Up 130% over the last year.
Anyone else watching this one.

UPDATE 1-Pubs firm Enterprise Inns targets stable 2012/13 20 Nov 2012 - 08:10

* FY profit before tax and exceptional items 137 mln stg vs 157 mln * LfL net income down 1.2 pct (2011: 4.3 pct decline * Reduced net debt by 266 mln stg to 2.7 bln stg * Targeting flat LfL growth in 2012/13 (Adds details) LONDON, Nov 20 (Reuters) - British pub group Enterprise Inns posted an expected drop in annual profit and said it was targeting flat underlying sales growth next year after a strong improvement in 2012. The group, which has around 6,000 pubs across Britain but is saddled with 2.7 billion pounds ($4.30 billion) of debt, has been focused on reducing its borrowings, raising 208 million pounds this year from pub sales and signing a refinancing agreement with lenders. "The market continues to be challenging but we are in great shape as a business... We have got flat like-for-likes or even growth very much in our sights for the (2012/13) full year," Chief Executive Ted Tuppen told reporters on Tuesday. Total like-for-like income declined 1.2 percent in the year to September 30, easing down from a 4.3 percent fall a year earlier, with an improved performance across the UK including a swing to 1.2 percent growth in the south of the country. Underlying growth where publicans have been in occupation for over one year - representing 81 percent of Enterprise's total net income - grew by 2.2 percent. Tuppen said that its first quarter would be tough, however, due to comparatives with an unseasonably warm October in the UK last year and an issue with its wine and spirits supplier. Against the backdrop of a British pub industry hit hard by a smoking ban, rising alcohol duties and a recession that has emptied customer's pockets, Enterprise has sold over 1,000 pubs in recent years and said it expected its estate to reduce to 5,200 over the next three years. The group said it had cut bank borrowings to 310 million pounds, down from 446 million a year earlier. Net debt now stands at 2.7 billion pounds, versus 3 billion pounds a year ago. Profit before tax and exceptional items in the year to Sept. 30 was 137 million pounds, down from 157 million a year ago but in line with a consensus of 9 analysts polled by Reuters. Shares in the group closed at 66.75 pence on Monday, more than double that of a year ago, valuing the firm at around 340 million pounds. ($1 = 0.6284 British pounds) (Reporting by Neil Maidment; editing by Rhys Jones) ((neil.maidment@thomsonreuters.com)(+44)(0)(207 542 2292)(Reuters Messaging: neil.maidment.thomsonreuters.com@reuters.net)) Keywords: ENTERPRISEINNS/

Management totaly focused on
Growth now and reducing the debt pile.

Could be a fantastic recovery stock
for 2013 imo.

20 Nov Enterprise Inns PLC ETI Panmure Gordon Buy 67.00 66.75 87.00 87.00 Reiterates

Numis Securities Ltd Gives Buy Rating to Enterprise Inns (ETI)
November 20th, 2012 - - by Tyrone Williams

Enterprise Inns (LON: ETI)‘s stock had its “buy” rating reaffirmed by research analysts at Numis Securities Ltd in a report released on Tuesday. They currently have a $1.75 (110 GBX) target price on the stock.

Shares of Enterprise Inns opened at 66.75 on Tuesday. Enterprise Inns has a one year low of GBX 26.25 and a one year high of GBX 76.50. The company’s market cap is £333.4 million.

Separately, analysts at Barclays Capital reiterated an “equalweight” rating on shares of Enterprise Inns in a research note to investors on Monday, October 1st. They now have a $1.45 price target on the stock.

Enterprise Inns plc is a United Kingdom-based company. The Company operates on one segment is that of leased and tenanted pub operator in the United Kingdom.

http://www.dailypolitical.com/finance/stock-market/numis-securities-ltd-gives-buy-rating-to-enterprise-inns-eti.htm

Enterprise Inns pleases investors despite profit fallPubs group says it hopes for flat sales or even growth next year despite problems besetting industry

Flat beer is not something for a pub group to aspire to, but flat sales is a different matter, given the current difficult economic environment.

