Restaurant Share Discussion Threads

[boraki] 26/3/2019 11:17

This is the full article in the mail

MARKET REPORT: Takeover of noodle bar chain Wagamama lands Restaurant Group in hot water but is a recovery on the menu?


By IAN LYALL FOR THE DAILY MAIL

PUBLISHED: 21:51, 25 March 2019 | UPDATED: 21:51, 25 March 2019

It has been a tough six months for backers of The Restaurant Group in the run-up to and following its £550million acquisition of Wagamama.

Worries over the strain the deal may have placed on the balance sheet have driven the share price down 100p, or 46 per cent.

But as Mark Irvine-Fortescue at City broker Stifel pointed out, transformational bolt-ons such as Wagamama rarely come along at the perfect time, or, indeed, at the ideal price.

He reckons the shares will recover, but this relies on a hiccup-free welding together of the popular noodle chain to TRG's existing Frankie & Benny's and Chiquito operation, as well as realising the planned synergies from the merger.

The Restaurant Group paid £550m for noodle chain Wagamama driving the share price down 100p, or 46 per cent

Irvine-Fortescue is a fan of the 'oversold' stock, which he reckons is worth 170p. Yesterday it was off another 2.1 per cent, or 2.5p, at 115.4p.

The Stifel abacus rattler, newly installed at the broker, took a closer look at TRG as part of a deep dive into the hospitality sector.
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[boraki] 26/3/2019 09:16

Crazy share,, even the daily mail article cannot lift them.

Like you say, a new low hit today.

Very annoying times.

Only 20% down since I bought them. (9 days ago)

:-(

The market is not doing itself any favours, because the moment this goes back up to my entry point, ,, I am out.

The market is making people think this is not a stable share.

[nav_mike] 26/3/2019 08:31

Constantly being eroded by these damn algos and their small parcels of shares - down to another new low on only 100k volume

[vikingwarrier] 26/3/2019 07:48

170p a share target sounds about right.

[philanderer] 26/3/2019 00:12

MARKET REPORT: Takeover of noodle bar chain Wagamama lands Restaurant Group in hot water but is a recovery on the menu?

[boraki] 25/3/2019 12:08

New low of 114p

It has lost 18% in 6 trading days

Pathetic

Does the market not understand, when the weather is good, people go out more, and consequently eat out more.

Obvious,,,

But not to the market....

[r9505571] 23/3/2019 14:48

Some indicators signalling a recession? Gonna be a difficult time ahead for them. Baseline for this share about 70p so a bit to go yet!

[nav_mike] 22/3/2019 14:56

Trouble is thats only for shorts over 0.5%

You could be short over 2m shares and not show on that list

[boraki] 22/3/2019 14:31

Does not seem to be too much short interest in these shares

[boraki] 22/3/2019 14:13

What ever it is, it is very disappointing

[nav_mike] 22/3/2019 13:07

Well judging by the relentless AT trades over the last few days, its either being shorted to death, or some of the funds that took up the rights issue are downsizing their holdings imho

[boraki] 22/3/2019 10:34

We just hit a new low :-(

[lukehold] 22/3/2019 07:41

Even with the debt taken in to account is that..

[boraki] 21/3/2019 11:30

What price do you think it is worth Viking?

I think it should be £2 plus, but i never seem to get this right

[vikingwarrier] 21/3/2019 11:14

Worth far less than the price of waga.

[sharw] 21/3/2019 09:26

10 year low in fact!

[boraki] 21/3/2019 09:10

52 week low hit 120p

[essentialinvestor] 20/3/2019 15:55

Very little to do with the market per se,
it may be the market questioning the quality and durability of earnings,
with perhaps tougher trading conditions over the next couple of years.

[penrith] 19/3/2019 20:38

Dont worry we have all done it! Just need patience this is currently all about the shorters.GLA.

[boraki] 19/3/2019 15:13

Mmmm. just my luck, bought at 1.40p

[vikingwarrier] 19/3/2019 14:30

Heavily shorted today by the looks of it

[boraki] 18/3/2019 20:42

Mmmm, I will do, thanks

[hampton58] 18/3/2019 16:14

I agree, however would prefer the stock to move another 30%, before private equity moving in.At these levels it is ridiculous cheap.My opinion anyway.Ps Look at Avacta , up over 50% since rights issue , immuno oncology, the M&A area to be in .