The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Sharesport, I am for sure not happy about todays debacle of a Profit Warning from the Ceres management team. Why would they say now in July that the JV is only 'targeted to be signed this year'? There is a lot of year left and they told us last Autumn it would be signed by last Christmas. What do they know that we don't? And why did the SP plummet yesterday, the day before this announcement - it stinks. Who knew this was coming, but in advance, it is wrong on many levels.
I sold las week on a technical basis to be surprised by a further meteoric rise on zero news which did not make much sense. Was aiming to buy back in at the 3.40's but will not touch this with a bargepole at that price now we have had confirmed the 'golden goose' news may or may not even happen this year. Bye for now, and yes I expect appropriate 'feedback' from the hardcore LTH members :)
Take a look at the RNS from this time last year. It is in there.
Clearly a lot of good capital investment in the last year but the headcount is up to circa 700 now I believe which will cost the company at least £40K per head, so that is the best part of £30m per year and growing.
Even the Doosan update is concerning "Building construction is nearing completion on Doosan's 50MW factory in South Korea. All machinery and processes have undergone factory acceptance testing, and is on track for installation and commissioning to achieve first production in 2024."
Understanding large scale industrial installation, it is very ambitious to expect the facility construction completion, kit delivery and then full and successful equipment and process qualification to be done in circa 20 weeks. It is possible but very risky. The machinery may well pass Factory acceptance testing on the suppliers shop floor, but after transit to a new build facility, and linking in with the machinery of often other suppliers it has quite some extra risk to then start producing using what is a technically complex production process. I have seen the cells being made in Horsham years ago. It is possible but very ambitious and risky. I can see that being the next negative RNS this Q4.
Https://www.retailgazette.co.uk/blog/2023/07/retail-sales-up-june/#:~:text=British%20Retail%20Consortium%20chief%20executive,and%20books%20performing%20particularly%20well.
Hopefully that will translate to a boost in sales, even if Q3 has started a bit on the damp side.
Yes, agree that is clearly what the article says and it doesn't explain the why. Time will tell. However my view is these locations are not the jewels in the crown so no real loss and will only lean the business. Respect your view though. GLA.
Https://www.thesun.co.uk/money/23102133/superdry-closing-stores-high-street-shut-shops/
And the link from yesterday - reference my last post
In my view closing underperforming stores is a very positive sign of active cost saving and making the remaining brand more profitable. Especially as they have been investing in much better locations such as London Oxford Street flagship store and Battersea Power station new London Retail outlet.
At this SP and JD investing millions of his own skin in the game every few months, this has to be a mid term winner, even a 12 month winner.
If the article I linked is correct - it says the takeover would be at the highest price the SP has reached in the last year. So the SP was a 1 year high of 1.65 in Jan 2023 but in April only 87p. So if you wait till April 2024 and the SP remains depressed the takeover SP could be as low as in the 80p's.
Interesting though as you would expect the SP to rise naturally as inflation comes down and interest rates peak/fall. Look forward to the next RNS company update! GLA
Back in with 70,000 shares this morning. Risky trade but big potential reward if and when cost of living crisis abates and/or JD purchases shares to enable a mandatory bid in reaching 30% ownership threshold (currently at about 26.5%). I think that is just another 3m shares or so.
https://burlingtonslegal.com/insight/when-do-you-need-to-make-a-mandatory-offer-under-the-takeover-code/
Indeed HappyDazes!, not everyone is aligned with the old school who feel empowered to judge content on this board. I sold 14K shares at the 200 day moving average of 3.63 like you and bought back in 15K shares this morning at circa 3.37. Gonna hold for a while now having traded initial 11K shares up to 15K. It is true you cannot time the market and yes I have been bitten more times than not. However, technical analysis (or "Tosh" as Damers proclaims) is just one of many approaches. As it happens I think the SP could go down to the 50 day moving average of 3.18 and do hope this has now become 'support' rather than 'resistance' but I am happy with the current price - Again, GLA and all the best :)
Just a bit of a slowdown , at the 200 day moving average after a lovely run up, but I'm thinking plenty of more upside to come with company news:
https://lse.swingtradebot.com/equities/CWR:LSE