Pendragon Share Discussion Threads

[clive7878] 10/2/2023 18:55

If Pendragon is predicting £45m next year and we are looking at now a pe of 6 on 19.35p then I do wonder how much mileage there is in the share price in the near future.
Most of the profit - like Currys / PC World - I would think come from finance agreements where they can charge interest, and both would prefer to sell on credit rather than outright cash.

[mortimer7] 07/2/2023 09:49

Clive ref your post 3330 on Cazoo.

Franchised dealers (Pendragon/Vertu/Lookers etc) generally make 40 to 45% of their Gross Profit from Aftersales operations, far more than from New or Used vehicle sales.
So their businesses are underpinned by this consistent revenue stream.
in my view, Cazoo being principally a used car operation don't have this reassurance.

[mortimer7] 07/2/2023 09:40

The total for UK new car registrations for January was 131,994 published yesterday by SMMT. 14.7% increase on total of 115,087 in January 2022.
SMMT forecasting 2023 total of 1.79 million. 11.1% market up on 2022.

[clive7878] 03/2/2023 12:04

They must have buyers in hand to keep the share price strong!
100,000 sell and the price rises 0.1p.
Sometimes there appear to be no logic to market makers pricing.

[clive7878] 27/1/2023 14:33

We have been seeing the bigger size buy orders come in in the last 10 minutes of trading
Profits of £45m would give a pe of 6.3 - which questions the mileage in the share price ? As if 29p this would be nearer 9

[tole] 27/1/2023 07:35

Pendragon heading along the right road, according to BerenbergPendragon (PDG) is trading slightly ahead of expectations, proving there is strong momentum supporting the second-hand car dealer's valuation, says Berenberg.Michael Benedict reiterated his 'buy' recommendation and share price target of 35p as the stock added 0.5p, or 2.6%, to 20p yesterday after a full-year trading update.The fourth quarter results were slightly ahead of expectations, with 'strong trading more than offsetting external pressures', said Benedict.'As such, the group now expects full-year 2022 adjusted profit before tax of £57m, ahead of consensus of £54m,' he said.'We believe this bodes well for the group heading into full-year 2023, and despite a number of external moving parts we leave our adjusted profit before tax forecast for the year of £45m unchanged.'Benedict also highlighted the two offers that Pendragon received over the second half of the year, both of which were above 29p per share and said 'such news flow provides good valuation support for the group, or indeed potential upside should further bids emerge'.

[clive7878] 26/1/2023 19:39

95% buys today -since the price fall there has been much interest. Share price muted since results too

[clive7878] 26/1/2023 14:15

Buff - good post - and optimistic for the future - but
with the directors paying or over paying themselves
is there any incentive for them to agree a deal?
Agree pendragon is very good value -
report on Cazoo on teletext said that Cazoo
were cutting jobs and sites due to the online sales.
Is this worrying for PDG, VTU, and Lookers ?

[clive7878] 25/1/2023 14:48

Strange more sells than buys but price still strong. I have noticed much bigger trades at the end of the day - maybe why price is strong now

[mortimer7] 25/1/2023 09:26

Bit of a lame response from the market to todays year end trading update.
Pendragon need to address their strategic review options. Or maybe, their strategy is to just sit tight & hope for another bid.

[jaf111] 23/1/2023 10:20

hxxps://news.sky.com/story/us-giant-lithia-revs-up-deal-to-buy-ferrari-dealer-jardine-motors-for-300m-12793442

No surprise really…..and if it happens surely only a first step into UK market for Lithia…..

[clive7878] 14/1/2023 15:40

There are definitely pros and cons with Pendragon.

The cons - as one post did say - why go into a company which is not paying a dividend but appears to be paying the directors very well. Then there is the much higher interest rate, that could curtail sales. Whether one should be in Pendragon and not Lookers or Vertu is very questionable, The Court case is another negative.

The pros are - I do believe - against a lot of other people - that Sunak is the right man to steer the ship for the Country financially, and that by the end of this end things will have improved. Interest rates down by 1/2?, petrol is already nearly back to what it was, maybe even gas and electric is on the turn. As he said and the Scottish Minister that pay awards need to be affordable, as they have not got an open cheque book.
There has been one bid or two bids at 29p and with the fall out of share price - this has to be much better value at 20.6p than at 27p. Has the share price fall been overdone? Both Allen Ford and Lookers have reported business as still good, with the new car shortage and problem still with chips. I believe that the gloom and doom may be overdone.

[c_k] 13/1/2023 11:55

Berenberg resume coverage on Pendragon at 'buy' https://www.sharecast.com/amp/news/broker-recommendations/berenberg-resumes-coverage-on-pendragon-at-buy--11962768.html

[clive7878] 11/1/2023 16:42

If the Court case was known as long ago as Hedin pulled their bid,
then the share price now in theory should not be so affected in the future,
at least hopefully - Sells certainly exceeded buys today. Otherwise we are in for a drifting share price to come.

[dennisbergkamp] 11/1/2023 14:42

The rich get richer during these times as they’ll make their money work on foreclosures etc so premium won’t be affected, imo

D

[ny boy] 11/1/2023 13:20

Recession, no growth, every so often you will see the chart open up a nice trap door, for another mugging!

[clive7878] 11/1/2023 13:17

Allen Ford profits 4 fold to £27.4m
Bentley sales are also veey good.

[jaf111] 11/1/2023 08:28

Decent Trading Update this morning from Lookers….supply demand fundamentals still look favourable for car dealers notwithstanding the tougher economic climate.

[jaf111] 10/1/2023 16:14

hxxps://cardealermagazine.co.uk/publish/exclusive-car-dealer-group-pendragon-facing-260m-claim-in-high-court-battle/277389

mmmmm……

[clive7878] 04/1/2023 12:41

Rollacoster share price - yesterday 19.10 - today 18.20.
but same buys / sells volume - never understand MM pricing
which seems illogically most of the time.
same buy / sells - share price down nearly 1p

Strange - we had buys of 400k and 3 lots of 270k yet the share price fell

This is the fourth time we have had big buys since the share price collapse.
and the share price has not recovered one bit.

[niklol] 30/12/2022 15:10

And today more sells than buys and share price is up!!!!!

[clive7878] 28/12/2022 16:32

84% buys today, and the share price has hardly moved ?
Very good day though for VTU - again share price up 5.8% - but equal buys and sells ?
SP movement seems illogical. Are the MM playing games ?