DP Poland’s share price slumps! Here’s why I’d buy the UK share today

first_img Enter Your Email Address I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. UK share prices continue to struggle for momentum on Friday as fears of Federal Reserve rate hikes saps confidence. The FTSE 100 for instance was last down half a percent from last night’s close and dealing at one-week lows. And the DP Poland (LSE: DPP) has really taken a pasting too following the release of fresh trading numbers.DP Poland — the master franchisee of the Domino’s Pizza brand in the Eastern European country — was trading 12% lower on Friday at 8.75p per share. It had touched 15-day troughs of 8.51p earlier in the session.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Losses soar despite sales jumpUK share traders took fright following news that DP Poland’s losses had widened considerably during 2020. It said that pre-tax losses had ballooned to £5.8m last year, from £3.5m in 2019, as costs leapt.Revenues at DP Poland rose 7% year-on-year in 2020 to £15m as system sales increased 5% to £17.4m. Sales were hit hard at the company’s restaurants due to Covid-19 lockdowns in Poland during the spring and autumn. But this was more than offset by the boom in the food delivery market as people stayed at home.According to chief financial officer Malgorzata Potkanska: “The group, with its short delivery times, contactless payments and contactless delivery/collection service has benefitted from this sector’s growth despite the unfortunate circumstances.”However, DP Poland’s profits column took a almighty whack from soaring costs. Direct costs surged 10% year-on-year in 2020 to £13m, caused in large part by a “substantial” rise in the country’s national minimum wage. Increased maintenance costs for its fleet of delivery scooters, and costs related to the provision of personal protection equipment (PPE), also hit the bottom line.Margins at the business dramatically shrank to 1.9% in 2020 from 9.8% a year earlier.Why I’d buy DP PolandDP Poland also provided a trading update for the first five months of 2021. Delivery sales were up 14% year-on-year and 28% from the corresponding 2019 period. The rise reflects the strength of the Polish food delivery market and the impact of DP Poland’s acquisition of rival pizza chain Dominion late last year.However, like-for-like system sales were down 1% year-on-year between January and May as coronavirus restrictions hit the company’s dine-in operations.There’s a lot I like about DP Poland. As master franchisee of Domino’s Pizza it benefits greatly from the enormous brand power of the American brand. It also gives UK share investors the chance to exploit one of Eastern Europe’s major emerging markets, a territory where soaring wealth levels could deliver strong and sustained growth in the food delivery market.That’s not to say it doesn’t carry some risk, of course. As 2020’s results show, rising costs are a problem it has to get to grips with. And the AIM-listed business also operates in a super-competitive marketplace. All that said, I still think this UK share has the tools to deliver delicious shareholder returns over the long term. DP Poland’s share price slumps! Here’s why I’d buy the UK share today Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Get the full details on this £5 stock now – while your report is free. Image source: Getty Images. FREE REPORT: Why this £5 stock could be set to surge Our 6 ‘Best Buys Now’ Shares Are you on the lookout for UK growth stocks?If so, get this FREE no-strings report now.While it’s available: you’ll discover what we think is a top growth stock for the decade ahead.And the performance of this company really is stunning.In 2019, it returned £150million to shareholders through buybacks and dividends.We believe its financial position is about as solid as anything we’ve seen.Since 2016, annual revenues increased 31%In March 2020, one of its senior directors LOADED UP on 25,000 shares – a position worth £90,259Operating cash flow is up 47%. (Even its operating margins are rising every year!)Quite simply, we believe it’s a fantastic Foolish growth pick.What’s more, it deserves your attention today.So please don’t wait another moment. Simply click below to discover how you can take advantage of this. Royston Wild | Friday, 18th June, 2021 | More on: DPP See all posts by Royston Wild I think the following UK growth share, identified by The Motley Fool’s crack team of analysts, is another top stock to buy today. Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.last_img read more

Les Claypool Plays On Crazy New Track From Experimental Hip-Hop Group Death Grips [Listen]

first_imgFile this under unexpected collaborations: Primus bassist Les Claypool lent his skills to the experimental hip-hop stylings of Death Grips for a brand new track. Titled “More Than A Fairy,” the new track features Claypool’s familiar sound with some seriously banging beats and rapping.Listen to the bizarre collaboration below.The song comes as a surprise to many, as Death Grips just released a new studio album and Claypool is gearing up for a major album release and tour of his own, with The Claypool Lennon Delirium. You should really listen to that new album, too.last_img