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Austin14
"its very late and the "we are working in the background" fluff can only last so long."
One of our Director's said at a monthly KPI meeting after promising a presentation for several months " I haven't got anything to present again this month but there's a lot going on in the background and we'll get there '
Sacked a month later
J, well if you draw a £600K a year salary from an AIM listed company and are continually late delivering news, you should expect criticism. Without those people you very weighty salary doesn't exist. So its give and take. Sadly the BOD have done alot of the latter, especially with the leaking of poor results as witnessed previously.
Now they have a chance to repay PI's faith who did standby and believe they were capable of turning things around, they should be doing all they can - but as yet they aren't - some people will not want to invest money if they believe the BOD classes them as an irrelevance.
JAdam,
I said ROOT cause was the UPDATE not the PI's (IMO). If the update was a blow out - there would be more buyers than sellers surely ? The volume is not that heavy so not too much should be read into it either way but the largest trades are sells - so its probably a fair assumption that someone selling 800,000 shares has got their calculator out before selling.
I also disagree with J but for different reasons.
There appears to be nothing from the company in terms of ramping up media duties, interviews etc. Now considering Graham and Majid, were both quoted as acknowledging that they felt shareholders previous pain and that they had learnt lessons - there appears to be very little coming from that department.
When the dirty has been done (and insider leaks would suggest it was very dirty) then you need to go the extra mile to prove things, to enhance reputations, to rebuild trust.
They now have provided detail (which lacks in some areas as Tony and others have pointed out) now surely is the time to fill in some of those gaps and speak directly to their shareholders. Especially where the dividend is concerned, its very late and the "we are working in the background" fluff can only last so long.
JAdam,
Most here (including you I bet) are disappointed with the SP reaction. I'm not sure I agree with you that the root cause of the SP is down to PI's buying and selling - its down to the update imo. I've already highlighted where I thought the update matched or exceeded expectation and where I thought it was luke warm. One area that I didnt mention this time and it bugged me before and is still bugging me is the Net Operating Income / FCF. Is it where it should be ? I think it is worth checking since we're currently being valued largely as a multiple of FCF imo.
For starters - I think it might be worth comparing NOI as a percentage of revenue versus Gear Energy. This helps eliminate some unknowns. Gear Energy along with other Companies was identified by twitter followers as a peer company and appears on several Nine Point Capital presentations / graphs.
I will take a look at the numbers and post shortly.
I 100% agree with you JAdam.This is now firmly in my bottom draw awaiting divi and for value to out.This is the stock I least worry about in my portfolio.If it does not a predator will out it for us.I am sure Bybrook would accept a decent offer.
Jollygoodya,
Have you tried to calculate a FCF from the net operating income and apply a current market multiple to come up with an estimated Market Cap ?
Looks like the market doesn't trust the board. Otherwise I can't explain the value disconnect.
ITE finished up 6.25%
Pity we aren't tracking it more closely. I think the market is withholding judgement on the BOD until they come up with concrete dates and figures on the dividend. They have a while to go before they make up for Liberator and the mysterious sell off before the RNS that day. About 30p worth to be precise. They obviously have the ability to make money in this industry, a little more communication would go a long way to restoring a measure of trust in I3E.