sharetrader
Page 1 of 32 1234511 ... LastLast
Results 1 to 15 of 476

Thread: MVN Methven

  1. #1
    Member
    Join Date
    Sep 2009
    Posts
    49

    Default MVN Methven

    Earnings announcement is overdue and share price dropping markedly - suggests annoucement is unfavourable and people with prior info?

  2. #2
    Senior Member
    Join Date
    Jun 2003
    Location
    , New Zealand.
    Posts
    571

    Default

    Quote Originally Posted by Omega View Post
    Earnings announcement is overdue and share price dropping markedly - suggests annoucement is unfavourable and people with prior info?
    I believe that Macquarie released a research report recently highlighting that MVN's major UK account is up for renewal soon and MVN is not thought to be able to renew this supply agreement.
    Last edited by Anna Naum; 13-11-2009 at 09:42 AM.

  3. #3
    Member
    Join Date
    Jul 2004
    Location
    Auckland, , New Zealand.
    Posts
    44

    Default

    Methvens press office told me last week that MVN hope to release results 30th Nov

  4. #4
    Member Penfold's Avatar
    Join Date
    Jun 2009
    Location
    Wellington
    Posts
    107

    Default

    I am trying to work out if his is a value buy now. Anyone else have any thoughts?

    I would appreciate any input.

    Disc. Holding MVN

  5. #5
    Pirate K1W1G0LD's Avatar
    Join Date
    Mar 2009
    Location
    The Pirate Bay
    Posts
    252

    Default

    I emailed the Financial officer of Methven today regarding the sharp fall in their shareprice over the last few weeks . This is their reply (and I quote)


    "The guidance that we provided at the July AGM has not changed and we are not aware of any material factor requiring notification to shareholders or the market.

    We are aware that MacQuarie Securities released a research paper on Methven and believe that this has caused the market activity. I must stress that the views in this paper are MacQuarie's and not Methven".

    they are due to report Monday 30th November, no reason was given for the delay . So it may be a case of reading between the lines here . Kiwigold

  6. #6
    Junior Member Kryptor's Avatar
    Join Date
    Jul 2007
    Location
    , , .
    Posts
    16

    Default Half year result

    Performance Summary

    - Methven Group outperforms half year guidance
    - Net Debt down 47.4% from $35.0M to $18.3M, better than 30% forecast
    reduction
    - Underlying NPAT down 3.2% on prior corresponding period from $4.3M to $4.2M
    (reported NPAT down 15.4% from $5.0M to $4.2M)
    - EBITDA down 11.5% from $9.6M to $8.5M and Operating Revenue down 5.1% from
    $71.8M to $68.1M
    - Fully imputed interim dividend of 5.5 cps to be paid on 31 December 2009,
    same as June 2009 final dividend and in line with guidance

  7. #7
    Member Penfold's Avatar
    Join Date
    Jun 2009
    Location
    Wellington
    Posts
    107

    Default

    Seems MacQuarie was right on the money.

    Strange though how MVN and media do not seem worried at all about losing this major retailer. Looks like they were supplying with tight margins. I still find it a bit concerning but have faith in what is a great company.

    Hopefully will have some luck with new distribution channels.

    Disc. Holding MVN

  8. #8
    An Awesome Cool Cat winner69's Avatar
    Join Date
    Jun 2001
    Location
    , , .
    Posts
    22,743

    Default

    Quote Originally Posted by Anna Naum View Post
    I believe that Macquarie released a research report recently highlighting that MVN's major UK account is up for renewal soon and MVN is not thought to be able to renew this supply agreement.
    Probably now wish that they weren't able to renew this supply agreement

    Looks like Focus was on a slipepry slope back then anyway
    http://www.guardian.co.uk/business/2...e-equity-firms

  9. #9
    Member
    Join Date
    Oct 2009
    Posts
    52

    Default

    What is up with this company? They put out there anual report and every thing looks good. There UK business is recovering. They announce to the market that they expect profits to increase dramatically yet there share price falls?
    Surely this company has plenty of up side? i.e as world markets recover and Asia grows Methen will be in a good position to take advantage of that?

    Or am I missing something? Does this company have good management? Are there some issues with the board?

    Can any one shed light on this company for me?

  10. #10
    Member Penfold's Avatar
    Join Date
    Jun 2009
    Location
    Wellington
    Posts
    107

    Default

    Been holding for about four years. In that time I have never worked out why the market ignores the great yield from a great company. If I was to have a stab at what the issue is, I would say the low volumes of shares traded makes it lumpy as hell, and the capital gains are slow and unpredictable. I have been thinking lately of picking up more if they fall back to the low $1.30's again.

