Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Down again, but confident it will rise on Friday.
I have been a bit disappointed by the drift down here since the aftermath of the placing, however I believe a trading statement is due on Friday and I think we may well reach new highs before too long.
Fantastic as it sets a SP floor now at 1028p. Should only go forward from here
No discount on placing price then. Happy with that.
Got to admit I am pretty excited as to what the next few days and weeks will bring. We should be a £1 billion company next week but this is a share to keep.
Suppose we will have to see what price the privileged few get in the morning but I will be surprised if it is at much of a discount as this looks like a very good RNS to me. There is a positive trading update in there confirming current trends are continuing with a record order book.
I am confident that this will reach 1200p soon.
Seems like a great update this morning, solid growth in all directions. I miss Rivaldo's analysis! Not clear if this is the same update you were commenting on yesterday, but it does say for Thursday 29th....
"The strong order growth reported in the second half of the last financial year continued in the first quarter this year, further strengthening the Group's order book. Revenue was significantly ahead of both the Covid-impacted prior year and the pre-Covid period of FY20202. With gross margins consistent with last year, and despite a stronger Sterling during the period3, the performance of the Group for the first quarter was ahead of the Board's expectations.
Group sales in the first quarter were 21% ahead of last year at CER3, growing by 16% organically4 and by 10% organically compared with two years ago. Organic performance was similar in both divisions and continues to be driven by demand in the Group's target markets5.
The order book at 30 June 2021 was £220m, 50% higher organically than last year and 30% higher organically than 2 years ago. Orders remained well ahead of sales, growing by 83% and 35% organically compared with last year and two years ago."
Great, but the SP is over X2 2 years ago! It's not cheap in Stockopedia, with V at 28, but QM is 92 and I personally I will hold. I don't have a huge holding, but I think this will continue to be a steady riser. Competent company.
I do, but they are the best ones!
Keeps powering on higher and no one seems to notice!
I’m buying more personally
This continues to do very well.
Good update from a very solid company and £8 paid today, doesn’t get better than that, well done DSCV!
Will see another record high on that RNS today.
Ahead of tomorrow’s trading update.
Tipping this again. They have been on the money with it so far and I like this company’s business model. It is similar to the model used by Rentokil and that has been a really good investment for over 10 years.
PS. finally your acquisition, Rivaldo! We're up since you sold, but you've probably done better with your money elsewhere. Good timing re the pandemic.
Looks like good news to me - and we're up 10.71% (strangely since the Sold volume is more than 4X the Bought volume), so Mr Market seems to agree:
"discoverIE Group plc (LSE: DSCV, "discoverIE" or the "Group"), a leading international designer, manufacturer and supplier of customised electronics to industry, today announces the acquisition of Limitor GmbH ("Limitor").
Limitor, a designer and manufacturer of thermal safety components and sensors, is being acquired, subject to certain regulatory approvals, for an initial cash consideration of €14.5m on a debt free, cash free basis, before expenses, funded from the Group's existing debt facilities. In addition, a contingent payment of up to €3.5m will be payable subject to the business achieving certain profit growth targets over the next three years.
Regulatory approvals are expected to be received during the final quarter of this financial year. Once completed, the acquisition is expected to be enhancing to Group underlying earnings as well as accretive to the Group's underlying operating margin.
Limitor, founded in 1979, designs and manufactures custom thermal safety components for industrial markets. Its products comprise temperature and current sensors, limiters and thermal switches, which are used in a range of industrial applications including a number of niche segments in the Group's target markets. Around 85% of its sales are within Europe, with 15% being into the US, Asia and other non-EU markets. The business, which is based in Urbach, Germany with manufacturing facilities in Pécs in Hungary, will operate within the Group's Variohm cluster of specialist sensor businesses as part of the Design & Manufacturing division whilst retaining its distinct brand identity.
The business has performed consistently well over recent years, with revenues for the year ended 31 December 2019 of €8.2m generating a reported pre-tax profit of €1.7m, and an operating margin of 21%. Gross assets at 31 December 2019 were €3.9m. Trading over the last twelve months has also been resilient."
From the last trading update, in the current outlook section, what does this mean? Can anyone help me?
“ Customer demand remains relatively resilient with a book to bill ratio of 0.95:1. ”
What is the book to build ratio, and is 0.95:1 a good one?
Good for Rivaldo and we’ll done, I hope you put your profit to good use and keep an eye on DSCV in the future. I’ll be staying for some time me thinks and see how far this baby can go. Take care I’ve enjoyed your posts thanks for the insights!
For courtesy's sake I should say that I've sold my shares here now, due to the coronavirus.
DSCV have one of their locations in China, which is likely to be suffering. But mainly, despite DSCV's core sectors being very resilient and largely non-cyclical, they do also have a chunk of business in semiconductors and other cyclical areas, and I just felt that DSCV were one of the more exposed companies in my portfolio to a general slowdown.
I'm around 130% up here, so it's always good to protect a decent profit. And since DSCV is reasonably well rated my thinking is that whilst there may not be too much immediate upside, there may be more downside for the moment.
Good luck to others here, and I may well be back in soon. Cue another acquisition tomorrow morning!
A strong in-line trading statement, with the crucial D&M division looking very good and offsetting a small Q3 decline in CS.
Finncap have raised their target price to 641p.
With CS now trading well, order books up, margins improving and D&M looking good, 2020's outlook looks very solid:
"The Group has a clear strategy focusing on the target markets of renewable energy, medical, transportation and industrial & connectivity to create sustainable organic growth. This platform, together with a pipeline of further acquisition opportunities, means that the Board is confident of making continued progress."
Rising nicely again, with buying coming in at 590p now.
Congrats Stubert!
That makes DSCV my first double bagger in 10 years of investing. First bought these as ACAL
Standard Life have been buying heavily - they now have 8.87m shares, or 10.01%, an increase of 1.7m shares from the 7.17m shares per their last holding RNS:
Https://www.investegate.co.uk/discoverie-group-plc--dscv-/rns/holding-s--in-company/202001161057270481A/