Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
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Up 8% today. Can't find anything to support it.
Discount end of trade yesterday 58%. Starting to show life but I may wait to see nav stop falling or maybe not.
Could remain seriously underpriced but if we take a look at the GROW recovery then surly this has to go up to GROW or GROW has to come down to CHRY!
Well said Agricore. Reality is the whole market CHRYs wolf. It behaves as if high inflation is a permanent thing and prices stocks on that basis. A small dip in US inflation and - lo and behold - Mr market suddenly realises maybe things will get better after all. Doh! It was only ever going to be a temporary thing, history tells us that, over and over again.
There have been so many bargains over the last couple of months it's been hard to choose which sweets to buy in the candy store. This IMO is one that remains seriously underpriced.
It's interesting looking at the underlying listed shares here and REVB doubled from its lows. THG same. TRST same. WISE same. So this was at £2 a year or so back and what has actually changed? Interest rates, outlook, sentiment. But all these holdings are getting on with growing and succeeding and becoming cash positive and profitable. I think today's jump is the start of a realisation of that truth. CHRY hasn't doubled from its lows and even if you bake in all kinds of bad news that demonstrably isn't happening and hasn't happened then it's still cheap applying 40% discount of X and 40% on Y.
This should have plenty more runway to continue to return towards its previous premium to NAV position.
BOOM
Despite the surge today, this is still significantly below the COVID low of 76p. Not too late to fill your boots peeps!
I think this has a LOT of catching up to do.
Just looking at what GROW has done , this will surely follow (and I'm still expecting more from GROW too!)
Well spotted Agricore.
This share price (still) looks a steal to me, have topped up today
Share up 20% today on its trading update:
"Full year revenue, adjusted EBITDA and cash guidance unchanged"
Another CHRY holding apparently worth zero, yet is quietly getting on with business, and doing better than expected.
You should ask them Rofert.
But I expect the answer is that this is a *GROWTH* portfolio. Their remit is to grow and support the portfolio companies. They can't financially support them as well as hand cash back to shareholders. And that shouldn't come as any great surprise to you either. When a "liquidity event" occurs (such as described above) we'll probably see a tender offer then - if there's spare cash.
GLA
The discount to NAV seems crazy. Why isn't the Board doing more to highlight value?
They should just sell up and distribute cash.
As reported in the FT and also reported here:
https://thehitc.com/jupiter-is-negotiating-the-sale-of-shares-in-the-digital-bank-starling/
https://www.ft.com/content/a77eeefe-1147-411d-bf89-c563c54afb77
More bad news for us long-suffering CHRY babies? Or more evidence of CHRY's fundamental value?
CHRY Market Price 57.3p/MarCap £355m/NAV as at 30/6/22 is 163.48p/Net Assets £973m/595.2m shares
30% of CHRY market cap is cash (as at 30/6/22) and listed equities (17.6p a share or £105m) that leaves £867m worth of unlisted investments as at 30/6/22 valuation. So you're in effect paying 40.4p for 145.88p of unlisted - so a whopping 72.3% discount.
Of that 40.4p, when you consider a potential sale of Starling. The Starling holding was bought for £88.2m. It’s priof fair value (31/12/21) was £210.7m and its fair value upgraded in the last interims to £259.3m. So a 40% “loss” is actually a ROC of 2X (so not a loss at all!). In fact, the sale at a 40% discount last fair value would generate 25.9p per share for CHRY.
That means buying a CHRY share you are paying 14.5p (ex cash/listed/starling @ 40% off) for £608m worth of unlisted investments worth £102.3m so that’s an eye watering 85% discount to NAV!!
Of those unlisted companies, Klarna alone (which was “down rounded” just a few months ago is still worth 40.55p/share alone)..it was 64p a share prior to the latest funding round. So if Jupiter were to sell the Klarna holding, too, at let’s say a further 40% discount then you are in profit (24p proceeds less 14.5p is 9.5p/share profit).