  11. #11
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    12,413

    Default

    Quote Originally Posted by rabcat View Post
    What is up with this company? They put out there anual report and every thing looks good. There UK business is recovering. They announce to the market that they expect profits to increase dramatically yet there share price falls?
    Surely this company has plenty of up side? i.e as world markets recover and Asia grows Methen will be in a good position to take advantage of that?

    Or am I missing something? Does this company have good management? Are there some issues with the board?

    Can any one shed light on this company for me?
    I was interested in investing in this company about 3 or 4 years ago.I had some questions I wanted to ask the CEO.Fella or something like that.Secretary said he would ring me back.Taking his time,as I still have not heard from him.Sort of put me off the company.I do not think they are as clever as they think they are.They are in a competitve market,should they come out with a good product,it will soon be copied and sold cheaper by an Asian competitor.A company on the road to no-where in my opinion.
    Last edited by percy; 02-09-2011 at 06:53 PM.

  12. #12
    Member
    Join Date
    Mar 2006
    Location
    , , New Zealand.
    Posts
    144

    Default

    Methven does a Fletchers... updates the market and loses 10% market valuation.

  13. #13
    Junior Member
    Join Date
    Nov 2011
    Posts
    12

    Default

    OK Gents - this lot have been on my radar for a couple of months as being an "out of favour" stock getting priced very cheaply.

    As I read the numbers on the Methven site investor centre ( http://www.methven.com/nz/investors/five-year-summary ) they make profits every year and seem to be distributing most of it as dividends.

    Recent announcements suggest a $6m full-year profit forecast (within cooee of the last two years) and probably a 6-8c annual dividend still on the cards ... and yet they've dropped to buy/sell range of 100/104.

    I like their products and think that the company is still profitable and likely to get a boost from eventual Chch rebuild - but I'm rubbish at picking a share price bottom - and feel I must be missing something obvious.

    What's the feel with Methven here? Are they a solid share for a 3-5 year hold? Or should I stay away?

  14. #14
    percy
    Join Date
    Oct 2009
    Location
    christchurch
    Posts
    12,413

    Default

    The company is,and has been in a massive down trend since march.Buying down trending stocks is a sure way to loose money.I would delay any purchases until markets settle,and MVN downward trend has turned.Trying to pick the bottom is impossible,and it is more profitable to buy once the uptrend is confirmed.
    Stay away.

  15. #15
    Member
    Join Date
    Jun 2009
    Posts
    347

    Default

    PJK

    2 things:

    1: Bottom picking – Is a great strategy, although don’t get to fussed on being at the bottom as only one can do that. We bottom pick every time we go shopping as one tends to buy that extra can of baked beans when they are at a one off special. Because it is trending down doesn’t make them worth less. If baked beans start all of a sudden killing people, the lower price is justified, although when the underlying product is the same, it’s worth should be equal so any lower prices creates more value. Unlike supermarkets, shares can go on sale once every decade..

    Trending down should only be at the forefront for a short term trader. Sensibly you are looking over a long period of time which will enable the companies real returns to show in your holdings performance rather than the markets trading.

    2: MVN – Remember, you are buying the company, not there taps/showers. I agree that their products are very good, however that is a huge market and there is no reason why Methven can produce better valued taps than some stranger from overseas. I know the company quite well, and do not think the brand is strong enough to hold them up when it competes on price. Quite a few NZ brands have gone this way of late, have a look at the performance of Pumpkin Patch and Fisher and Paykel – it’s a shame but that’s how it works. Also, Methven's profits are declining and the Returns on equity are falling even faster.

    Bottom picking only works if the underlying company is still similar to what it use to be when it had a higher price. Stop thinking about picking a share at the bottom, rather than a company’s price at the bottom.

    Restaurant Brands right now is a great example, they have had some (what I consider) short term troubles from the EQ and the market has smashed them. This is merely a short term blip as it will not change how people eat KFC in 5 years time. They also pay a big dividend as well. There dividend probably won’t reduce, unlike Methven's which is sure to if they keep up this performance.

    Don’t be scared to stay on the side-lines and really consider the ins and outs of this strategy.

    Do not lose money.
    Last edited by buns; 20-12-2011 at 01:54 PM.

Tags for this Thread

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •