Prezzo Share Discussion Threads

[simonh88] 23/12/2010 19:48

My Prezzo one in Dorset is still very busy Thurs-Sun and perhaps steady rest of the time.

It might well effect the bottom line come January, but the snow isn't going to last forever is it? and therefore represents an opportunity should the shares dip to early 50s.

This is a well run, growing company with new coffee shops which will no doubt booster the profits.

[typo56] 23/12/2010 19:38

I went to a smallish French restaurant in town for lunch yesterday. They were almost fully booked when I phoned 10 days ago yet it was half empty. I was told they'd lost 18 covers for lunch due to cancellations and they'd lost a total of 53 (lunch + dinner) on Tuesday. Yet we haven't had much difficulty getting about these past couple of days. Reckon people cancelled a day or so earlier because of the scare stories, fearing they might not be able to make it.

It's the sort of place people expect to have to book and they wouldn't normally turn up on chance. Therefore it's not so easy to fill lost bookings. On the other hand, if Prezzo lose a booking they can probably fill it easy enough from passing chancers!

[pentangle] 23/12/2010 12:14

Not sure, if you cannot get to a restaurant you cannot get there whether its upmarket or downmarket. I was in a restaurant in Brighton last night, one of only two tables occupied and the proprietor was complaining that she had 16 bookings which were no shows! However much it is affecting Prezzos it hardly affects the long term prospects. May throw up a buying op though.

[typo56] 23/12/2010 12:01

Not sure how Prezzo is trading but some of the more up market establishments round here have suffered a serious level of cancellations this week. I suspect Prezzo clientele would be more stoical.

[cockneyrebel] 21/12/2010 10:18

I notice there's a couple of 50K buys yesterday - rising on a bit of volume - probably buyers getting in ahead of the Jan t/s imo.

CR

[spudders] 14/12/2010 20:00

Pent - My local 'Lewes' is packed Thur - Sat, mid week is probably about 40-60%. I spoke to the manager and she told me she had not had a day off since mid October due to workload.

[cockneyrebel] 14/12/2010 19:21

Never good to judge a a co by one store - lots of local factors imo.

My local Prezzo was packed last Sat, but always is.

CR

[pentangle] 14/12/2010 10:07

Anyone been in a Prezzo's in the last few days? Reason I mention it is that I was in Zizzi's last night and the place was like a morgue which does not bode well for what is supposed to be the busiest time of year. Its our local one and I have never seen it emptier. Also with no 2 for 1 or other offers at the mo, it was bloody expensive which cannot be encouraging the punters.

Hoping Prezzo's is getting a bit more trade.

[dnfa1975] 04/12/2010 08:39

Cold weather 'threatening small businesses'

Blocked roads are preventing customers from reaching small businesses
Continue reading the main story
Frozen Britain

Why can't the UK cope?
Audio slideshow: Snowbound
Burst pipes flood warning
The UK covered in snow
The continuing snow and icy weather conditions are jeopardising the future of hundreds of small businesses across the UK, business groups have warned.

The Centre for Economics and Business Research (CEBR) told the BBC as many as 800-900 small businesses were under threat as a result of the cold snap.

Businesses where cashflow is vital, such as bars and restaurants, are really suffering, it said.

The Federation of Small Businesses said members were "particularly hard-hit".

Estimates vary widely about the full extent of the overall cost to the UK economy of the cold weather.

Douglas McWilliams, chief executive of the CEBR, told BBC Radio 4's Today programme that about one-fifth of the economy had been affected, costing about £1bn every day.

However, Chris Gorman at the Forum for Private Business put the figure at nearer £250m, with 10% of the workforce being affected.

'On the brink'
Some industries will suffer a temporary hit, analysts say. For example, construction projects will be put on hold until the weather improves. This is precisely what happened during the cold spell in January this year.

But other sectors, particularly retail and leisure, could lose out on business entirely, with potentially severe consequences for some small businesses.

"Quite a lot of small businesses are quite close to the brink now," said Mr McWilliams.

