Director dealings: Dunelm CFO ups stake following Peel Hunt upgrade

Dunelm finance head Laura Carr purchased 25,000 ordinary shares in the British home furnishings retailer on Monday, hours after analysts at Peel Hunt upped the stock to 'buy' from 'hold' and lifted their price target to 750p from 550p.

Carr, who took over the CFO role at Dunelm back in May, acquired the shares at an average price of 552.52p each, for a total value of £138,130.

Notwithstanding Brexit, Peel Hunt said it sees clear catalysts for recovery in 2019 from a renewed focus on the core offer, improved brand awareness and an accelerating online performance "as Dunelm fulfils its multi-channel potential".

"Shareholder returns will also benefit from the potential return of special dividends from next year," it said.

Peel argued that Dunelm is built on strong foundations. It pointed out that it's a UK market leader with a 5% rent-to-sales ratio and noted that it has 10% EBIT margins, 15% return on capital employed and one of the lowest levels of operational gearing in the sector.

As of 1640 GMT, Dunelm shares had taken off 14.39% to 620p.

Top Director Buys

Dunelm Group (DNLM)
Director name: Carr,Laura
Amount purchased: 25,000 @ 552.52p
Value: £138,130.00

Renewi (RWI)
Director name: Matthews,Colin
Amount purchased: 100,000 @ 40.00p
Value: £40,000.00

Just Eat (JE.)
Director name: Weir,Helen A
Amount purchased: 5,000 @ 589.20p
Value: £29,459.99

Dunelm Group (DNLM)
Director name: Reeve ,William
Amount purchased: 2,500 @ 550.49p
Value: £13,762.25

Belvoir Lettings (BLV)
Director name: Stoop,Michael
Amount purchased: 10,000 @ 93.00p
Value: £9,300.00

Belvoir Lettings (BLV)
Director name: George ,Paul
Amount purchased: 10,000 @ 90.00p
Value: £9,000.00

Audioboom Group (BOOM)
Director name: Tobin,Michael
Amount purchased: 295,948 @ 1.01p
Value: £2,989.07

Horizonte Minerals (HZM)
Director name: Fisher,William
Amount purchased: 100,000 @ $0.04
Value: $2,156.77

Horizonte Minerals (HZM)
Director name: Fisher,William
Amount purchased: 75,000 @ $0.04
Value: $1,617.58

Top Director Sells

Murgitroyd Group (MUR)
Director name: Chrystie,Kenneth George
Amount sold: 3,000 @ 550.00p
Value: £16,500.00