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Iron/the market,like us,are waiting for the CMA decision. The world and his dog knows this is 50% undervalued. Ive filled my boots with this in the last few weeks. Its an open goal.
The CMA have reduced the sp by50%. Despite this, the recent upward move in valuation of the Aim stocks that are solid companies has not seen any improvement at CVS. Seems the market views this company as being only fair value below £10.
Razz/it doesnt matter,youve bought a business, not a SP
Keep noticing that it gets to 997 and drops back. Not sure how many times it has happened.
Does anyone have a site that lists the daily high for a stock for say the last 28 days? I did have a quick dig around but couldnt find one.
Will be intersting to see where is heads once the 'electric fence' of 997/1000 has been succesfully jumped.
The CMA does have an issue with the vertical integration of some of these Corporate businesses and the cautious welcome by the RCVS to the proposals tells me a Market investigation will proceed.
However concepts like the Healthy Pet Club are endorsed by the CMA and are applicable by bith I deoendent and corporate vets alike.
CVS are in a good position as their Crematoria business is a very small bit of operation and their referral sites are not in monopolistic situations
Dram/your right, also how it will affect our business model ,will they stump our growth. At the end of the day ,its all about earnings going forward. Whats good for our customers ,will be good for us
IMHO I suspect the CMA perceives a problem with the CVS Group companies restricting competition because of its one-stop-shop structure - involved in diagnostic labs, pet medicines, pet insurance, "healthy pet club", crematoria, etc. Staff are reported to be under pressure to sell these add-ons ( especially additional diagnostic tests, food supplements and insurance) and clients are not advised about or offered any alternatives to the Group's products or services . I suspect CVS will have to rein-in this approach and then the big question will be how much profit will be affected.
Deutsche Bank, "Buy" target 1400p.
The CMA will have to come up with some recommendations to not look like bigger idiots than they already do, but it won't be anything that changes the fundamental metrics of CVSG. It's a great company, currently seriously under valued.
At these levels it's a great investment as long as you can sit tight for 2 to 3 years. Unfortunately not too many RIs can do that.
Indeed, the drop from 2000p+ is simply on a potential 2 year enquiry to pricing and transparency of pricing, nothing material has changed.
CVSG does not generate excessive profits/margins (like banks/insurance and others do) and for those who understand the industry as stated in previous posts there is a shortage of vets and the cost of products/medicine etc is not cheap and I saw one comparison in the media that stated the equivalent/similar products for humans can often be bought cheaper than those precribed by vets, totally omitting the fact that the law prevents this practice !
Fair enough the CMA take a look at the industry, however, as many have suggested, vets included, they will find the cost of vets, training, premises, insurance are l supported by current charging and practices with a likely recommendation for displayed standard pricing where possible. Vets and pets is an expensive business, the shares for the business are currently far from expensive though :-)
I agree with all that you have said.
The other challenge Vets are facing is shortage of actual Vets as well as Nurses. Gaps everywhere therefore movement is easy if they fancy a change. That in turn will mean paying a bit higher to retian/attract talent.
I am not in deep here (685 shares) which I have purchased at various prices, at a current average of £11.12 per share.
I do think if we see this breakout the current trading range it could move up fairly quickly. It seems to be hitting the 'electric fence' just below £10 and dropping back.
Probably my favourite UK share at this discounted price.
I simply can NOT believe that much bad news will come from the enquiry plus, even if it does what could be ENFORCED ?
Vets are bloody expensive end of !
Perhaps CVSG will need to be more transparent but the profits are NOT excessive.
It is so unfair what CMA have done without any evidence that stands CVS out from other Companies. Surely BOD need to show some Balls and stick this back at them? What have they done differently? In fact i think CVS are better priced!
There will be no news for many months as the pen pushing CMA parasites talk among themselves but basically doing nothing. How these grubby clowns came to land at CVS door is a mystery, as is why our Politicians allow such con artists to be funded by the Tax payer is a mystery.
Funny day’s price action today. Up all day then decent drop in the last hour and a half. I wonder if there might be news tomorrow
Ivy/young,thanks,i didnt spot that. i wondered why the SP went up this morning. Im getting sloppy in my old age
Exactly. 28th March. Fair few days ago.
From 28 th March
A load,after hours.
Not sure Buchanan where you are from and if you know but Buchanan s in Manchester along with Tony Regan and Michael Gourlays were the 3 big group Practices CVS bought a long while ago before they added Petmedics.
All Vets should say you can get meds elsewhere - they will charge for a prescription but that lasts a few months. OH (not @CVSG) always tells clients this
Didn’t the consultation period close today? Would there not be an announcement today?
This will be back over 1000p soon. Just made an animed order for cats flea and worming spot on treatment. Nearly always cheaper than elsewhere. How can CSV be the best value but still ripping off customers? I think this will settle around 1100 to 1300, still uncertainty but shares are too cheap down here imo.
Shear/,they have already made their mind up ,whatever that may be. As for internal meetings and procrastinations, they are probably taking their dog for a walk in the park. As they all work(dont make me laugh) from home.
@steviewonder, 2 days to decide whether or not they do a full market investigation, with all that would entail? Surely you can't be serious? This is a public body, any decision will likely require dozens of internal meetings & procrastination