The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
If the company is to be believed, they are aiming for earnings of at least 2.76p for year 2018 as well as a turnover of at least £21.4m. At that rate, this must qualify as one of the most undervalued company's on AIM. Come on investors, time to discover this little gem.
http://iconsystem.co.uk/industry-forum/ there is a short video featuring ICON clients Asda, Sainsburys and Waitrose all voicing accolades for the companies money-saving software [borrowed from another BB]. Three or four hefty (comparatively) sales easily absorbed today as buyers held sway, understandably imo. If the sp breaks through the 30p barrier, who knows where it'll settle.
Acquired a small SaaS company - ICON - which, on the bare facts given in the announcement, looks as tho' it could turn out to be an astute, complementary buy: http://irpages2.equitystory.com/websites/rns_news/English/1100/news-tool---rns---eqs-group.html?article=25088523&company=eleco
It's hard to believe that a bare two months ago sellers were dumping stock left, right and centre with hardly a buyer to be seen. The boot's firmly on the other foot now and, with a scarcity of tightly-held stock, any small amount of buying is forcing the sp up disproportionately. With more buyers lurking in the wings (apparently), I can't see the situation changing in the short term. Long may it continue!
Plenty of positive press coverage since the interim announcement but not being reflected in investor interest ..... difficulty in getting hold (in quantity) of tightly-held stock? The consensus is for eps of 1.3p for 2016 (personally think that's being a tad cautious) which would allow a total dividend for the year of 0.3p, yielding 1.07% with an undemanding p.e. (at current sp) of 21.5. Quite some turnaround since the dark days (7.5p) of 2013.
Released this morning: http://uk.advfn.com/stock-market/london/eleco-ELCO/share-news/Elecosoft-PLC-Interim-Results/72487782 Further progress has been achieved since year-end and ELCO's chairman confident that this can be maintained for the rest of their financial year. A small divi declared (0.15p) which should be at least repeated cum the year-end - aiming for four times cover by earnings. A just reward for those brave enough (foolish!) to have stayed with the company through all the traumas over the last three years.
This computer generated type of content Is absolutely CRAP. It's noise aimed to get eyeballs on to the accompanying ads.
Is Elecosoft PLC a Sell? The Stock Reaches 52-Week Low Today August 2, 2016 Richard Conner The stock of Elecosoft PLC (LON:ELCO) hit a new 52-week low and has GBX 16.34 target or 14.00% below today�s GBX 19.00 share price. The 5 months bearish chart indicates high risk for the GBX 13.89M company. The 1-year low was reported on Aug, 3 by Barchart.com. If the GBX 16.34 price target is reached, the company will be worth GBX 1.94M less. The 52-week low event is an important milestone for every stock because it shows very negative momentum and is time when sellers come in. During such technical setups, fundamental investors usually stay away and are careful buying the stock. The stock decreased 3.80% or GBX 0.75 on August 2, hitting GBX 19. About 31,676 shares traded hands or 88.95% up from the average. Elecosoft PLC (LON:ELCO) has declined 28.18% since December 31, 2015 and is downtrending. It has underperformed by 33.51% the S&P500.
The price has now fallen below the 20.75p open offer price way back in 2014. Yet we have not seen any director buys apart from Ketelly's original.shareholding. Hardly inspires any confidence in the company. Time to move on I guess.
It's reassuring to see that whilst construction companies generally have had a knife taken to their sp as a result of BREXIT, ELCO's price has jogged along virtually unchanged. And so it should seeing as two-thirds of their revenue is earned abroad and a weak Sterling can only enhance their profits from such. With the possibility of a divi this year as well (according to chairman's AGM statement), one to tuck away in the bottom drawer for a couple of years.
Pleased to see that, even in today's 'red-ink' market, investors' still looking for stock.
Another 50k buy marked L(ate) which means it doesn't get included in the Buy/Sell cumulative figures for the day. Why do MMs need to treat investors as imbeciles?
Well would you believe it, a 50k 'buy' marked two minutes after the market closed so couldn't make any impact on the sp today . . . I'm sure it must have been an oversight by the MMs tho' suspicious old me did notice that a 7k 'sale' yesterday immediately knocked the price back 0.25p! The buy prompted by the AGM yesterday perhaps? It'll be interesting to see what the price will be at Tuesday's opening. A new and much improved website looks to have been installed sometime earlier this week. Very impressed.
Still sounding confident: http://ir.digitallook.com/ir/security.cgi?csi=11718&action=news&story_id=24463642&rns=1 An interesting statistic given by the chairman during the meeting apparently. When Oracle swallowed Textura recently, they paid six times Textura's annual turnover. Pro rate applied to Elecosoft, the company would be valued at £91.5m or £1.22 per share. Food for thought!
