BGR - Briscoes Valuation

[KJ]

Yes the market may come back but it may keep going up for the next 6 months...

FBU has been trending up for the last four months. With Chch, Mainzeal etc I can't see any reason for it to fall below $8. The current share price is forward looking and that seems completely reasonable to me.

BGR has been trending up for the last 12 months. I can't any reason for it to go backwards as they keep producing better and better results. Doesn't BGR pay a good dividend?

My FBU comment was a bit tongue-in-cheek.I have been posting on that site & am aware of where it's at.

I have said all I want to say re BGR & you want to keep telling me I am wrong to sell.I am the first to say I could be.However I have made a good profit.BGR's share price is up about 80% in the last yr & it's profit will be up about 10%-sound OK to you? Give me your estimate of 2014 profit & share price.

[emearg]

My FBU comment was a bit tongue-in-cheek.I have been posting on that site & am aware of where it's at.

I have said all I want to say re BGR & you want to keep telling me I am wrong to sell.I am the first to say I could be.However I have made a good profit.BGR's share price is up about 80% in the last yr & it's profit will be up about 10%-sound OK to you? Give me your estimate of 2014 profit & share price.

No I'm not telling you you're wrong. You made a decision based on lots of variables I'm not aware of. I said it was in a uptrend and I can't see any reason for it to go backwards. I may be wrong but as a long term I holder I'm not worried about short to medium term adjustments. We both get to make our individual calls.

Yes you have done well. Good work.

I don't have an estimate and trying to pick the share price is not something I can do. I was surprised when it got to $2 as it had been below $1 for such a long time and not much had changed. Just market perception it seemed to me. And here it is at $2.5 Where to from here? I don't know, but as noted I can't see any reason why it should fall and therefore I can't see any reason to sell. If I could see a reason for it to fall then I would consider selling as holding under those circumstances would be foolish.

Sorry if you felt I was trying to wind you up.

[KJ]

That's fine Emearg -good luck with the hold.If I get the chance I will buy back in at $2-2.10

[SCOTTY]

www.stuff.co.nz/business/8394274/Online sales

Online sales drive Briscoes result - powered by: www.estaronline.com

[macduffy]

Another record interim result from Briscoes.

http://www.stuff.co.nz/business/indu...esult-pleasing

I hold a few.

[boofters]

Being a biased MHI holder, it makes me think MHI is under valued relatively speaking.

Mkt Cap are more or less identical and yet BGR abilities to grow through increasing margin will be very difficult..read impossible within any online model IMO, which Rod seems pretty bullish on
"We are encouraged by the growth in online and will continue to focus resource to ensure development of this key area of our business.”"
Good luck to him but he aint Jeff Bezos

one skeptical boofters

[SCOTTY]

Being a biased MHI holder, it makes me think MHI is under valued relatively speaking.

Mkt Cap are more or less identical and yet BGR abilities to grow through increasing margin will be very difficult..read impossible within any online model IMO, which Rod seems pretty bullish on
"We are encouraged by the growth in online and will continue to focus resource to ensure development of this key area of our business.”"
Good luck to him but he aint Jeff Bezos

one skeptical boofters

BGR uses the EstarOnline Ltd ecommerce technology and platform. Sales growth and future focus for BGR online sales must reflect well for www.estaronline.com

Cheers

[Schrodinger]

Briscoes announces a good result and other retailers complain about online competition from overseas. Maybe other less well run companies should up their game and improve their offerings instead of blaming progress?

[samdaman]

Briscoes announces a good result and other retailers complain about online competition from overseas. Maybe other less well run companies should up their game and improve their offerings instead of blaming progress?

I could be wrong as I'm new to this all but it could be due to the fact that briscoes offers items that can't be confidently bought off the internet or from overseas, like furniture and outdoor attire. Since a lot of people buying those sort of items don't want to just ship it in from overseas on the basis of a picture it may be securing in a portion of their customer base as people don't want to order a green set of chairs to find out that they're a sort of yellowy green and the picture the saw was taken in a funny light.

on the flipside, places which are mainly clothing brands can be undercut massively like sites like asos where the clothes and shoes are decently priced and the shipping is free. That only adds the appeal of a fairly priced item and you didn't have to leave your house to go and get it.

[Harvey Specter]

I could be wrong as I'm new to this all but it could be due to the fact that briscoes offers items that can't be confidently bought off the internet or from overseas, like furniture and outdoor attire. Since a lot of people buying those sort of items don't want to just ship it in from overseas on the basis of a picture it may be securing in a portion of their customer base as people don't want to order a green set of chairs to find out that they're a sort of yellowy green and the picture the saw was taken in a funny light.

my guess is most Briscoes stock is actually quite small - kitchen stuff, sheets, etc. The odd bit of furniture but most of the stuff I have bought from there is kitchen related.

The wrong sort of plugs may have an impact as a kettle bought from amazon.com (now with free shipping to NZ) would need to be rewired.