Smith (ds) Share Discussion Threads

[kalai1] 10/10/2022 12:19

DS Smith issued a positive trading statement this morning, trading continues to be very good and consistent with the trends described in the Group’s AGM trading statement. Management now expect adjusted operating profit for the half year to 31 October 2022 of at least £400 million with strong cash generation and progress against all key financial ratios. Overall performance for FY22 is expected to be ahead of previous expectations, primarily driven by very strong revenue growth. Meanwhile valuation is now very attractive and the balance sheet increasingly strong. The macro environment is the obvious cloud here, share price also lacks momentum and is roughly flat through H2. DS Smith is a very good company to own for the medium and longer run and at a very attractive price. Certainly worth monitoring for now...

...from WealthOracle

hxxps://wealthoracle.co.uk/detailed-result-full/SMDS/567

[jubberjim] 10/10/2022 10:54

Better than impressed

What with all the turmoil in insurance shares swapped a few of my lgen into this little darling picked up the dividend sold and went again at 240

Is my favourite share at moment

I needed one the rest are all underwater

[lovewinshatelosses] 10/10/2022 09:28

This company continues to impress me. A better update than I expected and justifies a valuation far above where it is currently, even allowing for all the macro misery, IMO.

[bigbigdave] 10/10/2022 07:09

10 October 2022

DS Smith Plc - trading statement

DS Smith Plc ("DS Smith") today issues a trading update.

Trading continues to be very good and consistent with the trends described in our AGM trading statement. We now expect adjusted operating profit for the half year to 31 October 2022 of at least GBP400 million with strong cash generation and progress against all our key financial ratios. Accordingly, overall performance for the current full financial year is expected to be ahead of our previous expectations.

Revenue growth has been very strong which, together with effective cost mitigation, has driven the improved profitability, despite slightly lower like for like corrugated box volumes.

Miles Roberts, Group Chief Executive, said:

"I am very pleased with the performance in the year to date and the momentum in our business. We remain focussed on delivering for our customers and managing our costs in an inflationary environment. While the macro-economic outlook remains uncertain, performance this year is ahead of our previous expectations and we look forward to the remainder of the year with confidence

[lovewinshatelosses] 08/10/2022 16:29

I would likely buy a final allocation around 150p, if it happened. IMO this is a secular bear market, so plenty more lurches to the downside before we bottom. Hopefully over a 5-10 year timeframe from now, this will revisit higher prices from today.

[exiledscot] 08/10/2022 10:18

How high is a China man when I used to ask my dad how high is that building if I pointed one out.

[loganair] 08/10/2022 09:45

The Paper process is energy intensive, therefore I wouldn't be surprise to see a cycle low of 150p.

[lovewinshatelosses] 07/10/2022 20:03

I would be surprised if it did not test 2 quid at some point in the next six months or so. At which point, I plan to add a few more. Peter Lynch style of time in the market etc. We are going to follow the US markets down, even though our indices are less frothy than theirs. Even excellent companies like this one will follow that trend. AIMO of course and a foreign investor may pounce before that point of course. Or not.

[jubberjim] 07/10/2022 14:26

Dividend helps !

[warranty] 07/10/2022 11:24

Wow, this is really into bargain territory now, just how low could it go?

[lovewinshatelosses] 05/10/2022 15:07

Took a few. Was waiting for 250 or lower, but I want the dividend. Happy to either LTH this one, or might take profits around 300 if we get there fairly quickly on no particular news. Undecided as yet, but this is a quality company so not among my more risky plays....I hope! GLA.

[scotches] 26/9/2022 20:46

Britain is on sale – and the bargain hunters are circling



"Among the myriad headaches this presents for Liz Truss’s new Government is that a rock bottom pound once again turns UK plc into sitting ducks, after scores of British companies were picked off at will by cash-rich overseas predators during the pandemic."

"Guessing who is in the cross-hairs is a favourite past-time of the Square Mile. Analysts at Canaccord Genuity recently drew up a list of 100 companies that it considers to be targets, including household names such as ITV, Next, Greggs, defence giant BAE Systems, and Flutter, the gambling outfit behind Paddy Power and Betfair.

Of those, it singled out Future, the media group, DS Smith, the packaging firm, and Hikma, the drugs company, and nine others that looked particularly vulnerable because they are cheap and cash-rich."

[wiltowin] 07/9/2022 17:05

Trend reversal for smds could have it's head and shoulders above 300p this week..

[unastubbs] 07/9/2022 03:13

receives a "buy" recommendation in The Times' Tempus column today

[cruelladeville] 06/9/2022 13:52

Great move forward buying the gas. If only the government of the country could be that far sighted. Solid yield and decent share price prospects here. I think.

[pughman] 06/9/2022 07:59

Reads fairly solid to me, although in this market will the slight decline in corrugated box volumes in Q1 be seized on. Good to hear 90% of natural gas prices hedged for FY 23 and 80% for FY24.

[unastubbs] 06/9/2022 07:35

We have started the financial year very strongly, despite the current macro-economic conditions. Whilst the industrial sector is showing some weakness, our FMCG business remains resilient.

The increased profitability and cash generation is being driven by improving efficiency and cost increase mitigation as well as successfully continuing to raise packaging prices. Overall returns on capital remain within our medium term target.

Our operating plans and progress to date continue to give us confidence in our outlook for FY23."

[unastubbs] 05/9/2022 04:21

from The Times this morning (week ahead)

"DS Smith, Britain’s premier cardboard box provider, is due to report volumes up by 2-4 per cent after last year’s growth of 5.4 per cent when it reports on trading since the start of its financial year. Peel Hunt believes the strong market driver of replacing plastic packaging will play well to DS Smith, and with price inflation it expects revenues to rise 11 per cent this year to £8 billion for a pre-tax profit of around £624 million, 13 per cent higher than in the previous year."

fingers crossed! 6th, tomorrow is the day - GLA

[roguetraderuk] 24/8/2022 12:43

the recent mondi statement re funds for russian asset sale didnt suggest m&a but instead talked about returns to shareholders so they clearly feel that the mkt isnt cheap right now. you got a bit of capitulation after the ukraine war which saw a bounce but since then its a gradual decline lower, an entrenched trend. i have a v small possie here but i dont think i will be ready to add until we see a capitulation or the covid lows are tested and held. a lot might be in the price but until energy rights itself (prob no earlier than spring next year), its hard to see huge outperformance aside from a bid.

[sun1950] 24/8/2022 12:36

267p is my get out position it’s disappointing to see this in the 260s I’m trying to hang on til 6 Sept don’t know who would buy

[stronghands] 24/8/2022 10:58

Who might be a bidder? And what would be their rationale?

(Interested, not trolling).

I currently do not hold but have held a small investment in the past from 266p to 424p (sold out a bit over a year ago). I've only kept half an eye on this one so need to refresh my memory.

[frederickbloggs] 22/8/2022 16:07

Take over candidate at these price levels?

[unastubbs] 22/8/2022 13:44

ouch!

halved my exposure a while back, took a loss.

ah well, hopefully the dividend is secure, that's the main reason i'm in these.

[sun1950] 12/8/2022 10:57

A trade of 4.1million shares at 292p is interesting