MHJ - Michael Hill International.

[Nevl]

well $8.50 about 5 months early. Never mind. I think that was a bit conservative now that Canada is truely up and running. $0.5 mill for 6 months. Canada will probally give a full year profit of close to 2 mill. Am sitting at the beach a very happy man. Another year like this and I can relax.

[Nevl]

Ok at $9.50. with good prospects and another encouraging sales figure. To sell or hold that is the question. With another 5% of shares being cancelled. I think the price will be well supported for the next 12 months. A good full year result will maybe push it over $10. I think I am going to hold. What about you rmbbrave?

[blackcap]

quote:Originally posted by Nevl

Ok at $9.50. with good prospects and another encouraging sales figure. To sell or hold that is the question. With another 5% of shares being cancelled. I think the price will be well supported for the next 12 months. A good full year result will maybe push it over $10. I think I am going to hold. What about you rmbbrave?

and then the inevitable share split on supposes

[craic]

Ten dollars may seem a good figure but a rise to $10 is only a 5.25% increase. Good if it happens in a month or so but mediocre if it takes longer. Disc. holder

[rmbbrave]

Nevl,

It seems to be a good time to hold retail stocks.

Spending binge unrelenting

April 14, 2007 By Brian Fallow

Strong retail sales data for February caused the dollar to jump yesterday and has money markets now viewing another interest rate rise as a question of when, not if.

When seasonally adjusted, sales were 1.9 per cent higher than in January and 6.3 per cent ahead of February last year, Statistics New Zealand said.

If the volatile automotive sector is excluded, the results were even stronger, up 2.3 per cent for the month and 8.2 per cent for the year.

http://www.nzherald.co.nz/section/3/...ectid=10434167

Unemployment is at a 30 year low or something, surely some people will sqaunder their wages on baubles. I'd never buy anything MHI sells but I'll hold on to MHI for a bit more, I think.

[cjh]

Sure the MHI sp has done well but i think the management still get fat heads with marketing at times, eg-
Own brand 'M/Hill watches', how many women will be proud to show their new purchase off to mates "oh, its a M/H brand" -instead of known long standing brand names, even Lorus etc.
They have been watching too many supermarket or clothing own brands go well but forget their basic best sellers are low cost items and this latest move is giving more watch sales to the pascoes/prouds/angus + coot group.

cjh

[baxter]

I 've followed the progress of this share since it was floated.I almost bought in at 73 cents but decided it was too dear and put most of my money into property, Robert Jones Investments. MHI held its value in the face of all logic during the crash and the RJI shares I held at a top value of 350K will be forcibly repaid in a month or so for less than 2K. I held on to them as a permanent reminder of my own stupidity.

[Halebop]

quote:Originally posted by cjh

Sure the MHI sp has done well but i think the management still get fat heads with marketing at times, eg-
Own brand 'M/Hill watches', how many women will be proud to show their new purchase off to mates "oh, its a M/H brand" -instead of known long standing brand names, even Lorus etc.
They have been watching too many supermarket or clothing own brands go well but forget their basic best sellers are low cost items and this latest move is giving more watch sales to the pascoes/prouds/angus + coot group.

Probably worth waiting and seeing what happens. I personally think it's a smart choice.

MHI understands margin management better than the former ANC did. House brand product typically delivers a higher margin than name brand because you aren't paying for the "name's" marketing & margin. If it works it will be much more successful than just being "another" distributor of someone else's product. If it doesn't work they can switch product or dump the line altogether. MHI are number centric and have shown themselves to be "not too proud" to cut losses when a mistake is made.

[Halebop]

quote:Originally posted by baxter

I 've followed the progress of this share since it was floated.I almost bought in at 73 cents but decided it was too dear and put most of my money into property, Robert Jones Investments. MHI held its value in the face of all logic during the crash and the RJI shares I held at a top value of 350K will be forcibly repaid in a month or so for less than 2K. I held on to them as a permanent reminder of my own stupidity.

Ouch! ...Bob Jones is still doing OK though [xx(]

[Nevl]

up to $10 is a small return but the divi yeild is also 5% and there is ample room for further growth give retail figures and further expansion in Canada. MHI seems to have a staircase like chart where it runs up quickly then levels off then as the market catchs up again it takes off again. Still the steady amount of Divis and price appreciation is enough for me to keep this as a cornerstone of my long term portfolio. Also ASB like to lend 60% on this one. Allows me to play with other shares on the profits from this one.