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Forward p/e of 40, I think.
This looks oversold. Any analysis out there?
We are now back at pre-covid levels. What a waste that has been. The path seems to be clear for solid progress and growth from here onwards.
Profit up, debt down, SP up 17% - what's not to love about this little company in the South West?
Grow up!
Andy bowes is a nugget
Would there be significant price move based on the earnings report?
Although the price levels have not been onerous I held back from buying because it has not been able to maintain an upwards trend formore than a few days at a time. And now this! Once again reassuring to see Directors' buying but I shall not top up until a clear northwards trajectory is maintained even though this means missing best prices...
ignore my last post, only just seen the date DOH!
check out the interim results from yesterday's rns and that'll tell you why the nrevousness
I’m not too sure, perhaps a seller. I picked some up this morning, I like this level for a bounce
For the last three months GHH have been looking a bit precarious and with another sharp drop in the SP yesterday we look set for further losses in the coming week, I fear; so it is not yet time to top up although it was reassuring to see Directors buying recently. Does anyone know what might have triggered yesterday's nervousness?
Looking massively oversold here. Directors were buying 40% higher than here....
Full year results tomorrow. Judging by the drop last week I wonder if bad news has been leaked. Hoping for a rebound.
SS
And just as we are singing their praises they drop by 7%. 'In line with management expectations' when Mr Market was looking for more. Hey ho, they will come back...
I have been invested here since 2004 , sold a few along the way to get my original investment back and sold a few more recently at just under �17 as I thought they were looking rather expensive on a P/E of 50 ish so of course they went up another �1.50 , what do I know! I'm now thinking takeover, somebody is hoovering up all available shares , but I can't think they will want to pay much more than the current price. Any ideas anyone.
Hi Saigon I too have been invested in GHH for a very long time. Ironically, it was used at a "pump & dump" vehicle in the dotcom boom & bust period. Have you been involved for that long? In any event, I looked carefully at the company and retained my interest throughout the period. In fact I only sold out prior to the post-referendum fall - then bought back in at 835p, so I managed to get my timing right for once! When Archie Gooch and his team were gradually replaced in the company I had a little nervousness, but the new executive management team have shown that they know what they're doing. I particularly like their selective buying which achieves their dual goals of moving up the value chain and strengthening their underweighted markets. However, I wish they'd balance this with a little more generosity in their dividends policy - but this really is only a minor gripe. Like you, I have been perplexed by what seems a general lack of interest in this hidden gem of a company. Maybe there's a few more of us lurking on this BB just waiting for a post line yours? ATB LedZep
I have been following and invested in this company for some time; although small it seems to be doing a great job and the returns are consistently sound. Why does it not attract more interest?
Wondering where people think the stock is headed? I covered this in my 2min video today... https://www.youtube.com/channel/UCiaI8vNMApYbmXHCOKUJCDw Anyone got any thoughts on the stock for 2017?
Gooch & Housego (GHH) is a world leader in the photonics technology market with manufacturing bases in the UK and US. The company covers the whole spread of activities from research to manufacturing components and systems for customers. The customer base covers, aerospace, defence, life sciences, industrial and scientific markets. Industrial still dominates revenues, but defence and life sciences are both growing strongly. Nearly three-fifths of revenues are generated in US dollars from North America and Asia Pacific. This year the company had a weak first quarter but stronger trading since then means that there will be profit growth this year. Gooch & Housego has one of the higher ratings among the companies in this article, but there are not many opportunities to acquire this type of business with its spread of activities and sectors. Recent add-on acquisitions have widened the group's capabilities and increased exposure to the defence sector. Net cash will still be £12 million at the end of September 2016 even after these purchases. The shares are trading on 22 times prospective earnings for the year to September 2016, falling to 20 next year. The shares are not a bargain on the basis of the short-term prospects, but this is a quality business that deserves a rating that reflects its strong market position.
cleared out £3M today
Adjusted profit before tax for the year was £8.2m (2011 £10.8m). Adjusted basic earnings per share were 28.2p (2011 38.0p) a fall of 26%. Reported basic earnings per share were 24.4p (2011 35.5p).
Prospects Although the global macroeconomic outlook remains uncertain in the short term, Gooch & Housego's markets continue to exhibit attractive long term structural growth drivers as a result of the continued global investment in optical technologies. We remain of the view that the Aerospace & Defence sector has the potential to deliver significant growth for Gooch & Housego despite near-term delays and uncertainty resulting from budgetary constraints and political uncertainty in the US. With our highly specialised capabilities, Gooch & Housego is well positioned to address a growing demand for photonic technology in what is likely to be a shrinking overall market. In Life Sciences we are exploiting similarly unique capabilities in OCT and diagnostics, both of which are high-value, high-growth markets. Diversification within the Industrial sector into fields such as sensing, metrology and semiconductor equipment is progressively reducing our historic dependence on the Q-switch and the industrial laser market, although we are committed to maintaining our dominant position in this field. To provide long term sustainable growth and increased resilience to market cyclicality and macro-economic uncertainties, we will continue to execute our strategy of diversification and moving up the value-chain through a combination of organic R&D and strategic acquisitions.
Order book As at 30 September 2012, the Group order book stood at £24.9m, compared to £28.5m at the end of the 2011 financial year, a 13% fall. On a like for like basis, excluding the impact of foreign exchange, the order book is 11% lower. Book to bill ratios for the business as a whole were 1.01 times (six month rolling average) as at 30 September 2012, compared to 0.88 times for the same period last year. This is a reflection of the strong order performance over the last six months of the 2012 financial year in which £33.3m of orders were booked.
Gareth Jones, CEO commented: - "We have made good progress in executing our strategy of establishing a more diversified, resilient and broadly-based business. After a difficult first half we have delivered results in line with our revised expectations in a difficult trading environment."