REMINDER: Our user survey closes on Friday, please submit your responses 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.
So, in the end the Director's were not banned from buying in the close period before the interim results, Hedgehog100...
A "cluster buy" like this from the BOD is hugely predictive of better times ahead.
Yes, especially in the software sector, where revenues tend to be valued at more generous price-to-sales multiples.
And ESYS's revenues are 87% recurring, with high-growth potential, and from the leading global provider.
In addition, the cash increases ESYS's attractions as a takeover candidate.
*£30m cash that should say
£51m market cap with £30m market cap and £20m turnover which is growing nicely is a very unusual combination...
Yep, completely oversold, can't see how this doesn't go up significantly from here.
Significant director buys are what you need to mark the bottom, it's clearly very very oversold & would never have been at these levels if the RNS hadn't been released at such a bad time for the markets. I suspect that by the time the results are released on the 21st April this will be well over £1 again
And BOD/ employess options at £1.6
18th Mar 2022 7:00 am RNS Director/PDMR Shareholding
Director/PDMR Dealing
essensys plc (AIM:ESYS), the leading global provider of mission critical software-as-a-service (SaaS) platforms and on-demand cloud services to the flexible workspace industry, announces that on 17 March 2022, Mark Furness, Chief Executive Officer, purchased 350,000 ordinary shares of 0.25 pence each ("Ordinary Shares") at a weighted average price of approximately 74.58 pence per Ordinary Share.
Following these transactions, Mark Furness' total beneficial interest in the Group has increased to 19,679,066 Ordinary Shares, representing approximately 30.56% of the Group's total issued share capital.
Mark Furness is treated as acting in concert with other shareholders, being Barry John Clark, Ian Bryn Sadler, Michael John Guest, Michael Grant and Liam Joachim Kavanagh (the "Concert Party"). Certain of these shareholders have also purchased shares. As a result of these purchases, the aggregate number of Ordinary Shares held by the Concert Party has increased from 24,065,272 to 24,447,680, representing an increase from 37.38% to 37.97% of the issued share capital of the Group.
These purchases were effected under the terms of Note 11 on Rule 9.1 of the Code and therefore had no consequences under the Takeover Code.
The members of the Concert Party also hold the following options over Ordinary Shares: ...
https://www.lse.co.uk/rns/ESYS/directorpdmr-shareholding-wfudhpcyz28ehkv.html
18th Mar 2022 7:00 am RNS Director/PDMR Shareholding
Director/PDMR Dealing
essensys plc (AIM:ESYS), the leading global provider of mission critical software-as-a-service (SaaS) platforms and on-demand cloud services to the flexible workspace industry, has been notified that on 16 March 2022 the following director and PDMRs purchased, in aggregate, 64,100 ordinary shares of 0.25 pence each ("Ordinary Shares") at a price of 74 pence per Ordinary Share.
Name Position Ordinary No. of Ordinary % holding
Shares purchased Shares held following purchase following purchase
Chief Financial
Officer & Chief
Alan Pepper Operating Officer 20,200 424,766 0.66%
-------------------- ------------------ ---------------- -----------
Chief Customer
David Kinnaird Officer 13,500 620,028 0.96%
-------------------- ------------------ ---------------- -----------
Jeremy Bernard CEO, North America 30,400 30,400 0.05%
-------------------- ------------------ ---------------- -----------
Details of the transaction can be found in the Notification of Dealing Forms below. ...
https://www.lse.co.uk/rns/ESYS/directorpdmr-shareholding-5pvrmhmp1aspi0n.html
Huge vote of confidence by director buys- I expect they anticipate a very good t/s
Recent Share Trades for Essensys (ESYS)
Date Time Trade Prc Volume Buy/Sell Bid Ask Value
17-Mar-22 15:46:31 74.21 100,000 Unknown* 73.00 75.00 74.21k O
17-Mar-22 15:22:24 76.00 100,000 Unknown* 73.00 75.00 76.00k O
17-Mar-22 15:21:19 76.00 100,000 Unknown* 73.00 75.00 76.00k O
17-Mar-22 13:10:28 74.00 200,000 Unknown* 73.00 75.00 148.00k O
17-Mar-22 14:45:48 74.00 100,000 Unknown* 73.00 75.00 74.00k O
Nearly 0.7M. in ESYS shares reported late today, which is over 1% of the shares in issue.
It looks like more institutional buying, & another big institutional '**************'.
Big trading volume like this often marks the bottom of a share price trough, before a significant move back up.
