Shoe Zone Share Discussion Threads

[bulltradept] 21/4/2015 09:15

Not quite sure we have a stronger economy mind...

[aishahq] 21/4/2015 09:08

Because the shares are so tightly held and liquidity is so low, only us smaller holders have been able to get out early at 'reasonable' prices. Now bigger holders are being allowed to exit (10-20k plus shares), at much lower prices because they have to accept whatever is given, we can see the share price being hammered even further. I think that trend may well continue for a little while.

As to what's not to like; how about management that can't be trusted, cut dividends, warmer weather for the second half which means lower sales of higher margin winter boots, uncertainty over how bad the numbers actually will be as no guidance was given, low liquidity, high spreads, stronger economy meaning people are more able to buy higher priced footwear elsewhere, increased competition from online retailers, etc

Have I missed anything...?

[reddave999] 21/4/2015 09:06

Tragic to say the least, I am relatively new to this game and whilst I did plenty of research on this one I have just been taught a real lesson. Hey ho I suppose the best thing is to keep cool and get back on my bike:)

[mrx9000] 21/4/2015 09:05

What looks cheap can get cheaper in my opinion. If things were all rosy and tickety boo than there would of been no need to cut/reduce the dividend. A poor RNS in my opinion. I do not rate the management after these announcements. Thankfully just a 0.5% overall loss.

[skip10] 21/4/2015 08:59

The weather forecast is wonderful and they make their money from nice warm shoes?

[macarre] 21/4/2015 08:54

Slogsweep - nobody can claim you don't fly the flag for shoe....

[bulltradept] 21/4/2015 08:42

No debt if I am correct, plus a reasonably dominant position on the high street amongst the poor.

What's not to like at this level?

[saj3] 21/4/2015 08:32

Aishahq totally agree also the divi has been cut which isn't a good sign!

[joe say] 21/4/2015 08:32

14/1 - "Despite the well documented warm start to the Autumn/Winter season we believe that 2015 will be a further year of growth for the Group. The Board continues to see significant opportunities ahead and remains confident that the business will perform in line with market expectations."

21/4 - "the warm weather conditions had a material impact on autumn/winter trading which slowed revenues in the first half. While footwear sales volumes increased, the average price was down due to the different product mix sold" etc etc

A U-turn of the highest order - a view that has changed in three months (and actually given whilst they were in the midst of the trading period itself - so what action did they take ?

time to buy a recruitment consultants shares - this company clearly needs their services

[aishahq] 21/4/2015 08:31

Slogsweep; you really expect them to bounce back at virtually the same price before a massive profits warning an cut in dividend within a week???!! Wishful thinking....

[aishahq] 21/4/2015 08:30

Yes best to forget about the loss and move on. Consider it a business expense.

Still surprised at the management though, what a shambles! They've compounded the effect by not even quantifying how much below market expectations the figures will be. Therefore naturally everyone will assume the worst. Doesn't help the share being very illiquid either.

[slogsweep] 21/4/2015 08:23

Wow what a buying opportunity topped up at this price. I think this company has great prospects, the poundland of the shoe trade, I even wear the shoes they're so comfortable, who cares if they wear out in a couple of years at £10 a pair!

Massive over reaction expect them to bounce back to 250 in a week or so.

[jgoold] 21/4/2015 08:17

I got 190.

[joe say] 21/4/2015 08:16

I got stopped out - but one of the negatives of stop losses is that there's little control over them on awful news days like todays

Trust management will do the decent thing and resign - after all it seems that they are clueless about their own industry/market/performance

[saj3] 21/4/2015 08:14

I got 186p not happy best to take a loss and move on

[aishahq] 21/4/2015 08:13

I think the fact the update wasn't scheduled has caught a few people out too. What price did you get saj3?

I could have sold for a few hundred quid profit but sold instead for a few hundred quid loss. Lucky I didn't buy at the highs!

[joe say] 21/4/2015 08:10

Aishahq - spot one

and I too have exited as a result

[saj3] 21/4/2015 08:07

My sell is showing as a buy!

[aishahq] 21/4/2015 08:04

I'm was out first thing at 216p. Absolutely appalling for the company to say in January:

"Despite the well documented warm start to the Autumn/Winter season we believe that 2015 will be a further year of growth for the Group. The Board continues to see significant opportunities ahead and remains confident that the business will perform in line with market expectations."

Then to say the complete opposite now only a a few months on. And to cut the dividend too, which was the one of the biggest attractions to the company. Lost all faith in the management big time.

[jgoold] 21/4/2015 07:52

Thankfully only bought a few of these!

[macarre] 21/4/2015 07:52

I bet the NT will report tomorrow in his update that he sold all his shares here yesterday.

[funkmasterp12] 21/4/2015 07:40

Really, really poor. As recently as January the company acknowledged the warm weather but still said growth was achievable. Now all of a sudden it's going backwards and cutting the divi!I cursed myself for selling at 220p but that may now turn out to be OK. Holders should be absolutely furious at this.

[saj3] 21/4/2015 07:18

Not a good update

[macarre] 21/4/2015 07:14

Profit warning?