In other words, isn't there a touch of insanity to the current share price?
Apart from the 9.5p profit from a Klarna sale, you are also getting holdings worth a further £367m (or 61.6p/share) in: WeFox, Smart Pension, The Brandtech Group, Graphcore, Featurespace, Deep Instinct, Wise, InfoSum, Tactus, Sorted and Secret Escapes all for free. For free!
Agricore, that's good to hear - thanks for your sanity,
Unhooked - True. Never before has the market experienced such a swing in both directions in a single day since they started tracking for this in 1990.
The economy is proving to be extremely resilient and while the media keep foretelling doom I'm not seeing it in my business nor do I see it in any of my customers' businesses. Yes there is inflation and disruption but these are being absorbed and partly passed on. The market seems obsessed with "bad is good and good is bad" approach to await the fed pivot. It's ignoring everything else and missing the value.
Traded that top-up. 12% in a day will do well. Market's so volatile it almost invites you to do this sort of thing.
Had another nibble. I shouldn't because I've already got a decent position but I couldn't resist! Just 51p paid.
If a bad recession is required to tame inflation, and bearing in mind the B of E will likely overshoot on the tightening, interest rates could then come down much quicker than expected... CHRY's portfolio should do well in low growth environments... In the meantime, I hope the managers understand that cash is king.
https://www.ii.co.uk/secure/my-news-feed/analysis-commentary/top-10-most-popular-investment-trusts-september-2022-ii525493
#8 position, suggests the vast dislocation of value here and extreme bearishness/sell off is leading to people cottoning on to the value here.
GLA
It takes nearly 2 months to come up with the quarterly NAV as most of the holdings are in unlisted companies. As the markets are highly volatile now, ( to say the least) This information is just too late and so this company trades at a huge discount to the latest published NAV, unsurprisingly. What can you do? Buy and hold on a wing and a prayer?
The steep decline in SP is brutal and relentless.
Managers should take a leaf out of Terry Smith's book, close the fund and liquidate the assets.
We would all be better off with that outcome. Thankfully my investment here is fairly modest.
Published NAV is meaningless for this share in my view ….. penny share soon.
Market Price 58p/MarCap £361m/NAV as at 30/6/22 is 163.48p/Net Assets £973m/595.2m shares in issue.
30% of market cap is cash and listed equities* (as at 30/6/22 17.6p a share or £105m) that leaves £867m worth of unlisted investments as at 30/6/22 valuation. So you're in effect paying 40.4p for 145.88p of unlisted - so a whopping 72.3% discount.
* in 3 months since June TRST, REVB and THG have dropped 20-30% but WISE has doubled.... so I've not adjusted on latest market prices - roughly the same as 3 months back.
Of that 40.4p when you consider these 2 are approximately worth 55p:
Starling Bank: 17% ROTE and already profitable. Growing.
We Fox Insurtech: Strong growth (nearly 100% forecast for 2022) almost profitable. Insurtech is the most "undisrupted" area and therefore is ripe for digitisation disruption. (Source: the chap from Augmentum Fintech)
You are also getting holdings in: Klarna, Smart Pension, The Brandtech Group, Graphcore, Featurespace, Deep Instinct, Wise, InfoSum, Tactus, Sorted, Secret Escapes, THG, Revolution Beauty all for free. Of those Klarna is well funded due to recent downround. Strong expansion. Demand for credit will grow not shrink in current env't. If they can manage credit risk. And even if you value THG and REVB at zero then there's still serious value here.
International Buyers (esp. US) are eyeing up UK companies due to the FX rate. It's conceivable one or more CHRY will get taken out via M&A or taken private.
That is the least of its' worries.
Board should liquidate as FEET did.
Has now dropped out of the FTSE 250.
Picked some up for myself at 62p today. Will buy more if a move down to 55p occurs.
The Board should consider it. The SP will rise and everyone can walk away relieved.