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Ha! That would be nice. But other sources than lse have it as 65p still from Finncap
New target of 399.00p........when?
...the stock was happily trading near 50p when the st Ives profit warning pulled it back to the mid-30s over a period of weeks. These figures show that the St Ives issue does not affect CMS, and in fact, business is good with new wins. In addition, the rate cut today will boost revenues as all banks write to their tracker mortgage customers which will boost revenue. Single digit PE and high single digit yield, good growth, currency tailwinds and reiteration of forecasts. This stock is now 50% undervalued in my view and I expect strong appreciation over the rest of the year. Buy.
2.42p dividend = 6.5pc yield at this share price... very good very good customers portfolio as well. (LV...)
Figures look remarkably good! - on track for 5.8p EPS forecasts - 2.4p dividend on the cards - net debt reduced nicely - international sales up to 24% now - H2 should benefit very nicely from weaker sterling - winning digital archiving work at new clients - new multi-territory agreement with new healthcare client will bring secure income for the next 3 years One or two quibbles including the pension deficit rising and yet more exceptionals - though these will benefit future profits by £3m per annum for a one-off £4m cost, so shouldn't be complaining. Certainly looks cheap at these levels.
Great set of interims! Will the market finally give this stock the credit it deserves? Interest rate cut on the way as well I expect ......
Big win
Just spotted that big one,reassuring as I assume they did their due diligence etc to put that kind of wedge in! I'd like to think the SIV effect already priced in and now coming back up in tandem(through my biased rose tinted glasses of course!!!). Year low,high divvy,some chunky II holders,broker targets,expectations of a rising div.....sits comfortably within my risk profile anyway! GLA
Yes, good post busicat. As I've mentioned a few times below, interest rate changes are very positive for this Company as all the banks then have to write to their tracker mortgage customers. Chuck in the weak pound as well, plus a 6% yield, and it doesn't really make sense does it? 5 million shares traded today which is huge - more than 2% of the Company and more than 10x average volume. Expect a Holdings RNS imminently!
Yes, nervous of St Ives-like trading report, but heartened by seeming large buying interest such as �787k at 35p this lunch-time. Other cheery signs are: St Ives's steady price decline since its April trading update has recently reversed to recover most of it's post April losses CMS's bread and butter business churning out boring obligatory stuff like statements for mega clients like Barclays, RBS, LBG and the utilities won't be hit by the froth being taken out of Marketing demand. The new L&G contract was due to start Q2. Whilst it would be nice to see debt going back down, and there's always potential for nasty surprises, this one does seem boringly dependable compared to most in the currently undervalued bracket.
Yep. I hope this isn't reflecting a poor trading statement to come!! the valuation on this stock is now ridiculously low - 6x earnings yielding 6%, whilst the Company has consistently grown in recent years. Also, the fall in � versus Euro will have helped them. Finally, they will be big beneficiaries of a change to base rates/mortgage rates. That said, if they come out with a statement t like St Ives, the stock will get hurt.
Irrespective of who bought or sold what,the volume traded today was unusually high for this one........coincidence,II's shifting stock around,something in the wings...who knows! GLA
Odd indeed, but if you don't mind me asking, why do you care?
bought 35k of cms but not showing as a buy ????????? more than a hour ago.
Damn!! Maybe next month....
...should help this stock!!
....and guess what that means. For the first time in 7 years or so, the banks are going to have to write to all their clients with tracker mortgages. And guess which Company has the most to gain from UK banks needing to do a load more printing - earnings upgrades on the way, take my word for it! And the stock is already on a single digit multiple! Remember, you heard it here first folks....
AA rated fund manager ups stake in CMS: http://citywire.co.uk/money/4-shares-the-pros-are-buying-and-selling/a918228#i=2
Sure. Cheap stock stays cheap based on profit warning from competitor (St. Ives). That simple enough?
can someone help me understand whats going on with CMS keep it simple a broker put me in at 55p 3 years ago thanks
Re AIM, you're right of course, my bad. However, I believe they exactly matched forecasts for the year just passed, so what on earth are you talking about??
What on earth are you talking about??? CMS is NOT an AIM stock! Current valuation is low due to their failure to meet forecasted targets over the previous 2 years and also the recent profit warning from St Ives. Providing they achieve their current year forecasts the price should climb back up into the mid 50's.
So, the Company has kept up its end of the bargain, and hit the forecasts which the brokers made. So who's to blame? You for buying a risky AIM stock at the wrong valuation? Or is the market just failing to recognize the true value and potential. If the former, then sell and chalk it up to experience. If the latter (like me) then hold on (or even buy more) and wait for the market to realize it's mistake. Either way, no-one forced you to buy my friend....
Good question MattTheBrave. CMS seem to tick all the right boxes yet the SP has steadily gone down over the last two years from a high of 65p. The dividend payments have not compensated me from the fall in the SP and my investment in CMS is now worth just over half what I paid two years ago when the outlook for CMS was wonderful and brokers were saying 'fill your boots'!
So dgroves, what exactly has the Company done wrong and/or which set of corporate eanings disappointed you?