Having now retired, I've trimmed my portfolio back hard and tend to choose just three or four companies at the start of each year which I'll investigate with a view to back. ELCO have been an exception and, as I've found management very approachable in the past [unlike some small cap companies], rightly or wrongly have plunged on them as one of my rare major gambles. Time will tell. The only other company I have bought this year is LPA although they're very difficult to trade other than on news being published when the share-price can move violently. I like LED lighting anyway and LPA's management are sounding unusually bullish. Another slow burner 'tho.
I believe it's always healthy to test ones assumptions and query managagement. It's encouraging to hear your confidence around this name. I have already sold nearly half my holding at 32p at the time when the share peaked at nearly 35p. I haven't quite got the confidence to add to my position again. Tempted though. I only invest in the software space and also have UK names like Kalibrate, Lombard Risk, Brady (acquired post recent sell off < 40p). Are there any other names you like?
Unable to address your disparaging comments in respect of Elecosoft's approach myself, have been in touch with the company and the following is from the horse's mouth: 'A number of the Elecosoft products are already provided as SaaS in order to keep the product set competitive with new emerging applications and market take up of this business offering. The product sets can be hosted and provided on a subscription based model so deployment to end uses are structured and controlled. Though the recent acquisitions by Oracle highlight the importance to keep a clear focus on future application use within industries where client base installations have been the clear winner, there are still many factors that need to be considered before committing a complete change to a SaaS model. Factors that need to be considered include the complexity and size of data, security of data and applications, connectivity speed, assurances services will be provided 24/7 etc etc. Businesses are at risk if they rely solely on SaaS services and therefore the is a need for applications to work in multiple environments, an area that Elecosoft’s products quite comfortably sit within based on customer feedback. The delivery of 5D BIM from Elecosoft shows that they have a clear focus on developing their product set to meet the needs of the industries they operate in and with emerging mobile apps to complement its core products, Elecosoft are evolving with an eye on the future.' With so many apparent concerns, are you sure this investment has been made in a suitable company? Wouldn't you be better off by selling up and looking for a safer option?
Appreciate the feedback here. There is much happening in this SaaS collaboration space. Textura has recently been acquired by one of Elecosoft's key competitors Oracle while Aconex acquired German SaaS company Conject. The point was more around cloud delivered colabouration software appears to have suddenly got significantly more important in construction and Elecosoft has its DNA in local server based and desktop systems.
Confirmed with company that both the above are involved with financial aspects management (i.e. documentation) rather than project management (from start to finish) which is Elecosoft's forte. The company's main competition, however, comes from another two substantial companies, namely Microsoft and Oracle; Elecosoft's significant order win [to supply a US Government department] last year caused quite a stir out there by all accounts, making them both sit up and take notice and ridicules your 'Elecosoft SaaS products feel years behind the leading vendors] statement. The company is aiming to triple their number of product re-sellers in the US so they would appear to be doing more than just OK.
[http://www.iii.co.uk/articles/310504/elecosoft-transformation-complete] Lee Wild's ending - "The debt should be paid off during 2017 and a share capital reduction has paved the way for future dividends," says Lorne Daniel, an analyst at house broker finnCap. "The outlook is bright, with significant revenue and profit growth expected, in line with market expectations. Thus our full-year 2016 forecasts remain largely unchanged and we reiterate our 35p target price."
Also an investor but have queries in the back of my mind whether pure SaaS companies like Aconex in Australia and Textura in the US will end up dominating many of these construction systems markets/sub markets. The Elecosoft SaaS products feel years behind the leading venders.
Yesterday's announcement looks very promising particularly when taking into account that the strength of the Pound acted negatively against 2015 company profits whereas Sterling's weakness so far this year will be in Elecosoft's favour. Slightly taken aback by the departure of CEO Nick Caw but I understand that, as he'd completed his job of transforming the company, there was a need for a different managerial set-up and with Jason Ruddle having had great success in establishing the company's USA operation, it was decided he fitted the bill to become COO; for me, the USA holds tremendous potential and is one of the main reasons why I have decided to take a risk and become top-heavy in ELCO shares. I wonder whether the MoS's 'Midas' will do an update this weekend on her buy recommendation last back-end, if so, watch out for fireworks on Monday!
To be released on 18th April much earlier than last year so I'm hoping it's a case of the well known 'good news travels fast' stock exchange maxim. Still confident on the medium - long term outlook so have tucked a few more away in this year's ISA. As always, chairman's outlook statement will be more important to me than the historical figures for 2015.
Thanks for your comments. It's great that there is someone out there prepared to put their views forward in this site.
Recognition being achieved in the vast USA; Norwood [one of the top contracting firms in the USA Mid-Atlantic region] upgrades their systems to Asta Powerproject:. http://www.astapowerproject.com/news/norwood-upgrades-asta-powerproject-uncovers-better-way-manage-project-performance/