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Sorry Cheapsharesboy, ones punctuation has always led me to the carpet)) Have a good day.
I'm sorry I've read it wrong but the punctuation was missing.
Gla
Finally valueplayer you are reading! All your listed concerns and MORE are factored into SP back in March, board put out the response in various news including recent GM. Food continues to grow incrementally, and forecasts are good without Ocado, non food floor space closed, reduced in size, space given to food. Sites moved where possible to property with cheaper rents . Staff reductions in news in mngt structures don’t include store closure staff reductions and temps who have since gone, you can treble the 950 staff cuts. Remember rent and wages are nearly 70% of the operating costs . Over £1.2 B of new season for spring and summer is in storage for next year so cost of goods in 2021 will reduce by 10% and commercial gross will lift. Capital costs for new projects frozen-so by Sept they will be set up to trade Christmas. Clothing basics and food will run through Ocado with 2k more SKU’s than Waitrose plus an increase of 1000 more Ocado SKU’s which also M&S benefit 50% from EBITDA. International stores are performing at +7% L4L at current trading, and the concessions are delivering increased Gross profit and ebitda due to an increase of 8000 extra tertiary M&S SKU’s that are manufactured for the group and sold to concessions at a prem. Ocado Andover may open sooner than planned which will give extra capacity for Christmas 2020, fingers crossed. The new M&S DC in MK helped them close 2 small warehouses and massively increase food logistics, and they have opened on the back of owned stores warehouse hubs which has improved products availability substantially-in June they recorded 99.2% availability-their highest in decades! I could go on and on, there is lots to talk about, I invest in leadership and the improvement journey the company is on, its more profitable, destination arrival is rarely profitable and time to sell . I see M&S journey as profitable from 78p on 16 March (don’t ask me again) to £2 within 1.5yrs, admittedly I will sell at £1.60-£1.70 before that date . Hold onto the shares, sit tight and count the days down to dividend return and equity growth. Short term £600m cash flow is healthy, debt at £4b and reducing to £3.2b 2021 is not healthy and gearing levels will continue to be an issue until 2023 I guess. I believe the sales of £9.2 b 2020 is likely to grow faster than their estimates of 10b 2021 to more like £12b and EPS likely to be 6.0 in 2021. Gearing is a worry in 2022, however if the SP has lifted back to £2-£2.50 then they won’t need £3.2 b more like £1 b. SP currently held back by CV19 as nearly all sales are bricks, however Ocado and other digital improvements will lower risks by 25% and this should be reflected in a higher SP short term-Nov’20. I think in my opinion £1.35p is realistic by Dec’20. DYOR. Good night I rise late tomorrow in Capri with the family
Did say the Ocado deal is "very positive". Didn't say the Ocado deal was limited.
Did say that that "limited short term expansion possible as Ocado currently at maximum capacity". Which is true due to Ocado's current UK retail operations warehousing constraints
As usual anyone pointing out anything negative re MKS is called "downright ignorant"
Sorry but it's downright ignorant to call Ocado deal limited. Rarely hear such utter garbage. I can't believe you just said that. I'm sorry that you are seriously that ignorant. There is a reason that MKS paid 750m for it. Now it would cost likely 1.5-2 billion. It's most likely transformational.
Fact that Ocado can't take new customers is not a limiting factor. Mks will replace Waitrose. Are you aware of these basics? The fact that they can't take new customers is not limiting but encouraging because MKS can sell billions of more food next year with Ocado delivering all the can.
The statements you make are incorrect and misleading
Ocado deal limited?
Seriously?
Do you understand that they can actually increase mks food sales ???
They comment you made is factually wrong!
Remarkable lack of courtesy shown to any new posters on this board who dare to question MKS strategy. To be expected I guess due to year after year after year of share price declines.
Far easier to shout down and tell others to "get a life" than actually engage in discussion.
The share price is being kept down chiefly due to:
The huge vulnerabilities of MKS's 1,519 store network during a time of coronovirus resurgence. Stores in city centres, transport hubs particularly hard hit ongoing due to work from home shift.
Department store model broken.
Decline of the high street, on which MKS has a big presence
Ongoing poor non food performance
Ocado deal very positive but limited short term expansion possible as Ocado currently at maximum capacity, not able to take in new customers
Possible forced store closure due to local/national lockdowns.
There’s a few newbies appearing on here with mixed views, I hope we don’t pick up some more day traders! SP will start to pick up as deliveries start and then again as first month results come in . 1.7% market share Ocado with Waitrose, they expect this to double with M&S, I’m quite sure they are correct, the market improvement will impact on Tesco finest, and indeed eventually Tesco dot com once capacity increases with Ocado . Meat and poultry, ready meals, fruit and veg, snacks and savoury, biscuits & confectionary together with wines will all be winning categories over Waitrose tired ranges, M&S will beat them hands down . Good luck all