Wh Smith Share Discussion Threads

[ben nevis] 25/11/2005 17:21

Wow - went up a lot.

I'll wait till after the ExDivi on Jan 4th.

Nails, so it isnt such a good short !!

[gchklf] 23/11/2005 14:56

Anyone holding these....short or long?

Would like to say that I'm the latter but....

[tumblers] 22/11/2005 10:23

I sold 5000 at £3.69 having bought at £3.28. I thought it had peaked. Once the dividend is paid it may drop but I am sick as a parrot today at £3.90

[rum and coke] 11/11/2005 13:46

What a dog this stock is. No future as a long term business any more.

[ben nevis] 11/11/2005 13:46

Good call !

need it back up a bit; and I'll jump on.

[iamashardasnails] 11/11/2005 13:08

Looking very good thus far

[ben nevis] 10/11/2005 13:29

No posn yet, but watching.

[iamashardasnails] 10/11/2005 11:41

Hindsight is a great thing, this trade may end positive, it may be negative

as I have said so many times I will hold MKS for the longer term and add when I feel it is appropriate

you short SMWH??

all the best,



Luther

[ben nevis] 10/11/2005 10:04

Found this by clicking yr name... looks good for short...

safer than MKS I think !

will watch.

[iamashardasnails] 08/11/2005 23:43

No growth left in this company, was near 52 week lows a month ago. Right at the top of the trading range today. I filled a large short today at £3.79, my six month target is around the £3.20p level (a cool 20% return). Enough said.

[gchklf] 08/11/2005 22:32

Gotta a feeling this may drop soon.

Anyone else shorting this at the moment?

[tole] 24/5/2005 20:38

Holding up well in comparison to others in the sector over the last few months, though not sure if there is much substance to the so-called rumours imo...

[tole] 24/5/2005 19:42

Sun 22 May 2005
Internet-savvy shoppers leave high street in their wake

BUSINESS COMMENT

TERRY MURDEN
[e-mail]

THERE is no doubt that the high street is a pretty brutal place to be at the moment, but have we really fallen out of love with shopping? Economists have been donning their black caps and warning of worse to come, including Roger Bootle of Deloitte, who predicts interest rates down to 3.5% by the end of next year. John Butler of HSBC reckons there will be a sharp slowdown, forcing rates to fall to 4%.

Yet a number of commentators question the reliability of this doomsday outlook and acknowledge the role that the internet and the early Easter have played in current trends.

A credit squeeze was always likely, and necessary, as consumers piled up more debt. But interest rates can be a blunt instrument of control, while changes in shopping habits are a vital factor in explaining what is going on.

Three weeks ago, I said here that once the effects of the early Easter worked through the system we might see the picture improving. Hey presto! Official retail sales figures for April confirmed that the volume of sales was up!

The doom-mongers who were surprised by the figures were not reading their tea leaves correctly. While the high street is undoubtedly in difficulty - the value of sales fell for the first time in 40 years - it does not necessarily point to a consumer recession.

The rise in volume and the fall in value tells us that there are plenty of shoppers but that shops are slashing prices, partly because the early Easter meant stores were finding themselves with the wrong stock.

The reason for the increase in volumes can be attributed to some degree to the rise in home-based shopping over the internet.

Stores such as HMV, WH Smith and so on, are seeing their 'customers' turn into browsers, examining the goods in the shops before going home to buy more cheaply online.

And it is not just high street stores that are suffering. A lawyer sitting next to me at Kenny Logan's testimonial dinner last week explained how he had searched the internet for a BMW with certain specifications that would have taken him hours to find by touring the car dealers.

He found his ideal motor online - in Stockport - and also several thousand pounds cheaper than he had expected to pay.

Shoppers have not deserted the retail sector, they have simply won control of prices.

[tole] 24/5/2005 19:41

Sun 15 May 2005
Investors go shopping for WH Smith amid talk of takeover

DOUGLAS FRIEDLI

WH SMITH, the high-street stationer, has defied gravity over the past week amid rumours that someone somewhere is about to launch a takeover bid.

The last serious attempt to acquire Smith's ended in December when Permira, the private equity house, pulled out of a plan to offer shareholders 345p per share.

