Shore Capital Stockbrokers has offered a bullish appraisal of Irish forecourt retailer Applegreen's growth potential, saying it has the potential to be a 'force to be reckoned with' in the UK and Northern Ireland in the coming years.
Following a series of store visits around the Dublin area, Shore Capital described Applegreen as a 'potent discount/deep value fuel operator… [which is] still barely scratching the surface of its capabilities in Great Britain and Northern Ireland'.
On the business' logistics capabilities, Shore Capital said that 'with expansion, Applegreen is likely to seek to build its capabilities in Great Britain through central control and distribution, whilst we sense management is also alive to the need for enhanced functionality in Ireland in the medium-term too.
'All of which reflects the ambition but controlled thinking of how Applegreen seeks to sustain ongoing strong growth.'
In terms of Applegreen's fledgling US operation, which has seen the retailer open four sites in Long Island, Shore Capital said that the US 'remains a medium-to-long term exploration and so potential opportunity', with the added advantage of giving Applegreen further insight into food to go development.
Shore Capital recently acted as joint bookrunner to the Applegreen IPO, alongside Goodbody Stockbrokers.
© 2015 - Checkout Magazine by Stephen Wynne-Jones
