The trading statement announced a slowing of sales growth,margins are under pressure as B&Q and Carpetright have entered the market recently depriving them of their semi monopoly, it has a ridulously high price earnings ratio, the graphics are now very negative after its pre Christmas spurt, retail spending on discretionery items is gone negative (witness cars). The respected Investors Chronicle is very bearish on them.

Oddie

Well, after a 2 year relentless climb from 50p to a peak of 270p end of 2005 (why wasn't I in then?!!!), it fell back sharply last year with all the interest rate and housing recession concerns to form a very strong double bottom at just below 160p with an inter-trough peak of just above 200p. So classic chart theory says, having broken through the inter-trough peak we should continue up to 240p (the same distance again as from trough of 160p to inter-peak of 200p). So I'm looking for 240p near term and then see if we can assail the previous peak range of 250-270p. I also have a solid trailing stop loss in place just to be sure in what I think could be an uncertain year - just as FTSE is scaling new peaks and everything in the garden is lovely is the time for punters to be caught napping.

I would hold definitely whilst the current phase is on. Who knows how long or how high it will last.

Good luck.

sd

Thanks for reply Stockdog!

It looks as if others agree with your prediction, i.e 245p+

Unfortunately I bought higher than that so I'm hoping it'll re-test the 265p+ sometime in the next few months.
I had many sleepless nights when it hit 156p back in October but I knew the Company and its fundamentals were good so didn't panic!!

Extract from " UK-ANALYST.com":

Evolution's retail guru Nick Bubb said that he had high hopes for DSG International, Topps Tiles and Jessops this year. Bubb argued that the perception that the recent gloom about the retail sector had been overdone would attract bargain hunters and more trade/private equity bids. The broker upped his target on DSG to 180p from 167p and maintained his "add" stance. The shares lost 4p to 166.75p. Jessops target was hiked to 120p from 110p, with an "buy" rating. The shares rose 3.75p to 98.25p. Topps Tiles target was raised to 245p from 220p and the broker maintained an "add" rating. The shares fell 0.75p to 212.25p. Bubb argued that the area which interested him most was the sector that was hit the hardest in 2005, namely the big-ticket household goods retailers.

Maybe it's time I re-named this thread "Time to BUY Topps Tiles" !

Here's to good results next week...good luck.

Oddie