Permira originally meant to offer 375p per share, but reduced its target price after investigating Smith's pension fund deficit.

The lower price seems to have stuck in investors' minds, however, and WH Smith closed the week at 342p, up 24p on the previous Friday.

There are no names in the frame yet but, as usual, analysts are tipping a big venture capital firm to come in and revitalise the business.

Tim Waterstone, who once worked for WH Smith and sold his bookshop chain to the group in 1993, has been talked about as a frontman for a bid. He ruled out getting involved on price grounds last year when the shares were trading at roughly the same price, but chief executive Kate Swann has improved the company's prospects since then.

Takeover talk and the feeling that Smith's is in revival mode has kept the company's shares relatively immune from the bad news which has engulfed other retailers.

Swann had the unpleasant task of announcing the company's worst ever result, a £135m loss, last year. But the company returned to profit in the six months to February.

The chief executive has shifted the contents of Smith's shop shelves away from low-margin CDs and DVDs back to its traditional offering of books, magazines and stationery, which tend to be more profitable.

As well as improving margins, the strategy has made Smith's stores stand out more from its competitors.

This improvement in performance gives investors another reason to buy Smith's beyond the prospect that it might be snapped up.

The only cloud is the fact that the share price has risen by 50p in six months, meaning a bidder would have to be more determined to acquire the group at a time when retail valuations are falling.

[mike24] 26/4/2005 15:15

the airport shops seem to be doing good business, but our local out of town
store seems dead on weekdays, the real pain for retailers is high rents
and business rates, comm landlords will get their fingers burnt trying to
sqeeze every last penny, instead of easing off and looking after their customer
the "tenant"

[impecunious] 03/4/2005 09:32

Big rise on friday. Any specific reasons?

Are half year results due on 22/04/05? Any hints on how these will go (as there were ahead of trading update earlier in year? Perhaps Ottakers results give a pointer.

[daverob] 31/1/2005 10:45

Ordinaries up today 2% so far - presumably because of the Apax Partners bid for Woolies ?

Anybody any views ? (And also about my C shares....!)

[daverob] 26/1/2005 16:24

Its a long term buy for me - either new management will revive it or there will be a bid again. Which is why I wanted to hang onto shares.

Back to the C shares - up 8% today as well, again on no volume !!!

[andy_bristol] 26/1/2005 14:47

WHS is still a short in my books....cannot compete with the likes of Tesco....£3 by March.

[daverob] 25/1/2005 13:37

Calling all WH Smith experts ! I've just realised my (apparently stupid) decision to not redeem the C shares issued last autumn (at 85p) now means I'm left in with the other very small minority in shares that are now worth only c56p (according to MM's).

Any one have any views why the price on these is so low, especially since the main shares have recovered since November ? Or is this a trading opportunity ? I would have thought that someday Smiths will redeem these - and if there is a takeover there might well be a premium on offer ?

What got me thinking is the 7% rise on these today (on no volume !)

[impecunious] 15/1/2005 10:44

In the FT today (page 4), reported that the OFT is expected to announce (as early as February) on the subject of wholesale distribution in the publishing sector. States that there currently three players - Menzies, Dawson and WH Smith. Publishers grant regional monopolies to one of the players.

Apparently guidance due because the law that has prevented third parties (eg. supermakets) challenging the status quo lapses in May in accordance with prevailing European law.

This appears to suggest that some of the WH Smith contract could be challenged and/or a greater degree of price competiton is on the horizon. Does anyone know more about this and the likely implications for WH Smith's prospects?

Isn't the wholesale arm of Smith's currently the profitable bit?

[ajm123] 09/1/2005 22:38

definite sell !

[impecunious] 08/1/2005 11:47

Any views on recent rises? Saw mention of rumour of progress on margins. No mention on level of sales though. Presumably any progress which may have been achieved has been through cost cutting ...?

The general message from retailers appears to be one of challenging times in 2005.

[ydderf] 30/12/2004 13:55

handycam, you brought a tear to my eye, unfortunately there is nil chance of a divi cut because it would be impossible with predators circling, and kate having put some serious dosh into the shares at 326p . i would welcome it though because it would be an opportunity to buy back the shares i have sold xd...oh and btw, smiths doesn't need your dosh, it already has nearly £3bn of sales to work with!