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"Adolfo prefers to deliver first and discuss afterwards Jon was the opposite to this. Jon was a bean counter Adolfo is the technology route master.
We are starting to see a stronger board with real talent!
This should have taken place last year! But better late than never!"
Thanks a lot, Simpiles. These comments from you says it all - appreciate your honest views as CPI employee. Whilst I believe in AH/XW and their soon to be seen positive impact on CPI's cash flow, I think the market just wants to see at least one set of hard facts. Whilst the June update isn't that hard set of facts, that along with the August H1 release should show the market that AH and his team have set CPI on a different trajectory.
If that view was in the SP, it won't be at under 14p as it is now, we would be in the 20s. I'm willing to stick my neck out and say its a bargain, and will look to add if it hangs around these levels for longer.
Go CPI
Just a general comment based on other inputs!
My view is very similar to yours.
Capita did not start earlier saving because of the hack!
Cost reductions takes time and planning, Capita are past the 50% milestone ( No idea on the exact location)
Adolfo prefers to deliver first and discuss afterwards Jon was the opposite to this. Jon was a bean counter Adolfo is the technology route master.
We are starting to see a stronger board with real talent!
This should have taken place last year! But better late than never!
Sorry..not the second email, but the second post.. ;-)
@Simpiles - I'm not sure who the second email about XW (Xenia) was directed to, but I've long been positive about her given she has a track record and has worked with Adolfo previously as his CFO. I'm sure she's properly looking under the hood at CPI and is going about identifying where more savings could be realised and where any additional £s could flow to from an investment viewpoint.
Good to know your take on cost cuts starting in June. I suppose my point is that the swing lower in the business from the FY 2022 results to the H1 2023 was very noticeable when you look at the earnings report in August 23, and the writing should've been on the wall well before.
I'm pretty optimistic with my take on CPI's trajectory under AH/XW, and unlike the traders on here, I take a medium to long term view with my stock picks/holdings. CPI is still my biggest holding after SFOR and I'm quietly confident that it'll come through soon enough.
My first and third biggest holdings (SFOR and Neo Performance Materials listed on TSX, Canada) are having very good days today - CPI's day will come soon too, IMO.
GL..
Looks like we're going to hit that 13.25 or lower. I'll be looking to add if that happens, but only if it looks as if some buyers come in to support the price. I won't go speculative as I've already bought a fair few.
Suggest you take a look at Xenia Walters!
She has a record for transformation!
Look at her background!
Adolfo is not working on his own!
There is a plan in place. Do be hopeful for good news by August perhaps even sooner!
Changes are afoot you just cannot see them yet!
Go
Capita knew there were problems from May.
Cant release too much info but cost cutting started in May.
Was wondering what will be the share price when markets enters into correction.. 9p?
Not looking that good at the moment for CPI.. Its a waiting game at the moment..
I'm sceptical and unconvinced the 0.6% March estimated figure radically alters the general/broad trend of UK macroeconomic difficulties.
Savage - I’d give up on the forecasting….. we’ve gone from predicting 10p this week to ‘May rise’ and well not get into the FTSE and macro figures!
There will be lots of general waffle about business strategy using AWS and other cloud based services. There won't be be much more on cost reductions, already said it all, more about growth. I don't know what else you would expect from someone who came from AWS.
"Jeeezzzz, i hate the man after falling for his 'turnaround' c*ap" - I gave up as soon on JL as soon as I saw the dire August update, just when you though the March 2023 had a few positives going for it. The August update showed up that the Asset sales hadn't actually achieved what they had to - sustainable cash flow, as the cash costs in the business were still too high. He 'embarked' on a £60m cost cut, which wasn't enough as pointed out by AH in the March 24 report when he said the turnaround wasn't complete and more costs had to be cut. That's at least being honest and I suppose AH had the advantage of a clean slate as he started.
Good riddance to JL. From a strategy update viewpoint, it won't be much of a strategy update if AH doesn't lay down what savings he'll generate for CPI as he embarks on the additional cuts, and what additional costs/investments may be needed to support this new strategy. All of these need to come together and not general waffle about business strategy - I'm sure he'll be mindful that it's exactly this waffle from JL that got the SP down to where it is now.
Spelling on auto mode
😀
If I were Jon Lewis I'd have finances to purchase in greater than £500-£1500 tranches... The +ve March GDP looks to have been greeted with a health warning by economists and ONS clearly labels that figure as 'estimated' within their data release. They'll fine tune the figure in due course and that'll be interesting to see if it remains the same, hopefully it does as low or negative GDP is good for no-one here in UK. Applying variance analysis to the figure the March does show as 'special cause variation' so perhaps a freak one off good month? Or start of a new growth trend? We'll not have to wait long to find out fortunately.
Jeeezzzz, i hate the man after falling for his 'turnaround' c*ap
But please, lets at least get the pr*ts name correct; it's not John, it's Jon
Go CPI
Even a broken clock tells the correct time twice a day.
Wonder if SK is John Lewis!
The IQ seems to match!
DYOR
Dont’t listen to the fool with the Clown Paint!
I thought the June update was strategy related rather than financial?
April CPI data to be release on May 22nd should see headline inflation drop a lot with forecasters calling for a below a 2 handle print, and we may see a rate cut in June - should tag team nicely with our June update. Happiness accrues to patient investors - certainly true for CPI holders, IMO.
@GOCPI
Macro is a changeable metric - I have some sympathy for SK’s view however, anyone who follows election cycles knows perfectly well that incumbent parties grease the wheels. It’s coming. Starmer in government risks taking us back to 2009/2010. They can’t manage money and will almost certainly tax investors more
Crikey SK, I'm not going to mock you, but UK Q1 GDP will beat US Q1 GDP growth rate, albeit coming off a recession it isn't unexpected really. Rate cuts incoming in the UK prior to the Fed will support the economy and CPI, and next month's update will be an eye-opener to the market, IMO. AH and XW know that the stakes are high and will want to put out a clear update with minimum obfuscation, IMO.
Macro supporting and company specific news incoming = great H2 for CPI, all IMO. Added more in my SIPP today - selling THG.
Glad the macro beat your expections 🤭 hope your going round every board to say you were wrong for clarity ? Imho
AimMaster2018 - I buy in £500-£1500 tranches yep but my total investment isn't just £1500. Though yes, I'm a small minnow in a big pond. Feel free to mock all you wish but... even £100k would barely move the dial for majority of equities. The GDP figs look better than I'd expected though BoE even commented yesterday they're unease about irregularity/inconsistency of ONS data releases in recent times. Perhaps it turns out March was a bumper month but I'll reserve judgement until the figs are revised... Does look to be a more supportive macro environment than I had anticipated though, perhaps Capita may see SP rise on this news to reflect that?
ONS says GDP for March 24 is up 0.4% following growth of 0.2% in Feb 24 (revised up from 0.1% in previous data release) and unrevised growth of 0.3% in Jan 24.
Monthly data release here:
https://www.ons.gov.uk/economy/grossdomesticproductgdp/bulletins/gdpmonthlyestimateuk/march2024
Quarterly data release here:
https://www.ons.gov.uk/economy/grossdomesticproductgdp/bulletins/gdpfirstquarterlyestimateuk/januarytomarch2024
In Quarterly terms (this smooths out the Month to Month Variance) it seems UK GDP is estimated to have increased by 0.6% in Q1 (Jan to Mar) 2024, following declines of 0.3% in Q4 (Oct to Dec) and 0.1% in Q3 (July to Sept) 2023.
These March.figure will be revised in the months ahead by ONS. Jan & Feb are now locked in, as having been revised & confirmed already.