Author Topic: CLWY - Calloway's Nursery  (Read 27326 times)

porcupine

  • Jr. Member
  • **
  • Posts: 78
    • Low Tide Investments
Re: CLWY - Calloway's Nursery
« Reply #60 on: November 19, 2018, 05:56:19 PM »
Looks like same store sales were down a bit (-.57%) when compared to the 9 months ending Dept. 30th, 2017.
“Successful investing is having everyone agree with you — later.” –Joe Robillard

www.lowtideinvestments.com

@lowtideinvest on Twitter


mbrock77

  • Jr. Member
  • **
  • Posts: 95
Re: CLWY - Calloway's Nursery
« Reply #61 on: November 19, 2018, 06:01:00 PM »
Another 50 cent dividend announced today...

DTEJD1997

  • Hero Member
  • *****
  • Posts: 1767
Re: CLWY - Calloway's Nursery
« Reply #62 on: November 20, 2018, 04:53:29 AM »
Another 50 cent dividend announced today...

Wow!

That is certainly great.  If CLWY can continue on with the $.50 yearly dividends, then this will morph into an income play.

For growth, simply open 1-2 stores a year.

Seems like a great plan action!

brycepeterson

  • Newbie
  • *
  • Posts: 34
Re: CLWY - Calloway's Nursery
« Reply #63 on: November 20, 2018, 09:11:20 AM »
Looks like same store sales were down a bit (-.57%) when compared to the 9 months ending Dept. 30th, 2017.

Re the -0.57% same store sales:  Did you calculate that or did CLWY disclose?  I was curious what the same store sales % was, given CLWY opened one new store this year, and total company sales growth was low single digit % vs. 3Q17.  When I read its sales growth, I figured sales were basically flat among the established nurseries, with little growth from the one new nursery.

If you calculated, do you mind showing me how you did it?

Thank you.

porcupine

  • Jr. Member
  • **
  • Posts: 78
    • Low Tide Investments
Re: CLWY - Calloway's Nursery
« Reply #64 on: November 20, 2018, 10:07:38 AM »
Looks like same store sales were down a bit (-.57%) when compared to the 9 months ending Dept. 30th, 2017.

Re the -0.57% same store sales:  Did you calculate that or did CLWY disclose?  I was curious what the same store sales % was, given CLWY opened one new store this year, and total company sales growth was low single digit % vs. 3Q17.  When I read its sales growth, I figured sales were basically flat among the established nurseries, with little growth from the one new nursery.

If you calculated, do you mind showing me how you did it?

Thank you.

Yea sure. They had 19 stores in 2017. They added the Hebron store in April. Just take the average of 19 stores from January - March and 20 stores from April - September. Works about to be 19.667 stores for those 9 months.

Love the div... hoping its annual!
“Successful investing is having everyone agree with you — later.” –Joe Robillard

www.lowtideinvestments.com

@lowtideinvest on Twitter

brycepeterson

  • Newbie
  • *
  • Posts: 34
Re: CLWY - Calloway's Nursery
« Reply #65 on: November 20, 2018, 12:29:22 PM »
Nice aspect of the $0.50 dividend (6.25% @ $8 stock), is it only consumes $3.7 million of free cash flow.  This leaves Calloway's $500,000 to $1 million in FCF to grow or pay-off debt (although debt vs. cash on balance sheet about equal).  Assuming FCF stays steady.

Actually, I'd love it if instead of paying the dividend CLWY's tried to buyback stock in the open market perhaps $9 or below; or Dutch Tender at $8.50 to draw weak hands.  (I know I'm a broken record - said this before.)  Couple advantages of this strategy (a) reduce share count = increase existing shareholders ownership and (b) once you've drawn out the owners willing to sell at $9 or lower, the $0.50 dividend consumes less cash each year.

Bryce

bci23

  • Jr. Member
  • **
  • Posts: 99
Re: CLWY - Calloway's Nursery
« Reply #66 on: November 21, 2018, 11:05:26 AM »
Nice aspect of the $0.50 dividend (6.25% @ $8 stock), is it only consumes $3.7 million of free cash flow.  This leaves Calloway's $500,000 to $1 million in FCF to grow or pay-off debt (although debt vs. cash on balance sheet about equal).  Assuming FCF stays steady.

Actually, I'd love it if instead of paying the dividend CLWY's tried to buyback stock in the open market perhaps $9 or below; or Dutch Tender at $8.50 to draw weak hands.  (I know I'm a broken record - said this before.)  Couple advantages of this strategy (a) reduce share count = increase existing shareholders ownership and (b) once you've drawn out the owners willing to sell at $9 or lower, the $0.50 dividend consumes less cash each year.

Bryce

I view Peter Kamin as a pretty savvy/aggressive capital allocator and him deciding to pay dividends instead of buying back stock signals that he doesn't think the stock is cheap/attractive and would rather take the cash (and maybe pay taxes?) vs. buyback/tender.

porcupine

  • Jr. Member
  • **
  • Posts: 78
    • Low Tide Investments
Re: CLWY - Calloway's Nursery
« Reply #67 on: January 15, 2019, 05:05:50 AM »
“Successful investing is having everyone agree with you — later.” –Joe Robillard

www.lowtideinvestments.com

@lowtideinvest on Twitter

DTEJD1997

  • Hero Member
  • *****
  • Posts: 1767
Re: CLWY - Calloway's Nursery
« Reply #68 on: January 15, 2019, 09:12:20 AM »
Hey all:

The new Cornelius Nursery is certainly in a very good location.  I think the store has a good chance to do well.  Check it out on LoopNet:

https://www.loopnet.com/Listing/1403-Westborough-Dr-Katy-TX/14243407/

The bad news is that they are probably NOT considering selling off the Voss Rd. location and shutting down the Houston store(s).  There is a lot of capital tied up in that location.

Got the $.50/share dividend today.  Very nice indeed!
« Last Edit: January 15, 2019, 11:21:42 AM by DTEJD1997 »

Tag1911

  • Newbie
  • *
  • Posts: 4
Re: CLWY - Calloway's Nursery
« Reply #69 on: March 16, 2019, 04:27:22 PM »