Tasty Share Discussion Threads

[jonc] 29/3/2017 10:32

I have watched these fr around five years and nearly bought at the 55/60p level.

Me and the missus even tried a number of the wildwood restaurants for market research. Ely Cambridge Newmarket and Peterborough.

My impression is that they are quite expensive for what they offer.

I was always concerned by the lack of focus ie Wildwoods Wildwood Kitchens and DimT.

My view currently is that have outgrown the sytems they have in place for managing the business and this is now being addressed.

However there is pricing pressure that will continue to impact for some time.

I will continue watching and eating the occasional pizza and see what transpires.

[twistednik] 29/3/2017 10:11

Kaye's can still turn this around. Def isn't going bust as once you turn roll-out off, these businesses can turn into cash cows (I know this sector well!)and the current debt level isn't out of control.

My problem is that when "growth" companies are no longer growing, their high PE multiple valuations are completely unsupportable and hence pain for the shareholders. Becomes less about growth and more about cash preservation - the double whammy of lower earnings against a lower valuation multiple.

This will now be a longer term turnaround plan focused on i) reinvigorating the brands, ii) improving LFL performance across the estate and restaurant margin through site efficiency, iii) managing underperforming sites through focus and exiting leases if possible. There is no point with a full-speed roll-out if the core concept is either flawed or is no longer hitting 30%+ ROCE.

I would be very interested to see the performance of the recently opened sites as this is a good barometer of whether the concept has legs or not.

Unfortunately without the underlying site-by-site data, it's difficult to determine if this is a 'blip' or something a lot more severe.

One thing for sure, shareholders will need to be in it for the long haul to see any value and even then I feel the risk is more on the downside than upside.

[little rascal] 29/3/2017 09:48

Ok some people after buying yesterday decided to short in small bit and then average down.
Hoping to get quick exit when the way up.
But what's the bottom?

catching a falling knife?

The Kaye's should sells some shares now.

Let it collapse then put their opportunistic at a later stage.

[bookbroker] 29/3/2017 09:25

Wildwood is just a glorified Pizza Express, they opened this elaborate fit-out in an old Burtons Store, opposite is a Piccolino's, and Ilkley already has a PE, but apart from Carluccio's which opened a year or two back there are very few themed restaurants, however the place is mainly full of geriatrics, the young tend to visit in the evening on a weekend, if you want a good time you get a half hour train journey in to Leeds, but not Bradford unless you like slurry!

[little rascal] 29/3/2017 09:07

Yes take it private but not 100p.

Opportunistic bid at 40p-50p.

[smithless] 29/3/2017 08:09

The Kaye's could take this private anytime - 100p?

[bullet ant] 28/3/2017 18:57

Smithless Cash is King. Need to preserve cash here like others have said

Yes you are correct about tangible asset value.

Although when companies do take a down turn theywill be valued at discount. Certain Aim companies trade at 50%-60% discount.

Of course as you may be a patient investor, one would accumulate and hope for the best. It will value out at some point, that's the theory.

The sentiment is very negative here, hence 39% down. I am expect a lot more tears in the next 2 days.

I certainly will not discount sub 50p

[smithless] 28/3/2017 17:13

Jonc - but it IPO'd in 2010 from memory. The current valuation is not much more than tangible asset value. Not a holder, but have a great deal of respect for the Kaye's

[little rascal] 28/3/2017 17:10

I say buy at 50p for a little bounce to 55p-57p.

For the time being keep hitting bid.

[little rascal] 28/3/2017 17:04

JonC

Keeping it very real. Believe me. Corrected my mistakes.

A short day trade for many, could have become a long term holding.


In all seriously who buys a shs on preliminary result when it's down massively?

What are they expecting to change?



Of course some may think it's a bargain at 70p, a few thought it was 84p too , some rebels just below 75p and yet we are 70p.

I won't deny it that some point someone will get a good trade.

[little rascal] 28/3/2017 17:00

So who are selling?

We will just have to wait for a few days to see any delayed reported sells.


Also I am sure you know market sentiment is down meaning, rebellion will be short lived.

Market is thinking ahead.

It's going to be very bumpy ride in the next many months.

[jonc] 28/3/2017 16:54

This is -52% below IPO price right?

12 months on Market is not a track record.



?????????

Keep it real mate.

[smithless] 28/3/2017 16:48

little rascal - what institutional investors? The Kaye's own 42% of the company, Livingbridge (14%) is a VC and is 100% behind them. The only II is Octopus (5%) and volumes today would indicate they aren't selling

[little rascal] 28/3/2017 16:44

Hope you see the rebels tried to fight, look at the trades and it did not bulge.


IIs are running.


Rapid expansion to increase revenue is bad idea when Margin is under pressure. They need to bring up margin up, make each outfit more profitable than expanding.


It's a shame though, companies like that get attracted to listing for expansion purposes then market kills them when they disappoint.

[little rascal] 28/3/2017 16:31

I think their idea was, expand rapidly. Then hoping for take-out. This is a competitive segment.

Inflation meaning people have less to spend on.

They need close down at least 20 to become a bit more nimble before it's too late.

PARTY IS OVER.

BURNT FOOD TASTES BAD

[bookbroker] 28/3/2017 16:27

Wildwood, Ilkley must be losing money, prime corner spot in old Burtons, never seems busy, it'll be closing sooner or later, Ilkley not a sophisticated town, got Betty's but not a lot else!

[little rascal] 28/3/2017 16:26

Would anyone disagree that an II(s) are selling?

MMs filling their sells.

[little rascal] 28/3/2017 16:24

They should put a stop to opening new outfit.

[little rascal] 28/3/2017 16:22

The market is thinking ahead.

what will be losses in 6 months time?

This kind of business does not turn around in 2-3months.

Pretty sure you know this.


KEEP SHORTING.

FORCE II OUT

[little rascal] 28/3/2017 16:19

You do not need to be brave but smart.


Sub 60p tomorrow morning on the way to 50p close I suspect.

[smithless] 28/3/2017 16:15

You would have to be brave betting against the Kaye's not turning this around. Track record second to none.

[little rascal] 28/3/2017 16:15

Punters about to learn a lesson, how a day trade will become a long term losing trade here.


VOMIT IT IF IT TASTES BACK


II will start selling and the drip drip drip effects will accelerate