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And there will be a buyer asap. Huge potential here and ongoing sales.
The only person talking nonsense is you, full of sh*te. Go and type your garbage elsewhere
Good luck and goodbye
Sharestobuy that’s just nonsense on many levels.
What’s next
To the moon?
300 incoming?
Blimey, a seller in the background... Yes obviously there is a seller, do you not understand how shares work?
Ffs… this is like banging my head on a wall.
200 incoming, then 190… then 160…then 120 followed buy nonsense like this.
My goodness,this person is still on it here. Invested 'all in' in another covid share but spouting pure nonsense doom predictions here day after day
Please be aware of his agenda and make up your own mind.
Company making very good profits while others are still not producing one single cent of profit. look at that.
MS
I believe weve come down to this level as someone is selling in the background and the shares will be bought or being bought by someone else/changing hands. Once over up we go. With the money we are making we should be at least around £4 a share. Bounce coming next week would make sense
All the best to you too :-) keep it professional.
So sub 200 short term drifting towards 100 or below and settling for several years at that price before Becoming explosive or bust depending on their new projects. People traded this as a covid share and it isn’t.
But we can all agree after the last pandemic everything changes overnight.
Jesus Paulorufus, each to their own opinion but you talk serious sh*te
Hi WL
The problem with this company is a Typical Englishman’s Guilt problem. We don’t want to say how much money we are making in a pandemic as it’s not the done thing, so to brag about profit is unbecoming. So we have unsubstantiated profits and are all guessing. Either way I think everything will be pumped into making this a more advanced company. So personally think we are a sub 200p share, that will be a gradual decline but a fantastic price for a fully funded advanced company operating in this sector.
Fast forward 10 years who knows but I’m still of the thinking this will drop sub 100 and stabilise as a well funded company.
GLA
New customers, US sales and new product coming. If the market acts badly to that and we drift down further then the market is seriously corrupt. Tbh i cant even workout why weve come down to these ridiculous low levels after such positive RNSs todate
Paul,
Out of curiosity, taking into consideration you agree they are making whopping amounts of cash to pay for all this do you see the value of the company as reasonable currently?
Paul, we're launching new products and expect an update on the US market soon. The link posted highlighting a PR video with Spanish language connection could mean we’re selling to the South American market, backed up with the approvals mentioned in the last RNS.
We’ll see how the market reacts to the product launch and any new customers in due course.
And yes I’m aware they now have no debt, I was that guy who said they would pay it all off the night before they issued an RNS to say they were going to..... pay all their debt.
Interesting opinion, I agree on some points.
Firstly let’s all agree that this is a business who was operating before covid and its future needs to be based on its pre covid life plus a slight increase due to covid. Future value is the key here.
In earlier RNS we were told this would be transformational for the company. Now stop reading that as a shareholder and read it as a director or member of staff.
That statement means, we will transform the company, upgrade all equipment, fund future projects, employ more staff, pay debt etc etc etc
When a company happens upon a pile of gold, it doesn’t just give it to the shareholders, it’s main aim is to grow!
So expect huge upgrades, new projects and long term value but this will all be swallowed up. They were 10p a share before covid, So to expect them above 100 After the spending starts is folly.
In a few years this maybe a goldmine but don’t expect any of this cash generation to go into your pockets!
I’m surprised I’m having to spell out how companies grow.
I've done a rough calculation a few months back.
£120m worth of orders, £40m / 8m tests are yet to be delivered (doesn't specify if produced or not, I suspect not hence the language used), this will take at least all of Junes production and I imagine most of July to fulfill @ 4m / month
£5 / test, at 4m production thats £20m revenue a month. So from august until 1st March next year which is roughly 12m of covid related production, another potential 28m tests / £140m revenue - this excludes the new tests being released in June, whether they're produced in addition, instead of etc and assumes they are all sold. Profit was estimated at 50% (but exc logistics) Production may be increased to 8m from July onwards.
Current revenue £120m, plus possible £140m. I'd say at least £100m in profit is likely. More if production is increased and all tests are sold. Sets the company up nicely for the future, and the inevitable future waves / next pandemic.
As the months go by it should start to become possible to determine a fair value for the company.
We don't know how long this crisis will go on for but what's obvious is vaccine or no vaccine there is still going to be a need for PCR antigen testing into the future. Most likely nowhere near current levels in say 18 months but it won't dry up completely.
My back of a fag packet (VERY conservative) calculation is this:
End of May £120m sales/contracted orders
Let's say £6 a test and we sell 6m a month (again I stress conservative estimates) - gives us 7 months of £36m revenue.
31/12/2020 - revenue ~ £380m - EBITDA - ~£190m - Profix after tax ~ £160m.
Considering at this point we may well be in the midst of a bleak midwinter of flu and covid, what do you think a fair P/E ratio would then be? 10?
If you agree with these figures then we start to look VERY undervalued.