Shoprite Holdings (JSE: SHP) share price, discussion & sentiment

R299.38, nearly there lol come on

Big wall sitting at R300 exact. Convenient timing hey.

r299.38, knocking on r300s door 🚀

R320 before the rate cuts kick in ngl

@jozi_janet checkers solid but margins getting squeezed ngl, how long can they protect the dividend at these volumes?

checkers doing the heavy lifting while the rest of the group treads water, rand eating into margins but at least they're not pPick n Pay levels of broken. R300 flat is where it sits, boring but honestly thats the point with shp ngl, catch the express train or dont but the dividend wont disappear.

@jozi_janet dividend looks thin right now though, what's the actual yield worth waiting for

shoprite holding up better than i expected given the rand pressure and food inflation squeezing margins everywhere. consumers still gotta eat so the volume's there, just the pricing power's limited when you're competing with checkers and takealot. long-term view hasn't changed, these grocery guys have moats that hold through cycles. sitting at r300 feels reasonable for a 7-8% yield while we wait for rate cuts.

read the latest md&a last night, margin squeeze is real but checkers still printing cash

Sitting at R300 and change, SHP's been range bound for ages. Margins are getting squeezed between load shedding costs and wage pressure, retail's tough right now. Need to see same-store sales actually grow and not just rely on price hikes to bump the numbers. Till that happens this is a hold at best, let's get a contract, once the deals start then it will run simple as that.

honestly shp holding up better than i expected given the rand pressure on imports and all the load-shedding hitting foot traffic. checkers numbers were solid last quarter and theyre still the only real player with that scale in sa retail. r300 is a decent entry if you believe in the dividend long term, just gotta have patience with groceries.

shp holding r300 pretty well, reckon the earnings multiple is still reasonable vs pick n pay even with all the loadshedding headwinds. groceries are defensive anyway, people gotta eat. watching the bids on the way up, thin volume though.

@guppy_jse ja, cash generation is solid. R300 coming.

R300 is just noise, the real play is whether they can defend grocery margins without bleeding volume to the discounters. Checkers is carrying them but you need the whole portfolio working. If they hold cash generation through this cycle they'll catch the express train when the cycle turns.

@jozi_janet furniture cushion is real but how long before grocery comp stores actually turn positive again?

ngl the r300 break would be lekker, but margins are the real test here

margins are getting squeezed but shoprite's still got the moat, they're moving volume through checkers and the ok furniture division is stabilizing which matters. close to r300 and if they can get some pricing back without hemorrhaging customers to the discounters then this thing runs, cash generationhasn't stopped even with load-shedding killing everyone else.

Pulled the latest results over the weekend, cash generation still solid

Do you think the margin squeeze actually stops them printing cash though, or is volume enough to carry it. R300 feels like a test but ngl the dividend story is what makes this work for patient money.

@scandi_jse64 yep, that contract would be the circuit breaker here