WHS - Warehouse Group

[kiwitrev]

Since the refurbishment the local store (decent size) is well laid out and gives a good impression. On that score WHS have done a good job-now just need to increase margins (they have increasing T/O). I was half expecting the Normans to again be in the market with their million $ dividend but when payday came and went thought I must be wrong-soon find out.

[percy]

Maybe the Normans topping up

Talking of them been in 2 Whitcoulls this week ....the stores make the Warehouse look grandiose in comparison. I believe Whitcoulls are a book shop?

I am told Whitcoulls focus is now a "gift" shop that also sells books!
I think you will see them narrow their book range.

[Bobdn]

http://www.stuff.co.nz/business/indu...oxing-day-sale

The site is down again this afternoon.

I don't believe for a moment that a company that understands the online environment lets this happen on the busiest days of the trading year. Being a retail investor is hard at the best of times, this is just silly.

Edit: it's up again just now. I think I was a bit harsh, still, nothing focuses the mind like having skin in the game.

[dagoldtoof]

TAB online also down....for a couple of hours,m guess saved some $$....Like HLG, might buy, online sales seem to be moving...

[Hoop]

Its this time of year when the media start analysing companies for those people on vacation who have time to read the papers and think about investments...This time of year retail companies come under the spotlight with preliminary Xmas sales figures...

History has shown when the Market opens for that short week smaller media effected investors has a chance to push the prices around...

So...How does WHS look atm ?.....So far Chartwise WHS is not looking great...there are some weak buy signals but its risky to buy in when the price is touching resistance levels. It has potential to rise up to around $3.15ish area, if there is enough buying pressure unfortunately that is not a huge reward for the risk involved ..If it gets past $3.25 with ample volume it would be considered a bullish breakout and should be firing mass buy signals with decreased risk.
The Downside.. WHS is presently hovering around its lows so care should be taken as that $3.00 support must hold (e.g stay out... or... buy with tight stops if you for some unknown reason want to buy in)

Over the longer term (last 5 years) its been a Bull market cycle non performer.
For me (chartwise) I won't be buying in until there's a breakout (+$3.25) and even then I'm not convinced this stock is going to perform above much preferred others.

I have charted a longer term chart (7 years) and will post it on KW's Using TA to time entries and exits thread...It is somewhat complicated and showed (and still showing) an exceptional freaky relationship with Fibonacci numbers and patterns...and for those who can recognise butterfly patterns on a chart there was a huge opportunity for some quick money over a 9 month period (July 2012 to April 2013) when buying in at the predicted bottom!!!

[mikeybycrikey]

Looks like the weather was against them and an expected rush of electronics sales didn't materialise and something about digital TV switchover.

Why is the weather always used as a credible excuse for retail? Profit estimates being cut to $37m.

https://www.nzx.com/companies/WHS/announcements/259586

[biker]

Ahhh, retail. A sector for the very brave or the foolish. ( I admit to being in the latter category) Bailed out of WHS before Christmas anticipating something like this. The risk/reward equation in retail just doesn't stack up IMO.

[biker]

Thanks Satan.
I notice you have recently joined sharetrader.Welcome.
I am a bit of an "anti Christ" myself.!!
For two,three or four years I have been post warnings about the dangers of investing in retail stocks.Not a kind sector for investors.I have had no reason to change my opinion.! ........
.

Spot on Percy

[mikeybycrikey]

A strong kiwi dollar, a mostly buoyant economy, lower petrol prices providing more money for consumers to spend.

Yet it's all headwinds for WHS (and PPL and KMD). Maybe there's something to all those posts that have been calling out WHS management as barely competent.

[BlackPeter]

At current SP it is returning 6% plus imputation credits and has been chunking this out for years. Its one of those shares that if you wait and catch it at the right moment..close to $3 or less ..its going to be a no work/no stress/leave it in the drawer investment. Trying to figure it out is somewhat pointless..it is what it is and I'm happy to leave them get on with it. Returning over 10% PA as a gross div for me. Diners Club card sounds impressive ..will fit the WHS customers perception of themselves. Its an American origin card that very few Americans wanted or used. Looking at the SP history you would have to think there is more upward possibility likely. Over the last 5 years its only gone below 3$ for a one year period. $3 may be the new bottom?

... lets hope they are after the recent announcement still able to pay your juicy divvie ... personally I would think I made in Nov 2014 the right decision when I sold them (at $3.20 or so and with a loss).