Market's view on Pets at home
Published on April 2024
- A company’s buyback strategy was criticized as a disaster.
- Concerns were raised about the company possibly facing a significant downturn if it fails to rebound from current levels, especially with a pre-close statement expected soon.
- Warnings about the company’s stock potentially dropping below 200p were mentioned.
- The company’s pricing was seen as generally expensive compared to online alternatives, particularly for pet supplies.
- There were remarks about the only hope for the company being a foreign takeover amid a disappointing situation, where even buybacks could not halt the stock’s freefall.
- The dividend cover is reported to be around 1.7, suggesting that the recent fall in share price might be overreacted.
- Discussions around the company’s market performance on specific days showed mixed sentiments, with some watchers joking about the market’s reactions.
- There was speculation about the impact of external business news on the company.
- The company’s financial miss, specifically a reduction from 136m to 132m, was highlighted, questioning market expectations.