore balance sheet health.

"A key risk to watch", the analysts said: "The shares have been harshly punished and we think the risks are now more than factored into the low valuation, which may re-ignite talk around McColl's as an M&A target."

Dividend aside, Liberum said it saw "several signs of encouragement" in the group's preliminary results, with recent trading moving into positive like-for-like territory despite the severe weather in the past couple of weeks.

Its adjusted full-year 2020 underlying earnings estimates increased marginally, based on a slightly more optimistic gross margin improvement. It also noted that McColl's net debt profile should fall quicker than previously, reflecting the dividend suspension and the group's imminent sale of its head office for £7.3m.

[paulcarrm9mx] 13/3/2020 14:38

Nisa have been told there contract is up this week so its clear that there is something in the works at the head office. has anyone got the offical source confirming the head office is actually for sale.thanks