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Just noticed that BUFFETTOLOGY FUND has increased their stake by roughly another percent to 11.19%
Happy to hold but can't see any justification for going over £30 unless on the back of news.
BVXP are presenting at Mello south - interesting they are a 5 bagger since their first presentation in 2014
Yep, I'm still hanging in as well, but above �30, I think I'll let a few go.
Matt, as I mentioned before it meets all the requirements of a Buffett stock; has a �moat� around the business that is a barrier to new entrants, a long term tied in customer base, rising profits and dividends. As such it is a buy and hold stock for me. (I made the mistake of exiting too early out of Burford Capital after tripling my money � actual lost out on a 10+ bagger !!). Yes, it should be possible to trade in and out of BVXP but the spread is relatively wide and trading is not my forte. I�m also still hoping for good news from the wild card investments in CardiNor or Pre Diagnostics.
...and we're back to �28! Well done to all who stuck out the recent 'mini-fall', and to oilbagger who bought a few more. However, as we approach �30 again, my thoughts turn to some profit taking. Anyone else?
Bought a few more around �22 for my SIPP - happy to pay for quality. CEO Peter H is purse class - under promises and over delivers. There is also wild cards if there is progress with CardiNor or Pre Diagnostics. Peter H has played down both but we could get a surprise from either.
I tend to agree Oilbagger, profit taking everywhere and markets down have helped kick the price down too. I bought some at the close today after watching the price start to rise.
I am assumming the drift downwards in the share price is due to the uncertainty around revenues around Troponin and whether it will fill the gap. Also the strengthen pound will not have helped. Volumes are low so until news comes this will drift. If it goes near �20, I would be tempted to add more.
Kind of a shame you don't know any 'stuff' about Bioventix then Rudy. Perhaps you could ask LSE to launch a board covering Grammatical Pedantry PLC.....;-)) No offence meant.
Pleasure, I know stuff and happy to share, apart from women. No logic at all, don't have a clue. :)
Mr picky :) Yeah no problem, thanks for the correction. Jake
Well he did say "correct me if I'm wrong" ;-)
Hello picky :-)
Call me picky but it's "anyone who". Whom is used in place of words like me or him. You wouldn't say "him has information" you would use "he" so therefore it's "who". Think "to whom" or "from whom" or "with whom". No offence meant.
I believe the annual shareholders meeting happened today, correct me if wrong. Anyone whom has any information regarding this please inform. Jake D.
I believe the annual shareholders meeting happened today, correct me if wrong. Anyone whom has any information regarding this please inform. Jake D.
Thanks Matt for your views on this, much appreciated. As you say a hold at the moment rather than a buy, will keep watching and will probably tip my toes in if it dips. All the best and well done on getting in here at �8! :) DD
Hi Dave, Well I've been in here since spring 2015, with an in price of around �8 or so. Like you say, a business mode to die for - high barriers to entry, almost guaranteed revenue once the test is passed and being used. gross margins unbelievable, cash generation huge. For me it was a clear buy! Now more tricky - a lot of good news in the price, whilst for the first time in a long time, visibility on earnings for the coming year is low. I've taken about 20% of my holding out above �27 to reflect this and would do again if it got to �29, but TBH, I think I'd reinvest it if the stock fell below �23. Still, I'm a little nervous so I'm not sure I'd be buying too many shares here until we get a bit more transparency.
Hi Matt, Had these on my watch list for a while and now may be a good entry price. The fundamentals are to die for but just not too certain about outlook, will Troponin and VitD sustain growth?, the BOD are as ever conservative in their forecasts but they have �1m of revenue to make up 17/18 and seem to be relying on Troponin alone and intimate VitD will see modest / plateau sales..........so what will 17/18 revenue look like (million dollar question!)?, personally think it will be okay even if VitD only modest (say +10% to +15%) growth, there is China, and back in FY 15/16 they were predicting that Tropinin would have covered the lost revenue of �700k to �800k for 17/18 but this is now cited at �1m.....difficult to predict and value this one, but love the business model, barriers to entry, the BOD and the fundamentals, just don�t know if it�s now slightly over valued. DD
Bioventix are mentioned in this blog post by Roger Lawson: hTTps://www.sharesoc.org/blog/company-news/lloyds-case-impressions-ideagen-agm-return-capital/
Not sure if everyone clocked this, but the stock actually went ex-dividend 71p today which means the stock is effectively up 7.5% today! Hurrah!!
Saw exact same post on ADVFN - thought it was rubbish and still do. Comparing strong growth companies with history is irrelevant. Your comments on competition are absolute garbage - you do not understand the diagnostics business - there are huge barriers to entry. Finally it is absolutely nothing like Right Move.
Another good performance from Bioventix. Here is my analysis: Breakdown of results Results came in better than forecasted at �7.24m vs. �7.1m. Most of their sales come from royalty and license fee (�5.3m) with R&D and product revenue making up the rest. Pre-tax profit increased to �5.7m, compared to �4.2m giving the business a high margin in the 70s. The biggest surprise is the dividend announcement of a second interim dividend of 31p and a special dividend of 40p. Balance sheet A great balance sheet with cash making up 60% of total assets. No debt and no pension deficit. Cash Flow The balance sheet is neat with high levels of cash inflows and the only cash outflow is basically rewarding shareholders. Talking of dividends, this paid the company is paying 91p vs. 62.5p (including the special) Including the special, the yield climbs over 3%. But what impressed me the most is the 50% dividend growth helped by the special dividend increasing 100%. Is Bioventix fully-priced in? When you see revenue of �7.2m vs. the market cap. of �142m it looks pricey. And, despite EPS Growth averaging circa. 26% (which is typical of a sustainable rate for a small business) the market has raced ahead of itself. Market metrics such as: EV/EBIT = 27 times, now down to 24 times, the 6-year average is 13 times. PE = 40.7 times, now down to 29 times, the 6-year average is 19 times. PB = 17.3 times, now down to 14.1 times, the 6-year average is 7.3 times. PS = 25.8 times, now down to 19.7 times, the 6-year average is 10 times. On the flip-side: If you are a L-T investor, then you thinking five or ten years ahead. My advice is if Bioventix can sustain their business model, then we can make a hypothetical forecast. Assuming net profit grow by 20% for the next five years, then on current valuation, then PE comes to 11 times. And if the company keeps their current PE ratio of 29 times, you are looking at a share price of circa �70 per share! Things to be cautious Looking at Bioventix business and financials, I get the sense of feeling that their technology is reliance on a few talented staff (the company employs 15 people). So, staff safety and morale is paramount to Bioventix continuous success. Another is the entry of new competitors. Given the low cost of entry (all you need is the talent), then there is no guarantee of success if another business develops a superior product. Final Thoughts It reminds me of Rightmove with their high operating margin and low asset maintenance costs. Unlike Rightmove, they have vulnerabilities because the probability of staff accident can be fatal to future business success or a competitor muscling in (low cost of entry). So, in many ways they are competitive, but with a few speculative features lingering about. I think �20 per share or 21-times PE is good value.
Will we see �30 today. I hope that this rise signals excellent early uptake of the new troponin test, but time will tell!
My understanding is that no ramp up is required - the products were all there waiting to go, and post approval, hospitals simply start using the new product. Fingers crossed!