Market Movements
JD Sports Fashion plc (JD.) — Sell: Worth What It Costs, Which Is Not Enough
JD Sports has cut profit guidance again, with group like-for-like sales down -3.1% and North America down -6.8%. Three straight years of falling adjusted earnings per share, £1.09bn of pre-tax profit adjusted away in four years, and a yield of only 1.3% while you wait. On 11.70p of earnings, 1% growth, an 8x multiple and an -8% reduction, I get 93.00p against a price of 92.42p — a value opportunity of +0.6%. That is no margin of safety at all: Sell, research grade C, probability 50%.
