Pets At Home Share Discussion Threads

[muchodinero] 10/9/2018 17:10

RE: Last chance for the shorts to close

With 69 days to cover shorts based on daily volume this could get very interesting soon. Any hint of further consolation in this sector including vets business could send this much higher in the blink of an eye imho. PETS revised strategy appears to be working and the management appear to be putting the brakes on expanding the number of purely retail outlets (as per last trading update with cancellation of two new stores). BOD now concentrating on their Vets, Grooming business and online offerings, which are higher growth/return sectors of the business

[hvs] 08/9/2018 17:15

Woof woof thats what the dog in the house said.

[dplewis1] 08/9/2018 13:16

Short but positive write up in SCSW commenting on the 'useful' 7.5p divi, low PE and good recovery potential.

[muchodinero] 07/9/2018 19:53

RE: Last chance for the shorts to close

Well well...are the shorts about to break ranks? Kontiki have just started to reduce as opposed to Engadine adding earlier this week....let's hope that the short damn is about to break!....

[muchodinero] 07/9/2018 19:31

If you're not holding, buying or even shorting, what on earth are you wasting your time posting on PETS???

[staylow2] 07/9/2018 10:53

Looking good for an entry point - at all time lows? Huge short positions and positioned in the retail sector.

Talk about risky. They are plenty of other shares with little or no institutional shorts on them, in an established uptrend. I can’t see the appeal for PETS right now.

[nw99] 06/9/2018 08:10

Price looking good for an entry point here

[joe say] 05/9/2018 13:55

Many don't understand - hence the need

And if they argue that they do, then what's the problem?

You can't have your cake and eat it

[muchodinero] 05/9/2018 12:22

Yes of course but over a twenty year period. It's commonly known as a lease agreement for those of you who don't understand.

[hvs] 05/9/2018 11:05

Woof woof make sure they does not bite.

[joe say] 05/9/2018 10:42

The fact remains that they ARE in debt - those leases have to be paid !!!

[muchodinero] 05/9/2018 09:53

It's a bit of a nonsense. Based on the new accounting principles to be applied to PETS in March 2020 the UK is technically bankrupt with about two trillion pounds of outstanding debt on the books. Add another ten trillion in personal loans and mortgages and everyone is screwed once we apply these rules to everyone's commitments. The fact is it doesn't change anything so long as PETS, UK government and everyone else is bringing in sufficient cash to pay those commitments over a planned period. I think Engadine are miscalculating IMHO.

[joe say] 05/9/2018 07:41

Interesting take Thorpematt but as an accountant I totally support IFRS 16

You have actually highlighted one of the key reasons/benefits when you question how banks and lenders will view the debt ratios

That's one of the precise benefits - clarity over the funding position of the balance sheet. You may not like the end result BUT nothing has operationally changed pre- and post-implementation other than readers clarity and understanding

[paulhunt1] 05/9/2018 07:39

Apologies for grammar but travelling

[paulhunt1] 05/9/2018 07:38

The new standards have been out there for a long time (3 years plus) and will not affect here until March 2020

If doing their job this will be sewn up with the banks long before then. Also think the market is well aware if the impacts, which of course have zero cashflow are impact.

Might explain partly why so many retailers are highly shorted, but if that is their game I think it is very miscalculated

[thorpematt] 05/9/2018 00:03

Regarding the shorts:

I hate companies with overly complex annual reports. PETS AR is 178 pages long.

Ben Graham told me to always read the notes first.

The new standard for IFRS16 is a possible reason for the shorts here. Many retailers will look dire when that's applied.

Now don't get me wrong I don't agree with the new standard. I am perfectly capable of understanding the difference between capital and operational costs and the new standard in my eyes mis-allocates the expense in a manner which confuses rather than clarifies.

My uncertainty is in how banks /lenders will view debt ratios and furthermore how Mr. Market will take the news that overnight a company goes from moderately strong balance sheet to "highly indebted".


For ref:

Note 1.22 top of page 125 of AR

[ianian4] 04/9/2018 22:15

When they upped their position yesterday, but the S/P went up. They are struggling and have made a big mistake. It is just bulls@@t. They pretend to be experts but are out of their depth. This stinks of desperation and is a last attempt to smoke a few PIs out.

[dplewis1] 04/9/2018 21:14

I'm pretty familiar with Engadine and Egerton - most likely explanation in my opinion is that they smell blood and think they can squeeze more money out of the trade. We've got smart people on either side at the moment, I for one hope Engadine have got it wrong..

[muchodinero] 04/9/2018 20:55

RE: shorts

Well Engadine have upped their short position yet again. They either know something or are possibility working with others to depress price pending takeover maybe??? Something is possibly brewing imho.

[muchodinero] 31/8/2018 14:52

As I predicted yesterday..the shorts are going for another attack to shake out doubtful PI's...don't let them sucker you into selling. Time is on our side...a few more trading updates and dividend payouts will start to see these positions unwind imho...

[montyhedge] 31/8/2018 13:29

Looks like the hedgies could be shorting again going by the price.

[spookies] 28/8/2018 18:43

Bit of a tug of war going on here. I too will keep adding at these levels.

[bashor] 24/8/2018 14:36

A slow grind upwards would be very welcome, I expected this to move up and stay up after the last update, heyho still bought another 10K to add to the bottom drawer today

[muchodinero] 24/8/2018 14:22

It will be great once we can shake off these pesky shorts. A slow grind upwards to next update would be good for shaking them off once and for all. 140p to 145 might just be enough to get rid of them imho.