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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Dunelm

April 2012

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • DNLM
  • Price:
  • 510p
Another respectable set of interims from out of town homewares retailer Dunelm with revenues rising 9% to £300m and pretax profit rising almost 8% to £52.2m. Eps rose 9% to 18.6p. Strong cash flow of £73.1m meant net cash increased from £34.3m to £49.9m. Dunelm continued to gain market share with like-for-like sales rising 1.1%, while it also opened 11 new super stores (including one re-location), taking the total to 114 super stores and nine high street shops and increasing selling space by 8.7%. Capital investment was £29.4m, which reflected fit-outs for new stores and store re-fits and 50% of all existing super stores are either new or have been refitted in the last three years. Although former chief executive Will ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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