Don't want to troll Paul, but what advice would that be? The average so called financial adviser has no more expertise in investing than you or I and almost certainly less than me being a retired financial professional. It's a shame that many people pay these rascals a few hundred quid when they could learn most of what they need to know in the nearest public library.
Ahem, what has "free cash flow" got to do with the price of fish? Just had a glance at the half year balance sheet which will need some sorting after the demerger just a few months ago and my most striking observation is Cash £204m but Payables £317m. Mr Wood needs to sort this disparity as soon as possible IMO. The fixed asset situation is fairly irrelevant as it is very much a personal choice as to whether one owns or leases trading sites - some businesses do it one way and others do the opposite.
cxs1: Don't think I am naive at all. I used to be in the property refurbishment business and found that all to often builders (like one of my former partners) were too idle to seek better/cheaper supplies. I always insisted and we made £thousands extra profits as a result.
Don't know where you get this info from cxs1, in my locality there are at least eight firms doing similar business to Wickes. If that is not competion I don't know what is and it's even easier for tradesmen to check prices these days because most suppliers are on the internet.
This world like Boris becomes more bonkers every week. We have a perfectly stable business (everyone buys insurance) regularly providing shareholders with good dividends but still it gets sold when a fresh panic breaks out over a virus (again like Boris). 40 years ago when I started investing, I cannot recall such stupid behaviour occurring.
RE: Absolutely massive volumes yesterday !!01 Dec 2021 08:49
Yes only the scared/dumb got involved in last friday's sell off. I have made it a rule never to get involved in such panics because over many years I have observed that SPs almost always recover eventually unless there is some factor which directly affects the business.
Yes, usual crackpots sold on Friday what difference yet another mutation will make to DLG's profits is of course zero. There will be another mutation in due course so I must be more ready next time with some cash to buy in at the crackpots' selling prices. It's a shame that the bumbler still panics when yet another one comes along.
Absolutely right Bernado, there are always plenty of loonies about who imagine that the world might end because of a virus. But what difference it will make if you swap shares for cash does not make any sense.
Quite right Avo, but you didn't know that a new mutation would be found in Africa. Mind you, why another mutation should cause the market to turn down this morning is beyond my comprehension. I mean what difference does it make whether you hold cash which always depreciates or shares which tend to do the opposite.
Very interesting, some of these big boys are probably using the shares for "day trading" which can be done quite profitably with penny shares and explains a lot of the ups and downs over the past few years.
RE: New broker rating For what its worth18 Nov 2021 10:24
Paul2566, Sometimes the market goes a bit mental and has to be sectioned. E.g. about this time last year LGEN could be had for around £1.80 (currently £2.90+) which was quite obviously completely bonkers. Within a week or so it was back to £2.60 but a few canny individuals got as absolute bargain before it happened. Now in the case of DLG it seems that they lost a tiny fraction of their business recently which happens all the time but your average looney regards it as some sort of catastrophe and behaves accordingly.
It's not debt in the generally accepted sense of the word which is money you have borrowed and have to pay interest on and eventually repay so to my mind, the gearing concept is inapplicable. This is sometimes the problem with these accounting standards which get put together by the wally accountants on these boards who have little understanding of the unintended consequences principle. When I started out as an articled clerk nearly 60 years ago, we didn't have any written down standards, instead everything was done to accord with what was reckoned to be "fair and true" and the man in the street pretty well knew what that meant as he still does today. However, over the years some business men and their unprincipled accountants have gotten up to various kinds of chicanery as we all know such that a whole bunch of politicians and similar ignoramuses have required increasing amounts of quasi legislation to put it right but with little success. The original concept of "true and fair" seems to have faded into the background even tough it is still perfectly vaild IMO. On this basis a lease is a liability to pay a rent for a specified period of time and if you told the man in the street that it was a debt he would find it incomprehensible. Rant over LOL.