CKF - Collins Foods

[So_Cynical]

Yep - there are good cap raisings and bad, just need to differentiate.

 

[rnr]

On the move again?
Some bearish divergence may halt the progress for a while....let's see what happens from here.

 

[rnr]

Bearish divergence has played out and price looks set to make a new ATH.

 

[mullokintyre]

Bought into this back in January when I was looking for the the sort of businesses that benefit from lockdown, had a mainly younger clientelle, and good takeaway processes. Was already into Dominoes , which was doing pretty well, and this one came up .
Had a recent pullback from its 13 highs after the recent FY21 report, trading now at 10.80.
The report I thought was reasonably good, but the lack of management guidance seems to have spooked the market a bit.
I still see some value in it, so have added to my holdings.
Mick

 

[frugal.rock]

Was driving past a Domino's pizza joint today and my thoughts wandered to Collins.
Decent uptrend again.
Any entry after July would've been nice... "shut up and take my money" ?
I understand their advertising is pointed at younger people with healthier livers than mine, however I reckon they could easily broaden there target audience.

 

[mullokintyre]

Announced a restructure of Debt facilities.
Has concentrated on reducing debt over recent times, not sure why they needed to restructure debt and increase the ability to add more debt should the need arise.
This suggests they might be looking at adding some balance sheet via takeovers.
I much prefer organic growth rather than growth by acquisition.
I might take my profits on this one and wait for another pullback.
Mick

 

[mullokintyre]

Sold out at 12.40 when it started coming off the highs of 13.25.
Want to get back in, as I still think its got growth potential (there is a new KFC opening up in the next town to me).
My kids all favour KFC over maccas, which is another plus.
Would love to get back in under 11 bucks if I can, but will accept low 11.
mick
Mick

 

[mullokintyre]

Back into CKF average price a tad over 12.
Look to get out again if it heads above 13.40.
Mick

 

[mullokintyre]

CKF signed a management deal to handle all the KFC franchises in the Netherlands.
Won't do any harm.
Mick

 

[mullokintyre]

CKF hit a new 52 week high at 13.25.
That 13.40 may be hit sooner than I anticipated.
Mick

 

[mullokintyre]

out at 13.40.
May well go higher, but I have my profit, and thats enough for me.
Mick

 

[mullokintyre]

Back into CKF.
Good half yearly result out today, revenue up 8.5%, profit up 26% after tax, dividend of 12 CPS, same as last years.
KFC Europe was the big driver,
They recently took over management of KFC sores in the Netherland, so that should underpin further growth for the full year.
Will top it up further any time it gets beklow 12.40.
Mick

 

[Tyre Kicker]

A ripping good stock this one.

 

[mullokintyre]

Another 52 week high today on a generally down day.
May have mossed the boat on topping up below 12.40/
Such is life.
Mick

 

[mullokintyre]

Somebody keen for a chunk of CKF today.
Buy order in at 14.01 that will gobble up 50% of the sells on offer.
Be interesting to see where it finishes the day.
Mick

 

[Ann]

Let's see if CKF can tow the 200dsma line with all this supply chain turmoil happening. I just bought this yesterday, prior to seeing all the publicity of reduced menu and so forth. Meh, whatevr!
I have put this in my KISS thread down in Trading Journals section with more comments.

 

[mullokintyre]

I have also added.
KFC will still be in demand, and likely served even in the event of a nuclear war!
Mick

 

[Ann]

Taking another look at CKF

 

[tech/a]

Taking another look at CKF

View attachment 137132

Ann

The volume Spike is a massive sell off so should be seen as resistance not support

The volume Spike is a massive sell off so should be seen as resistance not support

opposite to your musings

 

[Ann]

The volume Spike is a massive sell off so should be seen as resistance not support

.....exactly, and this is what has blinded me for so many years to the secret of trading with volume spikes John. I also have looked into the spikes to see if they are buyers or sellers. When identified as sellers I have taken no further notice or worse, sold a stock with that knowledge, often to see it rise with me left at the curb looking dumb faced. I am still working on this but I can see a degree of logic behind what I am thinking.

I have just explained this to my son whom I am encouraging to trade Bitcoin, let me copy and paste my email to him in order to save saying it twice...

This old dog has learned a new trick. I always thought trading using volumes was a wank but I have seen something I have never noticed before. Where there is a huge volume spike you draw a line from the EOD (end of day) price level and that becomes either a sturdy support or resistance horizontal. It can be used either as a signal to buy or a great level of stop-loss if the price fails the line.

It is not tea leaves as most of the market is automated by computer-generated trading software and this would be a logical level to program into a trading program as support or resistance. This is why I now understand why trading programs have a limited life span before they don't work anymore, or they did at one stage.

With share issues, splits, consolidations and all things that alter the price of a stock, these horizontal lines alter their position, I have seen this often on my charts when I have drawn lines either horizontal or trending, they completely move out of shape over the years. To use these lines on a permanent basis you need to check the volume spike/EOD price is still in the same position. I guess a good AI program could do this automatically. Bitcoin with its splits would suffer from this problem as well.