Enterprise Inns, which owns 6000 pubs, said full year like-for-like sales fell 1.2% last year, a better performance than the 4.3% decline during the previous twelve months. Profits fell from £157m to £137m, in line with expectations. But with the industry hit by the UK smoking ban, cut price drink sales from supermarket, rising alcohol duty and the general gloomy consumer environment, the company said the first quarter was likely to remain difficult.

With £2.7bn of debt (down from £3bn last year) the company continues to sell unwanted pubs and expects to cut its estate to around 5,200 over the next three years. Chief executive Ted Tuppen, quoted by Reuters, said:


The market continues to be challenging but we are in great shape as a business. We have got flat like-for-likes or even growth very much in our sights for the (2012.13) full year.


The company's shares have edged up 0.25p to 67p, and Simon French at Panmure Gordon said:


Given the improving trading trends and falling debt we think the stock continues to offer significant upside potential. We reiterate our buy recommendation and 87p target price, implying around 30% upside potential.


Jeffrey Harwood at Oriel Securities was also positive:


While the shares have recovered strongly from depressed levels this year, we consider there is further good recovery potential given the improving trend in trading and the very low PE.

Posted by
Nick Fletcher
Tuesday 20 November 2012 11.20 GMT
guardian.co.uk

On a hummdinger of a move upwards.

Enterprise Inns plc (ETI)06:32 ET Nov 20, 2012Analyst Comment by Numis Securities

Numis Securities reiterates Buy rating on Enterprise Inns plc

Enterprise Inns ( LON: ETI) ‘s stock had its "buy" rating reaffirmed by research analysts at Numis Securities Ltd in a report released on Tuesday.They currently have a $1.75 (110 GBX) target price on the stock

21 Nov Enterprise Inns PLC ETI Oriel Securities Buy 72.50 Reiterates

Morgan Stanley

crosses the 16% ownership threshold, seems a lot of shares to hold in this company any views......surely not stakebuilding?!!

ETI ENTEPRISE INNS

Brokers Views and targets afer
yesterdays results.....

Enterprise Inns Broker Views
Date Broker Recommendation Price Old target price New target price Notes

21 Nov Oriel Securities Buy 73.75 - - Reiterates
21 Nov Deutsche Bank Hold 73.75 105.00 105.00 Reiterates
20 Nov Panmure Gordon Buy 73.75 87.00 87.00 Reiterates
20 Nov Deutsche Bank Hold 73.75 105.00 105.00 Reiterates

NORWICH & PETERBOROUGH BUILDING SOCIETY

ETI ENTERPRISE INNS

Chart breakout since results very bullish
on very high volume.



Longer term chart showing we have resistance at 94p (march) to
overcome and 97p (apr/may) resistance to overcome.

But on inspection of lower indicators their is still
plenty left in this stock. Just look at how low RSI is.

Looks a very bullish technical set up imo.

ETI ENTERPRISE INNS

ETI - from Numis Note 6 Nov:

"Plans to pay off almost all bank debt should generate attractive equity upside, in
addition to a possible further re-rating if investment and improving asset/licensee
quality leads to LFL net income growth in 2013E, as management expects. As a
result, we are increasing our target price to 110p from 100p."

transcript from their earnings call - this is a good bit imo:

