Market's view on Marshalls
Published on April 2024
- Marshalls plc has published its Annual Report for 2023 and announced its 2024 AGM which will be held at Walker Morris LLP offices, Leeds.
- Stock watcher noticed a recent 7% increase in Marshalls’ share prices, unsure of the reason but appreciates the rise as a long-term shareholder.
- One stock watcher expressed disappointment with Marshalls’ recent results, attributing potential issues to the HS2 situation and noting a dividend cut to 8.4p, resulting in a yield reduction to around 3.1%. They doubt the share price can be supported without acquisition interest.
- Positive recovery noted in Marshalls’ share prices since hitting lows, with optimism for continued bullish market if the tone on 18th March supports it.
- Marshalls provided a full-year trading update, reporting a 7% decrease in year-on-year revenue and various management actions to improve agility, reduce costs, and maintain significant liquidity for strategic plans.
- A stock watcher mentioned potential gains for Breedon, suggesting that its success might precede gains for Marshalls since both are involved in similar sectors.
- Stock watcher observed a significant share price increase for Marshalls, indicated by a 7.53% rise on a specified date.
- Positive feedback on Marshalls’ performance, describing it as “firing on all cylinders.”
- Breedon Group reported a strong performance with expectations to exceed full-year underlying EBIT predictions.
- Discussion about the financial struggles and management issues at Breedon, with a focus on excessive executive compensation despite the company’s poor performance.
- Several stock watchers noted a movement in Marshalls’ stock from lows, suggesting a trend with potential continued growth.
- Questions raised about Marshalls’ non-reactive stock price amidst challenging conditions.
- Discussions on the company’s debt management and financial strategies, particularly in refinancing and managing a large debt amidst a downturn.
- Mention of Marley’s significant contribution to Marshalls’ business post-acquisition, with skepticism about management’s ability to handle cash flow without further funding.
- No further guidance reduction announced, maintaining existing financial forecasts.
- Speculations on potential significant cuts to full-year guidance following updates from similar companies like Travis Perkins and FORT.
- Upcoming financial events and rights issues discussed, with predictions on pricing and institutional awareness affecting stock price.