M Winkworth

09 September 2015
By Maynard Paton

Quick update on M Winkworth (WINK).

Event: Interim results published 8 September

Summary: A somewhat lacklustre set of results, blamed on a nervous pre-election housing market and extra costs associated with a corporate-relocation department. While the potential of additional lettings income looks promising, cash generation remains disappointing. I still like the simplicity of this franchising business, but must admit to having doubts about the size of its full potential. I continue to hold.

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14 April 2015
By Maynard Paton

Quick update on M Winkworth (WINK).

Event: Final results published 14 April

Summary: A quite satisfactory set of full-year results, albeit the second half produced flat profits. WINK has become slightly more dependent on the booming London property market, but its estate-agency franchising operation continues to produce super margins and high returns on equity. There are not many shares with such finacials that I have found that presently trade on a P/E of about 10. I continue to hold.

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6 February 2015
By Maynard Paton

Today I’m studying the smallest holding in my portfolio — M Winkworth (WINK).

In fact, this £16m estate-agency business represents less than 1% of my portfolio… and so is unlikely to send my wealth into orbit even if it does multi-bag!

I bought WINK at 90p during June and July 2011, but then sold 70% of my shares between August 2013 and February 2014 at an average of 173p.

At the time I was a bit worried about WINK’s substantial exposure to London’s booming housing market — and I probably would have sold the rest of my shares were it not for the price dropping to today’s 123p. Including some very useful dividends collected along the way, my total return to date has been a respectable 92%.

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