17th Mar 2022 5:56 pm RNS Director/PDMR Shareholding
Director/PDMR Dealing
essensys plc (AIM:ESYS), the leading global provider of mission critical software-as-a-service (SaaS) platforms and on-demand cloud services to the flexible workspace industry, has been notified that on 15 March 2022, Jon Lee, Non-Executive Chairman, purchased 27,322 ordinary shares of 0.25 pence each ("Ordinary Shares") at a price of 73.20 pence per Ordinary Share.
Following this transaction, Jon Lee's total beneficial interest in the Group is 128,635 Ordinary Shares, representing 0.2% of the Group's total issued share capital.
Details of the transaction can be found in the Notification of Dealing Form below.
https://www.lse.co.uk/rns/ESYS/directorpdmr-shareholding-a42yyhiyi1n2xuf.html
The ESYS s.p. looks to have levelled off, with volume now picked up again this week, which sets a strong basis for a significant move up.
Progress towards a peaceful end to the Ukraine-Russia war appears to be happening, and let us hope that this does indeed happen soon, to end the appalling loss of life and destruction.
From an investment perspective, this would also provide a boost to markets and economies around the world.
And shares like ESYS, which seem to have been disproportionately and unfairly hit more, should receive the biggest boost.
DOTD hit an intra-day low of just 52.5p on Monday (7th. March), so at its current 90.6p DOTD's rise since then is actually 72.6%.
A similar recovery for ESYS could take it to about 128p.
Thanks to Carmarthenshire on ADVFN for flagging up this new Twitter post today:
"Mathew Thomas@mathewthomas484
#ESYS
Agree with all the chatter on twitter, this 1 has dropped too low ?
A gap fill 116-124p would be a nice target ?
8:18 am · 17 Mar 2022·Twitter for iPhone"
https://twitter.com/mathewthomas484/status/1504371623717179394?s=21
Another pullback on wafer thin volume to shake out retail but have a look at the buy trades up to 8:30am. Accumulation.
Looks like the drop was just silly games from the market makers.
There was minimal sell volume, and the dip was well bought in to.
Most of the fall has already been recovered.
16-Mar-22 15:16:11 75.00 50,000 Unknown* 68.00 72.00 37.50k O
Dropped sharply this lunchtime - to 68p - but already recovering somewhat.
Doubtless the sharp drop was caused by my purchase first thing this morning. Always happens.
ESYS's largest customer, Industrious, raised US$200M. just three weeks ago, which bodes well for its expansion plans ... in partnership with ESYS of course.
Might Industrious even been tempted to take over ESYS at ESYS's current lowly price?
The success of Industrious during the pandemic is testament to its high levels of customer satisfaction, which in turn is a strong validation of ESYS's technology.
Technology that can help to give its customers a competitive advantage, and succeed even in challenging times.
14th Oct 2021 7:00 am RNS Customer Renewal
"Major renewal and expansion with largest customer, Industrious
Framework to support Industrious' global expansion plans
essensys plc, the leading global provider of mission-critical software and technology to the flexible workspace industry, has renewed its strategic partnership with Industrious, the Group's largest and fastest growing customer.
The new global framework agreement consolidates all existing business between essensys and Industrious and establishes the framework for essensys to support Industrious's global expansion plans.
essensys currently serves 111 Industrious locations, comprising in excess of 3 million sq ft predominantly in the USA. The Group has recently supported Industrious's establishment in the UK.
Mark Furness, CEO of essensys, said:
"We are delighted to renew and expand our existing partnership with Industrious. Industrious is an example of our strategy to grow with our leading customers, by supporting their expansion plans. Industrious was one of our early partners when we established our US operation and we have worked together for over four years. This contract renewal reaffirms our joint commitment to provide great customer experiences using our technology. Our recent fundraising to expand the business globally will allow us to continue to support Industrious as they expand their operations both in North America and internationally.""
https://www.lse.co.uk/rns/ESYS/customer-renewal-leyljetrfgmm9rc.html
"2.22.21 — 3 minute read
Industrious Announces Milestone Investment From CBRE
BY INDUSTRIOUS PR TEAM
We’re thrilled to announce that CBRE has invested more than $200 million in Industrious.
This investment represents a significant minority stake in the company and is our largest fundraise to date. It’s also the clearest indication yet that Industrious is the leading platform for sustainable and strategic growth in the workplace-as-a-service industry.
