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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Dunelm

April 2024

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:
  • 1152p
Homewares and furniture retailer Dunelm has announced first half profits slightly ahead of forecast as well as a 35p special dividend. The company has a great track record of market gains and that trend has continued with its share inching up 0.5% in a tough market. Sales volumes were up 6% and active customers rose 4.2%. That translated into pretax profit rising 4.8% to £123m. Dunelm opened four new stores in H1 and expects a similar number in the second half. Both normal (30,000 sq. ft.) and small store (15,000 sq. ft) formats are driving the active customer base with limited signs of cannibalisation. Dunelm has increased its number of products again (to 80,000 SKUs) mainly delivered via drop-ship partners while competiti ...

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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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