"And shareholders, this has been quite a journey back from the dark days of 2008, when dividends ceased and the share
price collapsed by 95%. On the positive side, you'll see that we've kept your net asset value intact for the past four
years. Somewhere just £3 a share although EPS is pretty well halved. Now is the time to deliver like-for-like income
growth and EPS growth and to rebuild confidence in our business model and our asset value. Now in terms of
delivering shareholder value, I just want to deal with a couple of fairly obvious points and bear with me because you all
understand this even better then I do.
Firstly as you can see from the two blocks on the left, our net asset value is £1.4 billion or around to a £2.85 a share.
We traded 65p, a discount of 75% Net Asset Value. If you prefer on a total assets basis, the market believe that our
public estate over valued by about 27%. Clearly there is something for us to address there.
Secondly looking at the cash generation chart at the top of the page excluding disposals and CapEx, which in steady
state would pretty well offset each other, we generated net-cash of around 100 million last year. On an entirely
hypothetical basis let's now look at value creation over the next three years. Let's ignore disposals or at least assume
that they will generate cash proceeds broadly inline with net book value. Let's ignore dividends, if we pay dividends the
money goes to shareholders anyway.
Let's ignore the immaterial cash impact of like-for-like growth or decline or the purchase of debtor to discount, this is
not a forecast, it's not a financial module, it's a theoretical representation of the future. If we use our 100 million of cash
generation to pay down debt.
All things being equal and our enterprise value remaining the same, the mathematics demonstrate that the value of our
equity will double over the next three years and IRR of just under 30%
If confidence in our balance sheet improves, if debt ratios are deemed to be less of a risk, if we can deliver growth in
EBITDA or earnings per share, then the re-rating might help to push the total enterprise value towards"

ETI ENTERPRISE INNS


03 Dec Enterprise Inns PLC ETI Deutsche Bank Buy 91.13 86.00 105.00 135.00 Upgrades

SP TARGET 135p

0737 GMT (Dow Jones] Deutsche Bank upgrades Enterprise Inns (ETI.LN) to buy from hold and target to 135p from 105p. Says stability in trading is now clearly visible. Even though Deutsche Bank forecasts FY 2013 pretax profit to be down a modest amount, looks for +0.5% growth in like-for-like net income, followed by +1% for FY 2014 and FY 2015. Says, "Over the next three years, we see lost profit from disposals being offset by lower net finance charges and the ability to reinvest around two-thirds of capex for growth as opposed to pure defence of the past five years." Shares closed at 86p Friday. (andrea.tryphonides@dowjones.com Twitter: @ATryphonides)

ETI ENTERPRISE INNS


Interesting to find Numis also
have a SP target over 100p.

110p SP Target.

Date Company Name Broker Rec. Price Old target price New target price Notes

03 Dec Enterprise Inns PLC Deutsche Bank Buy 90.13 105.00 135.00 Upgrades
16 Nov Enterprise Inns PLC Numis Buy 90.13 110.00 110.00 Reiterates

NORWICH & PETERBOROUGH BUILDING SOCIETY

It will be interesting to see if more
analysts upgrade or downgrade over the
next few days.

05 Dec Enterprise Inns PLC ETI Numis Buy 90.75 90.50 110.00 110.00 Reiterates

SP TARGET 110p.

ETI ENTERPRISE INNS.....

Elsewhere Enterprise Inns rose 4p to 90p after Deutsche Bank moved from hold to buy and raised its price target from 105p to 135p. The bank said:


During 2012, the group's corporate and securitised bond holders saw the market value of their investment rise by around £340m while the equity investors have managed less than half of that. Even after this year's run, the share price remains 35% below the levels of April 2010, when the group was in poorer shape. We see 2013 as the year when the equity holders reap most of the upside in the market value.


Since the pub group's results on 20 November, its shares have risen around 35%.

ETI ENTERPRISE INNS

Chart looking in fine fettle,
lower indicators pointing to
more upside...

">

0736 GMT [Dow Jones] Morgan Stanley upgrades Enterprise Inns (ETI.LN) to overweight from equalweight and raises its price target to 140p from 75p, as it sees the shares getting re-rated further upwards, with LFL income stabilizing and the debt level becoming more manageable. It says Enterprise shares have enjoyed a strong run from their lows, which fairly reflects the progress made on the balance sheet and towards a stabilization of trading. It adds the risk of a credit event has materially receded. Shares closed Friday at 94p.(michele.maatouk@dowjones.com)