Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on DUNELM GROUP PLC. We currently have 5 research reports from 1 professional analysts.
|13Feb17 07:00||RNS||Director/PDMR Shareholding|
|10Feb17 07:00||RNS||Director/PDMR Shareholding|
|09Feb17 11:37||RNS||Publication of Circular|
|08Feb17 07:00||RNS||Half Yearly Report|
|06Feb17 11:06||RNS||Holding(s) in Company|
|01Feb17 07:00||RNS||Total Voting Rights|
|12Jan17 07:00||RNS||Trading Statement|
Frequency of research reports
Research reports on
DUNELM GROUP PLC
DUNELM GROUP PLC
Positive trading + operational gearing = upside risk
26 Feb 16
Sentiment was heavily impacted by a warning shortly after IPO, partly due to general election jitters which clearly carried risk. It was the warm conditions at Easter/ May bank holiday that magnified the impact though. Whilst ScS’s dependency on these annual events may never go away, our analysis indicates IPO forecasts in outer years could yet be delivered. Indeed, despite a big upgrade in Jan, consensus forecasts still look unrealistically cautious. The 3-year EPS CAGR could potentially be 25% (vs 12% forecast) in which case it would trade on 2.5x cal’17 EV/EBITDA vs DFS 6.5x (relatively mature). Specials could more than double the 8% dividend yield.
Living wage bolsters retail/leisure outlook
26 Feb 16
Recent market turmoil offers selective buying opportunities in the General Retail and Leisure sectors. Key UK macro data-points all continue to look supportive of consumer spending, now with added stimulus from the Living Wage (LW). This backdrop can drive outperformance with reasonable upside risk to earnings and valuations on a 1-2 year view, especially stocks biased to low-to-mid income groups and/or exposed to online and retail parks, with limited LW costs. We advocate a positive stance on 12 stocks based on fundamentals, improving spend dynamics stemming from the LW, and oversold positions or rating differentials: BCA Marketplace, Cineworld, Conviviality, CVS (Corp), Dunelm (NR), Greggs (Corp), Halfords, Marston’s, N Brown, Safestyle UK, Safestay (NR) and ScS (NR). Ret ail & Leisure Sect or
Poised for more profitable growth and cash returns
26 Feb 16
Safestyle saw trading performance accelerate in H2 and the dilutive effects of credit in the mix were much less significant than anticipated. Whilst the gross profit beat was mostly reinvested in marketing and brand repositioning in FY’15, this is unlikely to be ongoing in the new financial year. With strong momentum so far in Q1, the prospect of markets returning to growth helped by the Living Wage, and national competition struggling to make the credit transition, we see risk to the upside. Details of this and the magnitude of the capital return will be clarified at the March prelims which ought to be a positive catalyst for the shares. We reiterate a BUY stance with a 280p target.
Expecting a home run
26 Feb 16
Whilst Dunelm has a strong track record since IPO, the EPS CAGR halved to 7.5% in FY13-16E vs. FY10-13, and FY16 marks the fewest new stores for 7 years. This is all set to change though. Strengthened leadership is deploying a more focused strategy at a time when the spending outlook is becoming more favourable. The quality of EPS will be further enhanced and the FY16-19 CAGR should trend up towards 15%. Special returns will continue (£0.25bn over 3 years). The shares should therefore outperform.
26 Feb 16
Consumer Sector Outlook for 2016 – fundamentals remain good | Conviviality (CVR LN) Building blocks in place to drive growth / re-rating | Earthport (EPO LN) One off hit from Baydonhill customer, core business unaffected | Retail & Leisure Sector Living wage bolsters retail/leisure outlook | M&C Saatchi (SAA LN) Investor day highlights progress at group level and in sports | Skyepharma (SKP LN) Encouraging EXPAREL® outlook
The Crown Joules
15 Feb 17
We believe that own-brand retailers that operate a balanced multi-channel proposition will be well placed to prosper in a competitive apparel market going forward. Joules is one company in particular which we believe will outperform the sector given its loyal and growing customer base, distinctive brand and strong track record of opening profitable space. We initiate coverage on the shares with a buy recommendation and price target of 249p, implying upside of 16.9% over the prevailing market price.
The Slide Rule
12 Jan 17
What is The Slide Rule? The Slide Rule has been designed to dramatically simplify the identification of the best companies in the UK small/mid-cap sector by making a quantitative assessment of the relative potential of each company. At its core, The Slide Rule aims to identify those companies that create genuine shareholder value through strong returns on capital and solid growth, but also present a value opportunity with the potential tailwind of earnings momentum. Companies are assessed within a Quality, Value, Growth and Momentum (QVGM) framework.
N+1 Singer - Carpetright - Recovery has just begun
17 Feb 17
With UK LFLs up 6.8% in Jan against tough comparatives, and Europe LFLs up 5.4% in Q3, the first clear evidence is now visible that the transformation strategy is gaining momentum. Given some uncertainties, market forecasts are yet to reflect this, but upgrades seem likely as further initiatives are rolled out. Despite a recent bounce from its all time low, the valuation is still very low on consensus assumptions, where risk now appears to be shifting to the upside. With scope for re-rating too, our 300p target price has the scope to grow to 500p over 18 months. We re-initiate with a Buy.
Panmure Morning Note 19-01-2017
19 Jan 17
Pets at Home have released a Q3 trading update this morning that will disappoint the market. Group like-for-like revenue growth was just +0.1% through 3Q16 as subdued trading across the Merchandise business weighed on continued strong growth in Veterinary Services. Profit outlook for FY17 remains in line with expectations. Suspect the shares will come under pressure.