EyesonHawk2
27 Jul 2015
6.00 Target price! Howden Joinery Group Plc Rating Reiterated by Jefferies Group (HWDN)Howden Joinery Group Plc (LON:HWDN)‘s stock had its “buy” rating reissued by analysts at Jefferies Group in a research report issued to clients and investors on Friday, MarketBeat reports. They currently have a GBX 600 ($9.36) price target on the stock. Jefferies Group’s target price would indicate a potential upside of 23.56% from the stock’s previous close.Howden Joinery Group Plc (LON:HWDN) opened at 485.60 on Friday. Howden Joinery Group Plc has a 52-week low of GBX 309.00 and a 52-week high of GBX 532.00. The stock has a 50-day moving average of GBX 514.91 and a 200-day moving average of GBX 469.68.The company also recently announced a dividend, which will be paid on Friday, November 20th. Stockholders of record on Thursday, October 22nd will be paid a dividend of GBX 2.80 ($0.04) per share. This represents a dividend yield of 0.59%. The ex-dividend date is Thursday, October 22nd.HWDN has been the subject of a number of other recent research reports. Analysts at Beaufort Securities reiterated a “buy” rating on shares of Howden Joinery Group Plc in a research note on Friday. Analysts at Panmure Gordon raised their price target on shares of Howden Joinery Group Plc from GBX 490 ($7.65) to GBX 570 ($8.90) and gave the company a “buy” rating in a research note on Thursday. Analysts at N+1 Singer reiterated a “hold” rating and set a GBX 500 ($7.80) price target on shares of Howden Joinery Group Plc in a research note on Thursday. Analysts at JPMorgan Chase & Co. raised their price target on shares of Howden Joinery Group Plc from GBX 520 ($8.11) to GBX 560 ($8.74) and gave the company an “overweight” rating in a research note on Thursday. Finally, analysts at Goodbody Stockbrokers Ltd reiterated a “buy” rating on shares of Howden Joinery Group Plc in a research note on Wednesday. Three analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company’s stock. The stock currently has an average rating of “Buy” and a consensus target price of GBX 530.56 ($8.28).In other Howden Joinery Group Plc news, insider Robson,Mark bought 6,816 shares of the company’s stock in a transaction dated Friday, July 17th. The stock was purchased at an average cost of GBX 520 ($8.11) per share, for a total transaction of £35,443.20 ($55,310.86).SEE:[link]
EyesonHawk2
24 Jul 2015
Telegraph Questor says HOLD! Questor share tip: Howden Joinery falls on cost concernsThe kitchen specialist is enjoying steady revenue growth but rising costs take the shine off profits, says QuestorHowden Joinery474.8p-43.2pQuestor says HoldHowden Joinery [LON:HWDN] is enjoying strong trading as a UK housing market recovery boosts home improvements, but rising costs yesterday took the shine off results sending shares more than 8pc lower.Kitchen clean upThe kitchen specialist has benefited from people who can’t move up the housing ladder, deciding to stay put and upgrade their existing home. Sales increased by 11pc to £483m during the 24 weeks to June 13 when compared to the same period last year.Matthew Ingle, chief executive, said: “We are opening more customer accounts, designing more kitchens and selling a wider range of product than ever before.”Investor concernsIt was a strong sales performance but investors were more concerned by rising costs eating into profits. Costs were up £28.8m, or 13pc, to £246.6m, increasing at a higher rate than sales.This meant the operating profits were only up 6pc to £60.9m despite the 11pc increase in sales during the period. The market had been looking for a profit performance around the £62m mark.The company added that in order to maintain the growth rates in the business it will require continued investment.So, while sales will continue to grow impressively, the profit performance will lag. The operating profit margin slipped from 13.2pc to 12.6pc during the first half.Growth plansThe FTSE 250-listed kitchen and joinery group is still a successful and growing company.The company opened 14 new depots in the UK bringing the total to 603, and this is on target for the long-term strategy of opening 30 new depots every year.An overseas expansion is also taking place, albeit at a more moderate pace. The company opened three depots in northern France and there are plans to expand into Germany and Holland.Shares fully pricedShares in Howden Joinery have enjoyed a fantastic run, soaring from lows of 13p in early 2009. The shares are now trading on 20 times the forecast earnings per share. Market consensus is for full-yearpre-tax profits to rise to £211m, giving earnings per share of 25.4p.Questor thinks Howden is a great company but investors are taking a far too rosy view of the future. The building supplies industry has always been and will remain a highly cyclical business. It could be the case that the housing market boom has years more to run. That said, the current share price makes no allowance for a slowdown.The impact rising interest rates on the housing market and consumers is unknown. As an investor, Questor would resisting buying at these prices.SEE:[link]
EyesonHawk2
23 Jul 2015
Re: First Half Brief disapoints!!!!! Bang on malj1......a time to top up for sure!
