Shoe Zone Share Discussion Threads

[eezymunny] 01/2/2022 13:35

What a load of cobblers IMO. Inflation, tax rises, utility rises, petrol rises are all going to bite hard into the disposable incomes of buyers of cheap shoes one would think.

SHOE may do just fine, but you lot are way beyond glass half full IMO. Fill it up landlord, we´re already happy and rampy!

[kemche] 01/2/2022 13:30

As interest rates rise and inflation continues apace these should do well along with all retail establishments.

[eezymunny] 01/2/2022 13:19

bountypunter

"generally speaking (with a few niche exceptions such as Joules) retail is thriving"

and the measured facts...AIUI



"Retail sales in the UK dropped 3.7% mom in December of 2021, the biggest decline since January and following 2 months of strong retail sales growth, due to the rapid spread of the omicron variant and as consumers anticipated most of the Christmas shopping to earlier than usual. Figures came much worse than market forecasts of a 0.6% fall. Sales were down by 7.1% in non-food stores with falls in each sub-sector including department stores, clothing stores, other non-food stores and household stores"

[bountyhunter] 01/2/2022 13:03

Joules is a lifestyle brand, nothing like ShoeZone. In fact I had never even heard of it until today. No one needs a lifestyle brand, but we all need shoes. The factors above affect all retailers but generally speaking (with a few niche exceptions such as Joules) retail is thriving.

[eezymunny] 01/2/2022 09:54

From JOUL today:

"Weaker than expected revenue in January, in part as a result of the negative impact of the Omicron variant on retail footfall (down 36% vs. the comparable period two years ago) ;

· Delays to new stock arrivals as a result of global supply chain challenges, resulting in a lower full price sales mix, in turn impacting revenue and gross margin;

· The continued impact on gross margin of increases in freight, duties and distribution costs; and

· Continued operational disruption, lower productivity, and higher than expected costs within the third-party operated Distribution Centre (DC). DC costs for December and January were c.£1.2m above expectations, which is more than double compared to the prior year. In the second half of FY22 so far and post peak trading, wage rates have reduced but are still higher than seen in the comparable prior year period."

All problems that SHOE will be dealing with to a greater or lesser degree one would think. All short term stuff of course. Forecasts for SHOE pretax seem to be 6.5m for 2022 down from 9.5 in 2021. One wonders if even that is a tough target.

[zangdook] 26/1/2022 12:22

Total number of voting rights held in issuer 2,636,506.00

What numpron put decimal places in that box?

[tomtum1] 26/1/2022 12:06

RNS funds buy in now :)

[1realist] 21/1/2022 08:31

Good results from WRKS and great news for retail as a whole. They had a pre-tax loss of £1m for the 6-month period to October 21, compared to a £12m profit for SHOE in the same period. Yet they are still so bullish about the next 6-month period (despite well highlighted business rates and freight costs), that they are forecasting big profits for the full year and a reintroduction of their dividend payments within the next 6 months. Very good news for retail as a whole, and SHOE still easily the best pick in this sector for me.

[eezymunny] 21/1/2022 07:40

Also interesting from WRKS finals last time "Store property costs decreased by £11.6m compared with FY20 as a result of COVID-19 business rates relief of £14.1m (FY20: £1.0m) and negotiations with landlords to reduce rents or obtain rent free periods when stores were closed".



Estate is c 20% bigger than SHOE?
But gives at least an idea of how much profit was flattered at SHOE by business rates relief.

[mongrels3] 21/1/2022 07:35

Interesting trading update from The Works this morning:

Sales in the 11 weeks since the end of the Period (October 31st) have remained strong, with a two-year LFL growth of 9.0%.

[zangdook] 20/1/2022 08:05

I can't take these people who write the fool seriously when they keep using the term 'penny stock' in this silly way.

