UK Share tip (BOWL)!

It is looking like the market (esp. USA) is recovering slightly since the small dip last Friday. I will be watching Palantir and AMD closely today for their Q2 results. Intel is also looking good value at the moment.

UK tip

The indoor bowling company Hollywood Bowl (BOWL) may be worth buying and holding until at least the end of this year.

They have recently spent a lot of their cash on updating and refurbing their bowling alleys and have concentrated on enhancing the more profit-generating parts of their business. They are also in the process of a £5 million share buy back by Sept. 2025.

The share price is 25% down since December 2024. I own 740 shares at an average price of 280p and the current price is 240p. I am looking to top up some more this week.

I am hoping that the share buy back, plus good Q3 and Q4 results, will boost the share price by early next year.

I don't see this as a long term hold however because I think that leisure spending will decrease in 2026 due to higher interest rates on mortgages kicking in and other financial pressures on the spending public in the UK. However, if the summer weather for 2026 looks miserable, I may hold it throughout 2026 too.

The target price of 440p would give an 80% gain on the current price!

Berenberg Keeps Hollywood Bowl Group at Buy on Record Fiscal H1, Positive Long-term Outlook

• Berenberg reiterated Hollywood Bowl Group's ($BOWL.GB) buy rating and price target of 4.4 pounds sterling on Thursday after the company posted record results for its fiscal first half.
• Despite the impact of weather on trading, the bowling center operator delivered an 8.4% year-over-year revenue growth to 129.2 million pounds and an 8.8% increase in group adjusted EBITDA, excluding one-offs.
• On the other hand, the research firm reduced its fiscal 2025 revenue and adjusted EBITDA estimates by 1% and 2%, respectively, to reflect the effect of warm and dry weather on short-term trading. Looking further ahead, analysts made no material changes to their forecasts for fiscal 2026 and 2027, citing the one-off nature of the weather impact.
• "Given the elevated level of investment in the business for refurbishments and new openings in recent years, we remain confident in management's ability to deliver sustained profitable growth, with our FY26 estimates implying high single-digit EBITDA growth and double-digit EPS growth," analysts noted.

Note: I am not a financial advisor - please do your own research!