I wish I could be/feel hopeful...but I fear this may be stuck in the sub-10p class for sometime, unless one of the other companies puts in a bid for it or professional investors start buying. I hope I am wrong and that it is just waiting for a a nudge to push it up. I have a serious paper loss here. My own fault...although my faith in ST and IC has been seriously dented. But we are all grown ups and have to take responsibility for our own actions.
28 Oct '14
RE: Where Now for NPT
Hi, VG post. I always thought "material" meant significant, so rather more worrying GLA
20 Oct '14
Where Now for NPT
Thanks for the link - I thought it was a nicely balanced analysis. I am really flummoxed by what accured on Friday and sort of angry but after reviewing the Sept RNS regarding H1 2014 and thinking some more I am going to be buying this week. When the cash is backed out of the valuation I really struggle to see how a business such as this with strong cash generation, sizeable customer base which is growing, platforms that exist and the space in which it operates in the technology, gaming and mobile sectors can only be worth less than 10 million. It really doesn't make sense. There are some pretty crappy AIM listed businesses out there with much stronger valuations so this NPT situation really doesn't add up. Though I am still confused as to how full year guidance can go from "yes, we will come in FY 2014 in line" to "ooops, we are going to miss our FY target" in just seven weeks or so. I can only think that there was some kind of error in their previous analysis and upon realizing they would miss, decided that they had to state it sooner than later. Is this a reason why Butler seems to be moving aside? And given that they are searching for a new CEO to manage the next stage of its development, which should be one of driving real growth, better to get it out and let the shares take the hit before moving forward. Also, it is not uncommon to try something, such as a marketing campaign, and have it go wrong. So, while it might take until next year, I think there is certainly upside from the current price. They use the term "material" when discussing the missed target. Just to what degree of a miss means material is open to interpretation and my guess, and it is simply a guess, is that the miss is probably not that huge but a miss it still will be.
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