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and ELM still down 50%......what gives take
mms need to move this up or people will just get cheap shares on company least effected by the corona virus.....imho.
............
nice 40k buy...probally management/ fund loading up down here...:)
45.20 GBX 88,495 39,999.74
Too much doom and gloom priced in. Way too much. These measures are all temporary. Governments will take action to recover the markets. Lots of action. One day it will be boom time.
Elementis is a clear indicator that many companies are not being hit as much as you would think.
Whilst the circumstances of why shares are cheap is pretty aweful. It presents a great opportunity to pick up shares on the cheap.
dow gone green.....! mkts frency way overdone...which is good
yes, ELM will do very well out of this myhem......china already recovering. ELM has very limited effect, and i mean even leasure stocks are going back up! this i=just bottom feeding frency.... don't sell single share of ELM if you have any.....:)
The markets will decide. Bloomberg today DOW heading to a freefall as investors get into cash FED fed false hopes...fed up!
CINEWORLD going up from yesterday and have more debt than ELM, and their business is on halt.
ELM has limited impact from Corona Virus, and is well diversified solid business.
Todays update says it all. holding this one for the long haul, can see 100p....
ELM will be much higher following todays update....and management buying...:)
just added.... BUY/HOLD...:)
alot of buying at these levels....was 80+p only a few days ago/ excellent update today.....back to 100p in a few days.
breaking out....70p+...next stop, today or tomorrow. imho
I think this could push up to 80 or 90 pence you know. Very little has changed and plenty of cash to see it through
why.....:)
Business performance
Up to 18 March 2020, the Group has experienced a solid start to the year with limited impact on production and demand from COVID-19. Our sites around the world remain open and are operating at normal levels. Trading and performance has been in line with our expectations, benefitting from efficiency actions implemented in 2019, with overall progress in Personal Care, Coatings and Talc. Market conditions are unchanged in Chromium.
The impact of COVID-19 however presents significant demand and operating uncertainty. Our immediate priorities remain safeguarding the health and wellbeing of our employees, and supporting our customers.
The Group is also taking steps to mitigate any potential material adverse financial impact, with focus on optimisation of cash flow via cost savings, working capital reduction and tight management of capex.
Liquidity, banking covenants and dividend
The Group has very ample liquidity, with in total over $300m immediately available. Total net debt for the Group, excluding lease liabilities under IFRS 16, was $454m at 31 December 2019, representing a ratio of 2.7x EBITDA*.
Elementis is a highly cash generative business, with average operating cash conversion of over 90% over the last 3 years. However, given market and economic uncertainties, the Group has taken two steps to provide additional financial headroom and preserve cash.
First, Elementis has secured a relaxation of its banking covenants from 3.25x to 3.75x net debt/EBITDA*. This will apply for two testing periods (i.e. 30 June 2020 and 31 December 2020).
Second, the Board has decided that given the uncertainties at this time it is prudent to preserve cash. Therefore, the 2019 final dividend of 4.4487 pence per share will no longer be proposed at the AGM scheduled for 29 April 2020. The cash impact of this decision to suspend the dividend is $33m in H1 2020. Future dividend decisions will be made as and when conditions normalise.
Paul Waterman, CEO of Elementis said:
“While our business performance to-date is in line with our expectations, we are acutely aware of the increased level of market and macroeconomic uncertainty. Our focus remains on what we can control, namely active cost and cash management. The relaxation of our banking covenants and the decision to suspend the final dividend will create material additional financial headroom to counter the potential impacts of the global COVID-19 crisis.”
Should reach 60 by this PM.
Strong RNS and remember this was on 98 only a couple of weeks ago.
buy and hold....after noon rally to 60p+, no brianer
next stop 60p.....buy/hold,
have taken some profit
well done if you bought....and lestined when we said buy last 2 days.....
Can’t believe my timing with this... bought back in yesterday determined to keep my shares locked away in the bottom draw until they got back to almost a pound.....
If only all my buys could react like this.... lol
Gla
Because that was still the position a few weeks ago when it was over a quid. Nothing has changed don't you see
IF any one has sharescope intresting reading but there target is i think 1.50 but very high debt ratio who knows in this mkt
IM lost why the rise with 450 million debt and 300 million on hand . wise me up
60 incoming