"I think at least a few hundred, maybe as many as 800 or 900, could go bankrupt that otherwise wouldn't have because this is the straw that breaks the camel's back."

He said businesses that rely on cash were particularly vulnerable.

"If a restaurant loses a night's business, it's not going to get it back," he said.

[cockneyrebel] 15/11/2010 20:22

It's a bit hard to see who's taking the cost of the Tesco vouchers. I don't know who's footing what percentage of the cost. If it's half footed by Tesco and half by Prezzo then perhaps the margins rise for both co's on the reduction. Perhaps there's also a rush of customers ahead of Dec5. Would a reduction to 1/3 from 1/4 really stop people using them?

I can't imagine it's a major deal either way.

One in Thame is packed all weekend still.

Yes I'm still holding Soudders - was bound to take a breather after such a run.

Peel Hunt reckoned that after cap ex on those new stores from Uno they would still boost profits by £1m this year.

In Aug Peel hunt were forecasting 3.6p eps for this year and 3.8p for 2011

Since Sep 20 they upped that to 4.16p and 4.5p for 2011.

Peel Hunt said this in Aug before the earnings upgrade and referring to the stores acquisition from Uno:

"Excellent value: Prezzo has acquired a year's roll-out in one go. Furthermore,
given its net cash position, the deal should prove highly earnings-enhancing.
Prior to our moving our numbers (to reflect the deal), the shares trade on an
EV/EBITDA of less than 5x; given the track record, this looks far too low."

I've noticed these have built a nice little support line that's rising since the end of Sep which should break out soon as it keeps rising as it's made a small pennant too.

Trading update in Jan should be good if there's no news before imo.

CR

[liveinhope] 15/11/2010 19:55

Will the Tesco change in redemption rate benefit them short-term?. A lot of people are redeeming before Dec 5 when value of best offers reduces from 1/4 to 1/3. I just have have a hunch it might, but know nothing.

[spudders] 15/11/2010 19:48

CR, I have to agree with you, do you still hold. My local PRZ is extremely busy in the run up to xmas. Making good money with the voucher scheme still in place :)

[cockneyrebel] 15/11/2010 14:33

I feel like tese are setting up for a breakout here imo.

Been very firm lately.

CR

[cockneyrebel] 09/10/2010 10:15

Strong hold in SCSW today.

CR

[cockneyrebel] 07/10/2010 17:24

yep, still holding these spudders - trimmed a few tho to chase faster stuff.

CLIG - I wouldn't say you've missed it. 37p in divi to be had there over 54 weeks and still on a low PE. Still a 5.7% yield there per annom norally too at this price.

CR

[bigbigdave] 07/10/2010 17:17

Make that another new high, wonder if SCSW will mention this weekend?

[lightweight5235] 28/9/2010 20:06

I bought a few of these at 49p based on fundamentals. Recently, I heard three different sets of people within a week at the office where I work talking about either going to Prezzo the following weekend or having been there recently and enjoyed it.
I then promptly topped up at 58.5p on the strength of that 'buzz'.
I think this could be a great long term hold. Hope I haven't put a death wish on it now after this comment :-)

[bigbigdave] 27/9/2010 17:02

And again 8-)

[cockneyrebel] 23/9/2010 19:07

new closing high :-)

CR

[spudders] 23/9/2010 18:29

Prezzo in Lewes was heaving last night & only 3 waitresses who kept it all running smoothly. Very impressed :)

[bigbigdave] 23/9/2010 10:33

Next leg up 8-)

[choppa] 17/9/2010 21:51

hmmm IC gives it a high enough rating and forwrd P/E of 12 fair value. Nice 150th edition tho!

[yoyoy] 17/9/2010 21:04

from todays FT regarding the spate of restaurant t/o

".....Meanwhile, Paramount, which owns the Livebait, Caffe Uno, Il Bertorelli and Chez Gerard brands, is in the process of selling as many as 26 sites to Prezzo, having already sold 11 sites to the group last month."

[cockneyrebel] 17/9/2010 10:36

Very strong today - tipped in the IC ?

CR