Hello Stockopedia community,
I know this is a bit last minute, but I am meeting with the chairman of Games Workshop this afternoon as part of a piece on LON:GAW.
If you see this and you have a question you would like to be asked, please do leave it in the comments!
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I'm looking for compounding investments. I started off in Leisure - a part of the market I still love, but an area where stocks can appear "cheap" for years without going anywhere. It made me realise that valuation is only one part of the puzzle. Now I sift through a much broader universe of stocks in search of small, high quality operators with large addressable markets, strong and maintainable margins, and clear share price catalysts. CFA charterholder. more »
Well done...!
Can you ask where they see their IP in the context of a potential movie/TV franchise or franchises ...Game of Thrones style?
Thx
Market makers must have just heard about your meeting and obviously expecting hard hitting results. SP down 200p as I write.
As a happy holder I'm looking forward to reading your piece. A coup for you and kudos to the chairman for agreeing.
Thanks!
I'll add that into the 'Licensing' section. Black Library has an absolute ton of IP & I seem to remember a line from management recently about relaxing licensing terms so it could be an area to watch. The video games seem to have found a receptive audience!
Yep, the chairman's a busy guy so it's very good of him to set aside the time.
I'm actually a (small) holder as well, having sold the bulk of my investment a while ago. Still low-key feeling the pain today!
Jack
Please would you ask what was meant by the following sentence from the recent TS:
"However, the Board remains aware that there are some uncertainties in the trading periods ahead for the rest of the 2018/19 financial year. A further update will be given as appropriate."
Specifically, do GAW foresee any material operational difficulties arising from (say) a no-deal Brexit, or was this just generally highlighting that consumer demand can be fickle and so projecting sales for the remainder of the year simply by extrapolating from past performance may not be the wisest course of action?
Many thanks, Martin
Thanks for the quote Martin, I've added the question. I remember people puzzling over that TU when it came out last month...
It's interesting as I have owned Games Workshop (LON:GAW) in the past and at one stage (I think last Christmas) I looked at purchasing a starter set for my nephew.
But I found it was soooo hard as an adult coming to the whole setup and perhaps I had many misconceptions.
In contrast check out the this YouTube Video promoting Dungeons & Dragons ... https://www.youtube.com/watch?time_continue=598&v=2PEt5RdNHNw
My response to this video as a parent is ...
Wow that could be great for all kids, to stretch their imagination, to develop team work, to consider ethical decisions. It doesn't feel male centric, the video really promoted diversity. Fantastic. Where do I buy it!
But I'm also noticing as an adult that I want it buy it and play it myself.
I'm wondering how the Chariman would respond, especially given the costs of a starter pack!
Cheers
Phil
Hi Jack.
It would be good to understand what their ultimate game plan is for business, whether concerning mcap / turnover, Geographies, other routes to market etc. In essence where does he see GAW in 5-10yrs from now and what are the key barriers constraining any such plans.
Thanks !
Jack
A real coup I am sure there is a lot of interest in Games Workshop (LON:GAW) in the Stockopedia community
1 What is the main drivers of future sales growth: existing clients expanding their collections ? new clients? new geographies? new games? One of my main concerns is that the Warhammer franchises ultimately come to the end of life (i.e. once customers have collected and painted the majority of the miniatures and bought the rules what is bringing them back for more) and future games will not have the same appeal. What are the indicators that they are continuing to extend the product lifecycle (e.g. % of sales to existing customers)?
2 Is there a demographic cliff? In other words are all gamers of a certain age (and potentially lose interest all at the same time or does it appeal to a wide age range?
3 According to some commentary (I remember reading some by Keith Ashworth-Lord) the spurt in profitability over the last few years was down to conversion of their own stores to one man (or woman) outlets. Presumably this was a one off benefit. However the commentary in the reports continues to stress the importance of sales through third party shops.
Thanks
Thanks Merlotman, on the train now but I've incorporated these.
A general note: I've got a lot of good q's here. I'll try to ask as many as possible but we may well end up riffing on two or three before time's up, who knows - it's a 4pm meeting... Let's see! Should be informative for everyone anyway.
Hi Jack,
I’m a holder, but I didn’t see you’re thread until just now ( busy fitting new internal doors) whilst listening to the brexit fiasco.
They have said vaguely, they they envisage some trading issues, and the SP is down. I hope he can elaborate somewhat on what the issues are, as non specific remarks like that can unsettle the market, and their updates etc., are usually very good.
Hi Ben
Hope the interview went well?
When do you hope to publish your article please?
Thank you, Martin
Hi Martin. It's Jack here, actually! The interview went very well thanks.
I've got a couple of deadlines this week and there's a bit of a process to go through in terms of fact-checking notes etc. It could be the tail-end of this week but more likely it will be next.
We did talk about those points in the end, so I'll make sure to address them in the article.
Hi Jack,
Thank you for your reply. My apologies for getting your name wrong.
Best wishes, Martin
Hello Jack,
Looking forward to reading the notes - when do you think they'll be up?
Many thanks,
Alfred
Hi Jack
Any idea please as to when you will be able to publish your article?
Thank you, Martin
We published the article today guys, you can see it here: https://www.stockopedia.com/content/games-workshop-capacity-operational-gearing-and-hidden-assets-426243/
