Kingfisher (KGF)

Sector:

Retailers

Index:

FTSE 100

279.10p
   
  • Change Today:
      7.10p
  • 52 Week High: 334.60p
  • 52 Week Low: 203.00p
  • Currency: UK Pounds
  • Shares Issued: 1,938.48m
  • Volume: 4,928,731
  • Market Cap: £5,410m
  • RiskGrade: 158

Sunday share tips: Kingfisher, Glencore, Associated British Foods

By Digital Look

Date: Sunday 18 Nov 2018

LONDON (ShareCast) - (Sharecast News) - A round-up of share tips from the Sunday newspapers, including Kingfisher in the Sunday Times, Glencore in the Mail on Sunday and the Sunday Telegraph taking a look at Associated British Foods.
Kingfisher was under the microscope in the Sunday Times' Inside the City column ahead of third-quarter sales this week that analysts expect to underwhelm, meaning investors should "stay on the sidelines for now". However, if boss Véronique Laury's big pledge to boost annual profits by £500m with a five-year transformation of the retailer fails, then the shares might offer an opportunity for buyers.

Close to three years into Laury's One Kingfisher plan, having with major tinkering to the supply chain, IT systems and costs, group profits at the B&Q and Screwfix owner are little moved, unlike the shrinking cash pile and management reshuffles. The Frenchwoman's strategy to sell more of the same products across its UK, French, Polish and other European businesses "is flawed", says one former inside source, not helped by Anglo-French tensions.

The UK is also "falling out of love with DIY", which has hurt B&Q but benefited the trade-focused Screwfix. Many investors have doubts about the £500m profit target by 2021 and some predict Laury will instead sell Screwfix, with a £2bn price tag being bandied. The group is, however, very profitable, owns £3.5bn of property and has no debt.

Shares in Glencore were tipped as a 'buy' by Midas in the Mail on Sunday, having fallen by almost a quarter in 2018 since hitting a five and a half year high in January. With Brexit uncertainty hitting UK-focused stocks, the Swiss-based commodities giant has virtually no exposure to the UK economy and metals prices are slowly recovering, while chief executive Ivan Glasenberg looks to turn things around. London's biggest ever flotation when it joined the market at 530p in 2011, becoming even bigger when it bought miner Xstrata, then tumbling to below £1 in late 2015 as China's growth slowed and investors worried about the effect on its huge demand for metals.

The fall in metals prices, particularly copper, Glencore's key metal, led to Glasenberg pursuing a cash call for not far off £7bn. With the balance sheet bolstered and metal prices recovering, Glencore shares have strengthened but still much weaker than their float price, though there are reports that Glasenberg wants to get the price back above where they started before retiring in three to five years' time. A bribery investigation by the US Department of Justice continues to weigh on the shares.

Another City rumour is that the South African, who along with other directors owns more than a quarter of the company, wants to take it private again. "If he did take that route, he would be forced to offer investors more than the market price for the shares."

Questor in the Sunday Telegraph gave a 'buy' tip for Associated British Foods, saying that the conglomerate's Primark retail arm will succeed where many other British businesses have floundered - the USA.

With its final results at the start of November, ABF said the US business had a good year, with its ninth store, in Brooklyn, trading very strongly and existing stores delivering like-for-like growth in the second half. Two further stores are planned, New Jersey in 2019 and Florida in 2020, with work underway to add further stores "in the medium term" to be serviced from the existing US warehouse in the east.

Primark's appetite to expand further on the other side of the Atlantic "has contributed to the shares in its parent company, Associated British Foods, bouncing back into fashion", said Questor.


Please note: Digital Look/Sharecast/WebFG provides a round-up of news, tips and information that is impacting share prices and the market. Digital Look/Sharecast/WebFG cannot take any responsibility for information provided by third parties. This is for your general information only and not intended to be relied upon by users in making an investment decision or any other decision. Please obtain a copy of the relevant publication and carry out your own research before considering acting on any of this information.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Kingfisher Market Data

Currency UK Pounds
Share Price 279.10p
Change Today 7.10p
% Change 2.61 %
52 Week High 334.60p
52 Week Low 203.00p
Volume 4,928,731
Shares Issued 1,938.48m
Market Cap £5,410m
RiskGrade 158

Kingfisher Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
17.52% above the market average17.52% above the market average17.52% above the market average17.52% above the market average17.52% above the market average
20% below the sector average20% below the sector average20% below the sector average20% below the sector average20% below the sector average
Price Trend
31.72% above the market average31.72% above the market average31.72% above the market average31.72% above the market average31.72% above the market average
26.09% above the sector average26.09% above the sector average26.09% above the sector average26.09% above the sector average26.09% above the sector average
Income
68.09% above the market average68.09% above the market average68.09% above the market average68.09% above the market average68.09% above the market average
53.85% above the sector average53.85% above the sector average53.85% above the sector average53.85% above the sector average53.85% above the sector average
Growth
39.06% above the market average39.06% above the market average39.06% above the market average39.06% above the market average39.06% above the market average
4.55% above the sector average4.55% above the sector average4.55% above the sector average4.55% above the sector average4.55% above the sector average

What The Brokers Say

Strong Buy 1
Buy 0
Neutral 10
Sell 5
Strong Sell 2
Total 18
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Kingfisher Dividends

  Latest Previous
  Interim Final
Ex-Div 06-Oct-22 19-May-22
Paid 11-Nov-22 27-Jun-22
Amount 3.80p 8.60p

Trades for 30-Jan-2023

Time Volume / Share Price
16:45 15,473 @ 279.30p
16:45 15,473 @ 279.30p
16:35 2,947,035 @ 279.10p
16:35 3,335 @ 279.10p
16:35 2,769 @ 279.10p

Kingfisher Key Personnel

Chair Andrew Cosslett
CEO Thierry Garnier
CFO Bernard Bot

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