Monsieur Bricolage: not spared from the purge

Midcaps. Like many average values, the title Mr Bricolage suffered on the stock market since the summer of 2007. Many investors had decided at the same time to withdraw their "ball" of this document compartment, the drop in valuations has been very strong. The specialist craft qualifies annual accounts in good bill, which should contribute to better public awareness of the value to the financial community. Recall that the group is number one in the segment of medium-sized cities with a crafts market, which increased 3.7% over last year. In the past year, increasing the network both in France and abroad contributed to the resumption of sales.

Management. A change in management led to trade-offs within the network with a cost control tighter. A portion of the walls of the stores was sold in order to concentrate resources on the development of the park and improve the balance sheet structure. The operating margin was thus recovered, while net debt was reduced and weighs more than 43% of shareholders' equity, compared with 70% a year earlier. The process of opening new stores will be maintained in 2008, which will contribute to the improvement of sales with a forecast of higher margin ... Overall, the group reported ambitions to the year 2011 to increase the turnover of existing stores and to continue rising profitability.

Market. However, it also raises the near future, although the market french DIY is a beginning of the year 2008-mast. The controversy on the purchasing power here is a reality with consumers increasingly sensitive to prices ... Anyway, the new team at the head of Mr Bricolage seems to have taken the measure of the various problems that affected the company. The income is recovering significantly and this trend is expected to continue over the next few vintages. The multiple décotés appear, which leads us to recommend the purchase of the value for the medium term.