malj1
23 Jul 2015
Re: First Half Brief disapoints!!!!! Do people understand how this business (or indeed any business) really works? I suspect not! GM continues to rise, giving massive operating leverage. Operating margin drops marginally as the business puts through a step increase in headcount/operating infrastructure to build the business. All companies do this at some point - eg when your warehouse is at max capacity, you can't buy 15% of your next warehouse, but have to acquire the whole thing etc. This step change will be recouped in h2, especially as this is a seasonal upweight period. The LFLs show t/o producing a sharp turnaround/uplift end h1. This clearly accelerates strongly further start h2. With the UK housing market going into v v strong acceleration for q3, this uplift will continue to accelerate, at which point the gm will vomit cash (not that HJ has been lacklustre in this regard anyway). This remains one of the best things I can see right now. Come the end of the year many of the 'teenage scribblers' will be kicking themselves - or more realistically their clients will be wondering how on earth they justify their wages. We shall see.
EyesonHawk2
23 Jul 2015
First Half Brief disapoints!!!!! Howden Joinery posts rise in first-half revenue but operating profit disappoints.Shares in kitchen trade supplier Howden Joinery fell despite the company posting a rise in pre-tax profit and revenue and saying it was well-placed to achieve expectations for the full year, with analysts pointing to disappointment over the operating profit.Pre-tax profit came in at £59.2m, up from £57.2m in the same period last year, on revenue of £482.6m, up from £435.4m.However, analysts expressed disappointment over the 6% rise in operating profit, which came in at £60.9m.The company reported a dividend of 2.8p per share compared with 1.9p in 2014, while net cash came in at £223.3m at 13 June 2015, compared with £217.7m in December 2014.Gross profit margin, meanwhile, was 63.7% from 63.2% last year, reflecting the benefit of exchange rate movements, although some of this was impacted by higher costs, with selling and distribution costs, administrative expenses and other income up by £28.8m to £246.4m.Chief executive, Matthew Ingle, said: "Howdens has performed well, with sales increasing significantly in the first half. Cash generation remains strong, feedback from our depots is positive and we've seen a good start to the second half of the year.”Atif Latif, director of trading at Guardian Stockbrokers, said the numbers were slightly below expectations and attributed some of the downside in the share price to selling after a strong performance into the results.He said Thursday’s weakness in shares was a buying opportunity as the building materials sector could be on the cusp of a positive re-rating.Numis Securities, which rates the stock at ‘add’, said pre-tax profit was just a touch below its estimate of £60m but not a significant miss.At 1024 BST, Howden shares were down 4% at 497.50p.- See [link]
Blanketstacker
20 Jul 2015
Re: director buys Robson and wife sold 600,000+ shares in April, now bought 32,000+. Not a good sign, methinks.
