One stock worth looking : Joyce (JYC), for their 51 % holding in KWB (showrooms for renovations of kitchens and wardrobes).
Micro-cap which has all the attributes that I am looking : - very high level of return on investment, due both the capital light model and high margin, - still a significant potential of growth (could double the number of showrooms), - the company has done exceptionally well in FY 23 and H1 24 (KWB EBIT increased by 32 % both in FY 23 and H1 24), when almost all the retailers struggled, - rare combination of high free cash flow yield (10 %+) and growth, - dividend yield of 8.3 %e, - main reasons why it is cheap : non very liquid micro caps and past mistakes of the management in term of capital allocation, - great improvement of their capital allocation during the recent years, as the company largely increased its dividend (+ 42 % in FY 23 and + 38 % during H1 24) and put in place a share buyback program