Putting Industrious and CBRE’s complementary capabilities behind a shared vision will create the world’s leading flexible workplace offering. And while Industrious already has the highest customer satisfaction in the industry, this partnership will extend the scope and scale of Industrious’ offerings, making it the workplace provider of choice for the Global Fortune 1000 and beyond. ..."
https://www.industriousoffice.com/blog/industrious/industrious-announces-milestone
Thanks to Mr. Simmons for this useful post on ADVFN a few days ago:
Mrsimmons 10 Mar '22 - 14:01 - 49 of 57 0 2 0
"I agree the cash pile is all earmarked for investment in heads and product so it wont' last more than 23-30 months. The investment question here is whether this will generate enough new business to turn the Group profitable in the medium/long term and generate steady cash flows. Obviously first 6 months they are slightly behind. They must have done some market research which suggests that their offering is going to win in the marketplace. They now need to execute. From memory they are targetting 70m revenues in 4/5 years at 65% GM is £45m less Op ex of c,£20m generates a steady cash flow of £25m. No real working capital here as well which is good."
https://uk.advfn.com/cmn/fbb/thread.php3?id=44440912&from=49
£70M. of revenues, and £25M. of net operating cash inflow, could give a market cap. of about £1 billion.
Which indeed DOTD was valued at recently on numbers lower than that.
And as at last summer, DOTD had 30-bagged in ten years.
That's the level of ESYS's long-term mutibagging potential.
With ESYS's downside looking very-limited, then the risk-reward ratio is looking compelling.
Thanks LuckyOrange.
It was nice to see ESYS end the week with an up day yesterday ... I was beginning to forget what the colour blue looked like here!
Hopefully this indicates that the tide has now finally turned.
As always, some positive news from the company would help, though from the current oversold position it could rise well anyway, especially if there is more institutional buying.
I have used some of your post on twitter Hedgehog, hopefully it will return 3x it's current value in short order , I have set a vwap chart on there too! https://twitter.com/luckyorange1812/status/1502574449396260867
11th Mar 2022 10:08 am RNS Notice of Results
essensys plc (AIM:ESYS), the leading global provider of mission critical software-as-a-service (SaaS) platforms and on-demand cloud services to the flexible workspace industry, announces it will publish its results for the half year ended 31 January 2022 on Thursday 21 April 2022.
A meeting for analysts will be held at 09.30 on the morning of results. For more information, or to register attendance, please contact FTI Consulting at essensys@fticonsulting.com.
https://www.lse.co.uk/rns/ESYS/notice-of-results-muqaobmta0p1yax.html
ESYS's net cash at the year end was still £30.5M., so the company still has the vast majority of the sum raised, which is now looking very well-timed from the company's point of view.
The company's pre-tax loss last year was only £2.9M., and in 2019-2020 it actually made a pre-tax profit.
With the cash, the enterprise value of the business is now only about £23M. (current market cap. £53.1M. at 82.5p).
That is an EV sales multiple of barely one, which looks extraordinarily cheap for growing software revenue, 87% recurring, with high-growth potential, and from the leading global provider.
And the cash certainly increases its attractions as a takeover candidate.
Based on its very oversold technicals, and undervalued fundamentals, a significant ESYS bounce in the short term looks very plausible.
Certainly into the 100 - 125p range, and perhaps even as high as 150p.
"Berenberg Bank set a target price of 270 GBX for the company
Posted by ABMN Staff on Mar 1st, 2022
essensys (LON:ESYS – Get Rating) had its price objective dropped by investment analysts at Berenberg Bank from GBX 345 ($4.63) to GBX 270 ($3.62) in a research note issued to investors on Tuesday, Digital Look reports. The firm presently has a “buy” rating on the stock. Berenberg Bank’s price target suggests a potential upside of 114.40% from the stock’s current price. ..."
https://www.americanbankingnews.com/2022/03/01/essensys-lonesys-price-target-cut-to-gbx-270-by-analysts-at-berenberg-bank.html
So Berenberg has cut its target price for ESYS from 345p to 270p, i.e. a 21.7% reduction.
Whereas in comparison, ESYS has fallen from 245p at the end of February to 82.5p this weekend, a 66.3% fall.
And the upside from 245p to the old target price of 345p was 40.8%.
Whereas the upside from 82.5p to the new target price of 245p is 197%!
And an interesting after hours trade on Friday, by far the biggest of the day:
Recent Share Trades for Essensys (ESYS)
Date Time Trade Prc Volume Buy/Sell Bid Ask Value
04-Mar-22 17:05:54 99.04 88,333 Unknown* 80.00 85.00 87.49k O
If it was dealt on Friday then surely it has to be a buy, probably from an institution bargain-hunting.
After all, institutions were backing ESYS in a placing in July at 285p.