[tole] 19/1/2022 17:35

https://www.fool.co.uk/2022/01/19/1-surging-former-penny-stock-to-buy-in-2022/1 surging former penny stock to buy in 2022!Jabran Khan | Wednesday, 19th January, 2022 | More on: SHOEBritish Pennies on a Pound Note Image source: Getty ImagesPenny stocks are often seen as risky investments. I like to look for these small-cap contrarian options for my holdings. One could be a diamond in the rough and offer me lucrative returns in the longer term. Here's one pick I would add to my portfolio today.Former penny stock on the riseThe Shoe Zone (LSE:SHOE) share price has been surging recently. As I write, the shares are trading for 1,42p. At time last year, the shares were very much in the penny stock category, trading for 51p. A return of 178% over 12 months is impressive.Shoe Zone is a men's, women's, and children's shoe retailer with over 500 stores in the UK and Ireland, and employs 4,000 people. In light of the recent e-commerce boom, it also has an online store and offering which is vital to success due to the changing shopping habits of consumers as well as evolving technology.Why I like Shoe ZoneRetail and the high street have taken a beating over the past few years. Online disruptors to the retail market coupled with more choice have placed pressure on bricks-and-mortar retail. The tide seems to be turning somewhat, however. Recent economic conditions such as rising inflation and energy costs as well as the pandemic has placed pressure on the wallets of many households. Budget retailers like Shoe Zone seem to benefiting. Shoe Zone's extensive store presence coupled with its online offering provide it with a good platform from which to reap the rewards of the need for budget footwear.Shoe Zone's performance recently and historically has been promising. I do understand past performance is not a guarantee of any future performance, however. Looking back, revenue increased year on year for three years prior to the pandemic affecting 2020 results. Most recent audited full-year results were released earlier this month. Before the audited results were released, the initial update in October caused the share price to surge and the Shoe Zone share price to surpass penny stock levels. Revenue was very close to 2020 levels which is encouraging due to 2020 trading being disrupted. Tellingly, online revenue increased substantially compared to 2020 levels. 2020 was a loss-making year whereas in 2021, Shoe Zone recorded a £14m profit. A big bonus for me as a potential investor is the company is debt free.Risks and final thoughtsThe biggest threat to Shoe Zone's progress in 2022 and beyond is that of the pandemic. Many of its stores were closed when restrictions were tightened earlier in the pandemic. With the threat of new variants and fresh restrictions still lingering, this could impact the balance sheet and share price performance.Overall I think Shoe Zone could be a good addition to my holdings and I would buy shares today. I wish I had bought them sooner when they were still a penny stock. I expect trading in the months ahead to be excellent, barring any restrictions, and would not be surprised to see 2022 results surpass 2021 and pre-pandemic results. At current levels, the shares look cheap too with a price-to-earnings ratio of just 10.

[bountyhunter] 18/1/2022 20:21

Shoe Zone To Open New Hybrid Store In Worthing This February

[bountyhunter] 17/1/2022 17:07

I agree a TR1 soon is looking likely. There's a small free float of course and it could be getting smaller!
Twice as many buys as sells today.

[tomtum1] 17/1/2022 16:56

Someone buying in. I wonder is it funds?
Anyway this ones got legs.
Could be looking at 3.00 soon

[bountyhunter] 17/1/2022 16:39

Nice! Yes high volumes of late. One for the top drawer :)

[mark2market] 17/1/2022 15:46

Starting to break out

[thecroots] 14/1/2022 14:02

We should get a shareholding RNS within 2 days. That 1.5m trade is 3% of the company.

[mongrels3] 14/1/2022 10:40

They gave him a score of 12 out of 15 for the share which is very high. And ShoeZone was the winning stock

[tomps2] 14/1/2022 09:25

Richard Crow Pitches #SHOE in the latest episode of PIWORLD's Sell it to the City.

Richard Crow pitches Shoe Zone (SHOE) to Andy Brough, Schroders, Judith MacKenzie, Downing and Stephen English, Stellar Asset Management in the second episode of PIWORLD's Sell it to the City.

Watch the video here:

Or Listen to the podcast here:

[eezymunny] 13/1/2022 13:36

As usual the uneducati simply HATE anything reasonable but negative being said.

Forever uneducati. Forever in the poorhouse...

[bountyhunter] 13/1/2022 09:38

Agree 100% 1R, EezyMunny is so transparent and obviously now shorting or looking for a lower entry point since he sold up, hence the constant negativity since then despite the excellent trading results from ShoeZone, now trading debt free.

[1realist] 13/1/2022 09:18

But you've sold all your shares since November haven't you... absolute scum.