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Agree, if not a little surprised they are weathering this storm so well which places them in a good position once we enter calmer waters. A hold for me.
Today's update confirms 2020 trading was in line, and that management's expectations for this year are overall unchanged.
Which presumably means that forecasts of 1.2p EPS will be retained.
Most importantly, underlying cash generation has been good, and net debt has been reduced to pretty minor levels, especially after the SME unit disposal.
It's likely there'll soon be acquisitions to kick the group on. A shame that a large acquisition was aborted, but better to be prudent and wait to acquire quality.
Patience is required, but INSE should make good gains at some point when the lockdown eases (and thx for the comments LordofBurnley!).
Is the potential big buyer still going in the background but now having to pay a higher price. Looks like more 'buys' coming in just now as the long-term holders stick around and don't sell.
Hopefully this will start to tick up a bit now
Just wondered if those who are much more in the know about these things can tell me what's happening here? For a while, now, we've seen trades at below the bid/ask mid-price yet the sp isn't being moved down (which I'm relieved about, I guess).
I can only presume there's a big buyer in the background soaking up these shares. Is that the likely reason the sp isn't drifting down or is there something else happening? All thoughts welcome......
...and just seen you posting on DNL, HunSen. That's one I've been in for a couple of months having bought in at 58p (which is annoying given that if I'd waited a few days could have got in at around 50p but, like you, have high hopes for the medium to longer term).
Apols to others for the off topic, here.
Hi HunSen - the best thing to do is scroll through rivaldo's posts. He's the most informed poster (in my humble opinion) and has his finger on the pulse).
That being said, the most recent rns from the company suggests it's been a difficult year for INSE but not as bad as feared. They're also selling off (to a management buy-out) their worst performing division. Historically, the company has been performing well and, in effect, buying market share to become a reasonably large player in the market. They seem to have a wide portfolio of clients with some impressive names in there.
Personally, they're one of my long-term holds and think a sound investment. I was hoping for spectacular sp rises but now content myself with more modest, but sustained, growth. I like the idea that the business is focusing on its more profitable and market-differentiating parts as well as paying a bit of debt down (whilst not compromising its ability to keep on the acquisition trail as and when opportunities arise).
As I say, rivaldo gives better financial info than me but I've been here a while and been topping up at these levels (although my average is now around 16p).
Take my thoughts with a pinch of salt - I am a fan of INSE. I don't wish to patronise but please do your own research.
Hi All,
I have just picked up INSE on a Sharepad screen, I have noticed 73% of shares are owned by institutions or individuals greater than 3%, the company is growing and forecast for sales and profit growth (part of the screen I run). Clearly Covi-19 will harm growth, can it recover? How sustainable is the growth in the market (can it continue for years to come)?
Could anyone who is more familiar with the company offer a summary of views? I'm looking to rebalance my portfolio in the New Year and this could be a possible buy.
ALB
INSE yesterday won a two-year contract to provide energy management and broker services to the University of Wales:
Https://bidstats.uk/tenders/2020/W51/741146876
New consensus forecasts from Sharecast are 0.73p for the year about to finish, and 1.2p EPS for the year starting January 1st.
With 0.3p and 0.4p dividends respectively.
A P/E of 11.4 is decent value for a business which should recover pretty quickly from the pandemic, is likely to make earnings-enhancing acquisitions soon and reaps an all-round benefit from the ever more important green agenda.
Plus the optimisation division has very large upside once the sticky customer base accelerates its uptake via cross-selling.
The good news...
- 2021 guidance for 1.31p EPS reiterated
- the non-core small business division sold for up to £10.5m
The bad news is that 2020 underlying EBITDA will be significantly below expectations, wholly due to the lockdowns. Hardly unexpected.
Given the deferral of this year's Optimisation income to 2021, and the general recovery from the New Year given the reduction in lockdowns, prospects for next year look OK, but I'm sure the MMs will mark the share price well down from the off.
Surprised to see so few trades here today. I would have thought there'd be quite a few small DRIP trades going through today. I've had £40 and £60 trades gone through but not showing......
Interesting new article from INSE about the Government's "Green Industrial Revolution" - I hadn't realised that INSE are working with their clients re switching to electric vehicles....
Https://inspiredenergy.co.uk/green-recovery-uk-governments-ten-point-plan/
Extract:
“In terms of the other measures announced, we welcome any serious incentives to move businesses off gas onto low-carbon heating such as heat pumps, and the news around the future generation mix supports the recent boom in businesses switching to green electricity contracts.
“Similarly, we’re also working with several clients on the benefits of switching to electric vehicles – a recent example showed that for one client, electric delivery vans were more cost-effective for them in the long run and the ranges were compatible with their daily needs.
“In all, it is a positive move, and we look forward to further policy announcements – particularly the Energy White Paper – later this year”
For the record, I note that the consensus forecast for the year about to end is 1p EPS, with a 0.3p dividend.
This rises to 1.31p EPS and a 0.4p dividend for the coming year. That will soon be a current year P/E at 14.25p of only 10.9. It's easy to imagine that (1) accelerating out of COVID, and (2) with a highly Green agenda, INSE could trade on a P/E of say 15 to trade at around 20p - and that's without any upgrades.
Good to see less than £30k of buys cause a 0.4p tick up today. Likely not much stock around.
Good to ses INSE recognised as a likely beneficiary of the UK's huge new Green Energy spending plans:
Https://www.proactiveinvestors.co.uk/companies/news/934267/hydrogen-specialists-surge-on-boris-johnson-s-10-point-green-recovery-plans-934267.html
"With £1bn invested in the next year to make homes, schools and hospitals greener with lower energy bills, along with a one-year extension to the Green Homes Grant voucher scheme by a year, this could provide a boost to the likes of Inspired Energy PLC (LON:INSE), an energy consultancy that helps companies with energy procurement."
Yep agree this stock is never going to set the world on fire, but its very cheap at the moment worth 18/20p all day long.
Yep - less than £100 of trades showing yet the price is ticking up quite nicely.
Up nicely again today on essentially no trades. I assume there's healthy background buying interest and not a lot of stock around.
The price has moved up following a 500,000 share trade at 13p, so I assume that was a buy.
Surging :o))
doh, I should do the maths against the number of shares sold: 33,725,000 and 35,481,173 against 962m shares in issue (according to LSE fundamentals page). So that's 3.5% and 3.7% resp.
Well spotted - so £8m set against a market capitalisation of about £120m - about 6.6% of the company's shares (unless £4m sold, £4m bought, in which case 3.3%). Either way big stock changes for INSE, is Gresham House buying again as rivaldo noted? Seems like INSE's a good place to be right now: It feels oversold, and the economy is likely to revive as vaccines come on-stream so the company can get back to normal service... and now this major shareholder activity, possibly just adjusting portfolios, but also the chance of a premium if this is leading up to a bid.
2 deals at 4m today which i would say are buys
20% now , building up for a bid???
I think you have your answer there, NotBot, in today's RNS.
Good signs all round and I hope to see a little more blue action here today.
PS Glad to see you're still knocking around, rivaldo, and, as ever, with useful info