Our Haven
28 Mar 2017
Buy or Sell? Given the fundamentals I am going to hold. Though all time highs worry me i am happy to hold WOS in my portfolio as the numbers still look good. Hard in fact to see a core growth story like this elsewhere. I may be proved wrong but if it falls from here most must be happy to take their gains nevertheless. The upside is still appealing.
II Editor
28 Mar 2017
NEW ARTICLE: Shares near 10-year high as Wolseley changes name "It's been a busy morning for blue-chip plumbing goods supplier LSE:WOS:Wolseley following an action-packed set of first-half results, which sent its share price up 8% to its highest in almost a decade Tuesday.The headline news was a 25% jump in ..."[link]
II Editor
28 Sep 2016
NEW ARTICLE: Wolseley attracts bets on bounce back "A 4% slump in the share price was not how John Martin would have liked to start his reign as boss of LSE:WOS:Wolseley. Less than four weeks after his promotion to the top job, he had to report an earnings miss and downturn in the UK ..."[link]
nk1999
08 Jun 2016
Telegraph- Questor "Wolseley shares fall on sales slowdown: Plumbing supply business Wolseley has suffered a 10% share price fall after a lackluster third quarter trading update last week. The company generates the majority of its revenue and profits in the U.S. and warned that industrial markets, which contribute about 14% of the U.S.’s £8.3 billion revenues, experienced weaker demand. The company operates the Ferguson brand in the U.S., where orders have been lower due to a slump in activity from oil and gas-related customers. The global commodity slowdown has also hit trading elsewhere. Canada showed 0.1% like-for-like revenue in the third quarter ended April, but gross profit margins were lower. The Nordics business, which covers Denmark, Sweden and Finland, showed a 2.6% fall in like-for-like revenue as bad weather hampered sales. Trading is still tough in the U.K, Wolseley’s home market. Here, like-for-like revenues were down 0.4%, during the third quarter as repairs and maintenance remain weak. The company will report on a review of U.K. operations in August. Wolseley as a whole reported 2.8% like-for-like revenue growth. The concern is that the U.S. juggernaut is showing signs of slowing and that leaves the shares trading on 15 times forecast earnings looking exposed. The company reports annual results on September 27, with the market expecting revenue of £14.3 billion and pretax profits of £860 million, giving 246p in earnings per share. Looking back to the previous peak in 2006, the shares fell almost 90% during the next two years as the slowdown hit. Sell. Wolseley at £36.89 -57p. Questor says “Sell” ".
Simbr
02 Jun 2016
Q3 pulled this off Research Tree: resilient Q3 performance, against the backdrop of tempering demand in number of its international market and commodity price deflation. Price deflation in the US continued to affect the Group's revenues, with a 2.3% reduction in LFL revenue growth. While +5.0% growth in LFL revenue in the US were stronger than Q1 and Q2 (+4.5% and +4.0%), boosted by strong growth in Blended Branches, Waterworks, Heating, Ventilation and Air Conditioning, Fire and Fabrication and B2C businesses. In the UK, repairs, maintenance and improvement markets remained weak, but the Group made good progress reviewing its UK operating model which expects to be completed by August. In the Nordic areas, adverse weather conditions and the reduction of tax incentives impacted spring sales. In Canada, weakness in the oil prices in the West was offset by relative strength in the East. In Central Europe costs remain tightly controlled, which resulted in a slight improvement in gross margins. Overall, the Group's trading profit was encouraging, positively impacted by the extra day of trading, representing an additional £6m together with favourable exchange rates which added £11m. Post the period, the Group said LFL revenue growth so far in Q4 is about 1.0%. To summarise, although the outlook provided by the management remained somewhat unexciting, we believe Wolseley's ongoing restructuring in the UK and Europe, together with management's ability to adequately acquire and dispose assets will continue to deliver growth over the longer-term. With its full year outlook for trading profit (before restructuring costs of £20m) remaining in line with current consensus analysts' estimate at £925m.
