NEXT PLC (NXT) Shares
ABOUT NEXT PLC
Next plc is a UK-based multinational clothing, footwear and home products retailer with a history dating back to 1864, when the company was first founded in Leeds by Joseph Hepworth as Joseph Hepworth & Son.
The company began to expand rapidly, operating a portfolio of 100 outlets by 1884. The company further expanded in 1981 with the purchase of women’s-wear retailer Kendall and Sons for £ 1.75 million from the retail conglomerate Combined English Stores, a move which grew the company’s presence on the British high streets by over 600 stores.
In 2008 the company acquired youth brand Lipsy and launched an online catalogue for the US in the following year, selling clothing, shoes and accessories for women, men and children.
Today the company operates across three main channels, namely Next Retail, a chain of over 550 retail branches in the United Kingdom; Next Directory, a home shopping catalogue and website with more than 3 million active customers, and Next International, with over 180 international stores.
OVERVIEW OF NEXT PLC
- Next plc has customers in over 70 countries, and over 5 million active global online customers, and employs over 40,000 people globally.
- The company’s primary objective is to deliver long-term financial returns to its shareholders through a combination of sustainable growth in earnings per share and the payment of cash dividends.
- This objective is achieved with several key strategy points.
- The company works to improve and develop its product ranges, the success of which is measured by sales performance. It manages gross and net margins through efficient product sourcing, stock management and cost control, while focusing on customer service and satisfaction levels in both Retail stores and Directory.
- The company’s financial strength is maintained by an efficient balance sheet and secure financing structure, generating and returning surplus cash to shareholders by way of share buybacks or, more recently, special dividends.
VISION & VALUES OF NEXT PLC
Next plc‘s corporate responsibility initiatives are pillared on values of people, community, and the environment.
In terms of its people, it strives to increase the diversity of its employment base, with 44% of its Board directors and 47% of its senior leadership team consisting of female employees.
The company aims to make a positive impact by working with a wide range of charities and organisations, supporting over 400 registered charities, and over £ 3.7 million in charitable donations recorded.
The company launched its new 50% absolute Scope 1 & 2 carbon reduction target by 2030 and achieved a 95% diversion of waste from landfill. It has also reduced its electricity consumption by 21% since 2007.
MARKET PERFORMANCE OF NEXT PLC
Next plc trades on the Financial Times Stock Exchange (FTSE), where investors can buy shares under the stock symbol NXT.
Data from the company’s 2019 interim financial analysis shows group profit before tax up by 2.7% and Earnings per Share (EPS) up by 7.5% on the previous year.
The company also declared ordinary interim dividends of 57.5p per share, which is up 4.5% on the previous year. With this strong performance in mind, the company is maintaining its guidance for the full year for profit before tax to be £ 725 million (up 0.3% on the previous year) and EPS growth up by 5.2%.
To date, Next PLC has delivered a stable share price with solid long-term yields for those who choose to buy shares, showing no indication of slowing down.
Buy NEXT PLC stocks / shares – A Step by Step Guide how to Buy / Purchase NEXT PLC Stocks or Shares online.
Before buying any stock or share one has to consider a few factors.
STEP 1: PROPER RESEARCH IS ESSENTIAL
Upon deciding you want to buy NEXT PLC Stocks / Shares, it is critical for the serious investor to do proper research into the said company. Its values should align with those of the investor’s current portfolio. An investor needs to familiarise himself with the basics and history of the company, as well as its leadership and performance in the market. Its company reports should also be scrutinized.
Consultation with a brokerage firm can also assist in determining whether investing in a specific company will complement the investor’s current portfolio. The investment “risk ladder”, which identifies asset classes based on their relative riskiness, is another useful tool when determining which company’s stock / share is the best to buy.
STEP 2: CALCULATE THE AMOUNT OF INVESTMENT IN NEXT PLC STOCKS / SHARES
It is important for an investor to monitor his total investment in stock in order to keep his portfolio aligned to his investment strategy. The overall value of his holdings will change with the fluctuation in stock prices, which can throw his portfolio off balance. To determine the amount to invest, multiply the number of shares of each stock by its current market price to determine the total investment in that specific stock. For example, if you own 100 shares of a US Dollar 5 stock, multiply 100 by US Dollar 5 to get US Dollar 500.
STEP 3: DECIDE ON THE STOCK / SHARE ORDER TYPE
Investors can choose from a market order, a limit order, a stop order (also referred to as a stop-loss order) or a buy/sell stop order. It is important to familiarise yourself with each type’s pros and cons before deciding which one will suit your current stock profile best. An investor should be guided in this choice by his investment objective.
STEP 4: OPEN A BROKERAGE ACCOUNT
A brokerage account – also known as taxable investment account – is similar to a retirement account, but more flexible. Where a retirement account has limitations on the amount of money that can be contributed annually, and restrictions on when funds can be withdrawn, a brokerage account is more flexible. The latter has no income or contribution limit and the investor can withdraw his money at any given time. This flexibility, together with its potential investment gains, makes a brokerage account more attractive to serious investors. Brokerage accounts are ideal for goals or savings that are further than five years away, but closer than retirement. It can also supplement an investor’s emergency savings.
STEP 5: COMMIT AND PURCHASE NEXT PLC STOCKS / SHARES
Lastly, commit to the stock. Pro Tip: Monitor the value of your stock to ensure you have a growing stock value and dividend pay-out. Regularly check the share price online to ensure your investment delivers a positive return on investment. You are now a proud owner of NEXT PLC stocks / shares.
5 Questions to ask yourself before purchasing any stocks or shares.
- Is it the best time to buy this stock / share?
- Should I buy NEXT PLC stocks / shares in the current economic climate?
- Can I afford to buy this stock / share?
- What is the forecast of the stock / share growth?
- What is the current price per earning ration on the stock / share?