Which FTSE 100/250 companies are trading at bargain prices and not likely to go bust?

coastline

What about B & M bargains.?  Always seems a few in when you pass. If the forecasts still hold then 25p EPS puts the shares on a P/E of 10. Not bad.
https://www.share.com/investments/shares/22070/bandm-european-value-retail-share-price

Thrugelmir

coastline said:

What about B & M bargains.?  Always seems a few in when you pass. If the forecasts still hold then 25p EPS puts the shares on a P/E of 10. Not bad.
https://www.share.com/investments/shares/22070/bandm-european-value-retail-share-price

With all the UK stores closed what's the likelihood of the forecasts being achieved in the short term? 

bowlhead99

coastline said:

What about B & M bargains.?  Always seems a few in when you pass. If the forecasts still hold then 25p EPS puts the shares on a P/E of 10. Not bad.
https://www.share.com/investments/shares/22070/bandm-european-value-retail-share-price

Surely it is not about whether the forecasts still hold for the financial year ended March 2020 where only a few weeks trading were lost in their French operations and UK footfall fell due to reluctance to leave the house. But about how they pay the rent and other ongoing costs without any customer revenues of any kind in 100+ stores in France and after shuttering a portion of their UK stores and giving the rest of their staff a payrise to thank them for working in difficult conditions.  You can disregard the published broker views from earlier this year (one each of buy, outperform and neutral) as none of them came in the last four weeks.

For 2019/20 they will be able to say the losses from the German side of the business are exceptional/discontinued because they eventually disposed of that business in March. So the next financial report might have good core numbers. It's the forward guidance that is important, and if it comes with the financial statements in the next couple of months it may have to declare that they don't know how much longer Covid restrictions will last or what it will do to customer spending patterns once the initial 'novelty' of lockdowns has worn off. They gave an update the other day that the closed UK stores were smaller format stores and only a few percent of their UK revenues. But getting in before the next guidance is essentially a punt.

Perhaps the stores with garden centres will do well this year because nobody can go on summer holidays and will instead spend their time putting up sheds and replacing fences and buying pot plants and a mower, because people up and down the country are frustrated by being cooped up homeworking all day and have nothing else they can do with the weekends.

Albermarle

Perhaps the stores with garden centres will do well this year because nobody can go on summer holidays and will instead spend their time putting up sheds and replacing fences and buying pot plants and a mower, because people up and down the country are frustrated by being cooped up homeworking all day and have nothing else they can do with the weekends.

This looks like a tip for B&Q ?

Voyager2002

Personally I am betting my entire financial future on Chinese tech.

port_of_spain

Voyager2002 said:

Personally I am betting my entire financial future on Chinese tech.

You might as well bet it all on the 3.30 at Newmarket.

Oh, hang on ... no, stick with Chinese tech

coastline

No idea if we've reached the bottom but I'll give my selection of recovery stocks. NXT at 3,390p , BME at 270p , JDW at 805p , RR. at 251p , MARS at 36p , PRU at 920p. All had a battering and maybe some more but lets see in 6-12 months. FTSE 5415 and FTSE 250 at 14099. Happy hunting .   

tight_arze

I will be buying Legal and General tomorrow. They confirmed on Friday after the market closed they will still be paying their final dividend. This is currently sitting on an 11% yield so no doubt there will be a surge of buyers on Monday morning.

dllive

Thanks guys - theres some really interesting insights there.
Now youve given me some ideas about other companies to invest in (I will be keeping a beady I on Legal and General tomorrow. Having a dividend that actually pays will be nice!) what are your thoughts on IAG specifically? Surely they wouldnt go bust or be let to fail? Are there other examples of corporations that big that have gone bust? Im just looking for pros/cons of investing with them.
Thanks!

mark13

Have you checked the IAG financials. This will give you a good indication of how much cash they have and how long they can last with limited planes flying before they require government help.