zulu principle2
17 Jul 2015
director buys Am I right that Mark Robson sold a lot in April and then today bought £100k at £5.20
II Editor
12 Jun 2015
NEW ARTICLE: Reasons to be bullish on FTSE All-Share "Like the FTSE 100, the broader FTSE All-Share has run out of steam after hitting record highs in recent months. Both indices are sharply lower over the past fortnight - blame Greece and jitters around bond yields and US interest rate policy - but ..."[link]
White_Rose
05 Jun 2015
Re: Howden much further to go! No wonder Berenberg is recommending HWDN as they were paid for the European roadshow.I also agree with Eyesonhawk2 that British company brands tend to fail in Europe.However, the current and projected European exposure for the next two years is insignificant to the mature UK mature and anticipated expansion.Buy on dips.Whiterose
EyesonHawk2
15 May 2015
Re: Howden much further to go! Hi white van, lonely board this...just me and you! Yes I agree with your view re a European venture. Hope the board remains cautious and only tests the water for now Certainly very happy to hold for now. glk
white_van_man
14 May 2015
Re: Howden much further to go! Not sure on the European adventure, seen too many British companies go down this road and fail.I await developments and act accordingly, but still happy to hold at the moment, further to run yet I hope
EyesonHawk2
14 May 2015
Howden much further to go! Howden Joinery Group Story has Much Further to RunHowden Joinery Group Plc (LON:HWDN) remains a firm favourite with investment bank Berenberg who have just released a glowing analyst note on the company's strategy.Berenberg confirm that Howden Joinery has been a firm favourite of theirs since they launched their coverage of the UK’s mid-cap coverage in 2014, and the share price has continued to deliver since launch.“We remain convinced that the Howden story has much further to run. We continue to be buyers of the shares with a new price target of 530p,” says analyst Robert Chantry in a note to clients.Reasons why HWDN is a BuyThe following factors have confirmed HWDN as a favourite for Berenberg:1) The UK kitchen market fell by 30% between 2007 and 2012. Therefore, despite the recovery seen since H2 2013, we believe there is still material room for further recovery.2) Howden is benefiting from this recovery, with 2014 lfl sales up by 10.8% and up by 7.0% in the 16 weeks to 18 April in 2015.3) Howden has a c24% share in the UK kitchen market. This strong position has been driven by its business model, which is a significant competitive advantage, incentivising customers and builders to work with the company.4) The appliance business offers the potential for increased lfl growth and this is starting to become more important to the Howden investment case as depots continue to mature.5) Howden currently has 589 depots, with management intimating there is a market opportunity to reach “at least” 700. More depots enable entry into more geographies within the UK, and a greater penetration where it is already present.Potential NegativesWe note Berenberg have recently held a roadshow for Howden Joinery in Benelux confirming the firm is starting to eye Europe as key to delivering further growth as the UK market nears saturation.A number of risks are seen in this strategy by Chantry: Some investors have observed that the European kitchen model is different to the UK’s and that IKEA dominates the market and that refurbishment demand is low and volatile.“Only time will tell whether Howden’s European adventure will prove to be a success,” says Chantry.SEE:[link]
white_van_man
06 Apr 2015
Re: Established income payer with solid fina... Some really good research on there albent.They list Sports Direct and Dunelm as Howden's direct competitors, so I popped into Sports today to look at their kitchens, and was given a blank look by the assistant. He said he would suggest it to Mike AshleySeems you have been posting this link on a lot of sites.Umm!Back in the real world, Howden doing fine I am, happy, so are Hawk and Rhigos I think.
albent
05 Apr 2015
Established income payer with solid financial health and growth potential. Interested to hear peoples opinions on Howden Joinery Group (LSE:HWDN): [link]
EyesonHawk2
30 Mar 2015
Recent movement Howden Joinery Group Plc (LON:HWDN) insider Mark Robson bought 11,552 shares of Howden Joinery Group Plc stock on the open market in a transaction dated Thursday, March 26th. The stock was purchased at an average price of GBX 456.95 ($6.83) per share, with a total value of £52,786.86 ($78,868.76).Shares of Howden Joinery Group Plc (LON:HWDN) opened at 439.10 on Friday. Howden Joinery Group Plc has a 52 week low of GBX 287.50 and a 52 week high of GBX 472.66. The stock’s 50-day moving average is GBX 446. and its 200-day moving average is GBX 392..HWDN has been the subject of a number of recent research reports. Analysts at Berenberg Bank reiterated a “buy” rating and set a GBX 525 ($7.84) price target on shares of Howden Joinery Group Plc in a research note on Tuesday, March 17th. Analysts at Jefferies Group LLC raised their price target on shares of Howden Joinery Group Plc from GBX 280 ($4.18) to GBX 380 ($5.68) and gave the company an “underperform” rating in a research note on Monday, March 2nd. Analysts at Goodbody Stockbrokers Ltd reiterated a “buy” rating on shares of Howden Joinery Group Plc in a research note on Thursday, February 26th. Finally, analysts at N+1 Singer reiterated a “hold” rating and set a GBX 435 ($6.50) price target on shares of Howden Joinery Group Plc in a research note on Thursday, February 26th. One research analyst has rated the stock with a sell rating, three have assigned a hold rating and seven have assigned a buy rating to the stock. The stock presently has a consensus rating of “Buy” and a consensus target price of GBX 428 ($6.39).SEE:[link]
