MHJ - Michael Hill International.

[Beagle]

Nearly back to where they were 5 years ago. Some people may be impressed by that, I'm certainly not.
Suppose holders will tell me this time its different and we're not at a peak of shiny stuff consumption...hmmm, I'm deeply skeptical.

[Waltzing]

Yes it been a good short term speculative investment. Long term holders will have been anything but happy. HLG has also had cyclical swings which has been wonderful for trading but has been a far more consistent performer!

This stock never fitted some investor's rules.

[Rawz]

I totally get it that people are making unnecessary purchases of whatever shiny stuff makes them feel better, I really do get that...(my personal weakness is shiny chrome on boats and cars) after what has been without question a truly brutal year for many....but will the frivolous spending last when things go back to normal ? I think you'd want to be dancing pretty close to the door when the music stops...

The funny thing is Beagle, MHJ aren’t even selling much more than they have historically. They are selling much more on a per store basis but as a total sum of jewelry out the gate it is within cooey of previous years bar 2020.

Margins have expanded heaps thanks to a sharp online offering and reposition away from heavy discounting, but again- MHJ are not even hitting peak GP margins previously experienced.

So not sure about frivolous spending, maybe this is just normal?

COVID subsidies could be swinging the numbers but I checked nz wage subsidy (didn’t bother try checking Aus or Canada) and MHJ have claimed less this FY compared to last. And this half year is going to be “well above” last, so even the govt subsidy boosting profits argument is starting the fall away.

SB9 says 2 bucks within a few months… hard to argue against that when it’s trading on such low multiples right now

[Waltzing]

Its certainly been a great performance by a focused team and having a good team at the helm seems to have steadied the boat. Also having a good culture is important when supporting your sales team in the stores. The marketing on channels over the xmas period was also carefully crafted at a more educated market and not street.

Omi comin Homie to a town and country near you will cause short term disruptions and local forced venue closures like in NSW.

Another 6 to 12 months of business disruptions is on the cards.

[winner69]

Hey rawz ….taking some profits on EBO as share price heads to 60 bucks….but nothing wrong with taking profits

Not going to do the same MHJ are you.? Or EBO profits going into MHJ?

[Rawz]

Hey rawz ….taking some profits on EBO as share price heads to 60 bucks….but nothing wrong with taking profits

Not going to do the same MHJ are you.? Or EBO profits going into MHJ?

Well sadly W69 if you read back a couple of pages I sold a big chunk back at $1.20. Still have MHJ as 10% of my portfolio.

My MHJ proceeds went to HMY and EBO went to RAK

[Beagle]

The funny thing is Beagle, MHJ aren’t even selling much more than they have historically. They are selling much more on a per store basis but as a total sum of jewelry out the gate it is within cooey of previous years bar 2020.

Margins have expanded heaps thanks to a sharp online offering and reposition away from heavy discounting, but again- MHJ are not even hitting peak GP margins previously experienced.

So not sure about frivolous spending, maybe this is just normal?

COVID subsidies could be swinging the numbers but I checked nz wage subsidy (didn’t bother try checking Aus or Canada) and MHJ have claimed less this FY compared to last. And this half year is going to be “well above” last, so even the govt subsidy boosting profits argument is starting the fall away.

SB9 says 2 bucks within a few months… hard to argue against that when it’s trading on such low multiples right now

To be honest I don't understand the drivers behind consumer behavior in regard to jewelry, (for me a decent watch is all you ever need and that's maybe a once in 20-30 year purchase), so what would I know about jewelry stores lol... but I do suspect there are a lot of people buying as a way to make themselves feel better. Its been brutally tough in the Auckland region. I think if I was a holder, I'd be watching the chart very very carefully and when the worm starts to turn...

[Waltzing]

Jewellery is an extension of the ART world. Some of the most extravagant of course be the worlds elite putting wealth into Jewellery as a store of wealth.

There is a way of passing wealth from one generation to another. It never going to stop and its a been going on since man hung a tiger tooth from his neck...

https://artincontext.org/celtic-art/

[Beagle]

The dog understands Art...especially this sort of Art https://ivanclarkeartist.com/
Visited there last time I was in Queenstown with Couta1. Turns out one of my cousins is the manager there and I didn't even know it lol
Coutts bought some pieces quite a few years ago and I think from memory he's done extremely well out of it. Well worth a visit if you're in Queenstown.

[percy]

Jewellery is an extension of the ART world. Some of the most extravagant of course be the worlds elite putting wealth into Jewellery as a store of wealth.

There is a way of passing wealth from one generation to another. It never going to stop and its a been going on since man hung a tiger tooth from his neck...

https://artincontext.org/celtic-art/

https://hellogiggles.com/fashion/pri...ably-stun-you/
No store of wealth here.
More likely a destroyer of wealth....lol.