Simbrad
02 Jun 2016
AlphaValue also published one: "Wolseley reported H1 FY16 results below our estimates. In Q2, the lfl revenue growth declined sequentially for the fourth straight quarter, clocking +2.3% (vs our estimate: +4.2% and management guidance: +4%), pinned down once again by weak industrial demand in North America (the adverse impact of low oil prices, a stronger USD and destocking by manufacturers; accounts for c.15% of US sales and c.10% of Canada) and ongoing sluggishness in the UK’s RMI activity (lfl growth: -2.9% vs Q1: -1.1% and Q4 15: +3.1%; c.15% of group..."
Simbrad
02 Jun 2016
Beaufort's note from this morning: "Wolseley delivered a resilient Q3 performance, against the backdrop of tempering demand in number of its international market and commodity price deflation. Price deflation in the US continued to affect the Group's revenues, with a 2.3% reduction in LFL revenue growth. While +5.0% growth in LFL revenue in the US were stronger than Q1 and Q2 (+4.5% and +4.0%), boosted by strong growth in Blended Branches, Waterworks, Heating, Ventilation and Air Conditioning, Fire and Fabrication and B2C businesses. In the UK, repairs, maintenance and improvement markets remained weak, but the Group made good progress reviewing its UK operating model which expects to be completed by August. In the Nordic areas, adverse weather conditions and the reduction of tax incentives impacted spring sales. In Canada, weakness in the oil prices in the West was offset by relative strength in the East. In Central Europe costs remain tightly controlled, which resulted in a slight improvement in gross margins. Overall, the Group's trading profit was encouraging, positively impacted by the extra day of trading, representing an additional £6m together with favourable exchange rates which added £11m. Post the period, the Group said LFL revenue growth so far in Q4 is about 1.0%. To summarise, although the outlook provided by the management remained somewhat unexciting, we believe Wolseley's ongoing restructuring in the UK and Europe, together with management's ability to adequately acquire and dispose assets will continue to deliver growth over the longer-term. With its full year outlook for trading profit (before restructuring costs of £20m) remaining in line with current consensus analysts' estimate at £925m, Beaufort..." From Research Tree
II Editor
29 Sep 2015
NEW ARTICLE: Wolseley springs £1.3bn leak "A slowdown in the US and competitive UK market will hit Wolseley's profit this year and the British firm is trading near a year low. It's been a knock-out year for LSE:WOS:Wolseley's US plumbing and heating business, but with competition in the ..."[link]
II Editor
17 Aug 2015
NEW ARTICLE: Wolseley still has 15% upside after rally "focusing on market outperformance and improving its margins, LSE:WOS:Wolseley has succeeded where many have failed. Grey clouds loom ahead in the shape of slowing US construction growth and interest rate rises, but analysts at Citi Group are ..."[link]
II Editor
24 Mar 2015
NEW ARTICLE: Wolseley looks pricey "Relying on its US business to offset disappointment in Europe has become part of LSE:WOS:Wolseley's results day rhetoric. And the trend was little different in the six months to 31 January. This time, however, an impairment charge of £245 million ..."[link]
II Editor
15 Dec 2014
NEW ARTICLE: Trends and Targets for 16/12/2014 "WOLSELEY ORDÂ (LSE:WOS) has seen its share price take up residence in an unhappy place. But as the chart for the last 5 years shows, it's not that big a deal as the indication of coming reversal to 3311p still leaves the price comfortably ..."[link]
poley
26 Nov 2014
U.S side of biz hit on interest rate hike The U.S makes up 55% of sales. Growth is tapering off in the U.S BIZ. Every other region is slowing for this company with central europe trading profit halving for the period. The London property scene in cooling off already.The mere threat of interest rates going up could slow construction spending imo, and as soon as the U.S growth slows then this overvalued stock could tank.Big director selling backs this view up imo.
