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Unfortunately looks like an institution selling down two £4 million sales.
There were some big sells last couple of days. The company is performing well so this should right itself.
Plenty of strong results ahead in the gaming sector. Just keep to a point that you are not losing sleep over.
I hope it does break through 1550 and keep going.
One of the directors sold 500,000 shares at 1540 last April, so I'm hoping that there's nobody on the BoD going to do the same again.
Price firming up at the 15.50 point.
There was a 90k buy today at that point. Been some sells but considering today has been a tough one this has shown good strength so far.
Breaks the resistance price could move quickly up.
Two more significant adds by Liontrust last two days.
Some nice block buys coming through right now 362k and 160 odd k.
Added a little myself and will add more if we get some further pullback to £14. They see it strong and I agree.
Where it is now is where Liontrust increased their position at.
This is the safest way to play Gaming as they are doing the development for 25 of the top 27 publishing houses.
The spends are increasing as is the technical difficulty of the work, bodes well for us.
Will look to add further as we are in the right area to add.
HL have KWS on their recommended buy list for 2020...
There has been some serious buying recently large trades.
These small trades we react to today are not reflecting that still the price has had a strong run
and we are due a pullback.
The sector is hot and we work for all the key companies in the sector. As Gaming grows so does Keywords.
I'm looking to add when we hit my levels.
Miniscule share volume being traded today, and the value of the trades in-no-way reflects the value of the company.
They sure can move this stock fast. 1560p to 1450p in two days not even much selling taking place.
Still we are due a pullback.
We may hit £14 before we go on our next leg which should take us around £17.50
Yep, good to see Liontrust buying - they now 5% of KWS with 3.26m shares:
Https://www.investegate.co.uk/keywords-studios-plc--kws-/rns/holding-s--in-company/201912200942166421X/
Nice increase from an institution who most likely have access to senior management.
They will create opportunities to cross sell and rationalise expenses thereby streamlining operation.
Business strong 18% growth in revenues expected to continue.
The key is the 200 dma around £14.30. If that gets take out and stays above it shorters can start closing their positions fast.
Company has to release further info to get them moving out. The acquisitions were good and as we know the sector is fizzing - only we aren't yet. Still we are at low of our range which is positive fundamentally around FPE 27 and trading range.
Will not take much to get us back up.
So easy to mop these businesses up rivaldo because they will get so much more work. KWS will succeed as gaming grows. US Universities provide scholarships now!
The forces of darkness are once more swarming all over this share, with half a dozen upping their short exposure and a huge total of 6.85%. The heady rally seems to have driven them into a frenzy of increased negativity. Oops downside yer head.
Three acquisitions announced for a total of EUR11.2m cash and shares (including a large deferred portion based on performance).
These were bringing in EUR4.8m and around £730,000 of historic PBT to March'19 and June'19 (assuming break-even for the smallest business), which has hopefully increased nicely since then.
Kantan in particular sounds terrific:
"Kantan is a leading developer of automated translation technology with its own Neural Network Machine translation engines, KantanMT, and a global crowdsourcing translation platform, KantanSkynet. It licenses the technology and delivers development services to end user organisations such as eBay, VistaPrint and the European Commission as well as to language service providers.
Kantan was founded by Tony O'Dowd, a pioneer in the development of Machine Translation and Translation Memory solutions. Leveraging a combination of academic research interests and latest technology developments, he has a proven track record of delivering successful commercial applications."
Https://uk.advfn.com/stock-market/london/keywords-studios-KWS/share-news/Keywords-Studios-PLC-Acquisition/81365693
Nice Bullish engulfing candle. Technically ready to turn round.
WE could have a nice holiday lift.
Another Motley mention, a couple of days ago :
https://www.fool.co.uk/investing/2019/12/09/want-to-invest-in-video-game-stocks-heres-what-id-do/
They appear to be accretive to growth. But you are right to many large acquisitions gives indigestion.
These seem like bolt-ons and the management appears very tight with their largest clients who are expanding nicely.bodes well for us.
The whole sector looks hot. Codemasters kicking in and sumo. US companies at interesting buy points.
well, on my shopping run yesterday I have also bought some shares of KWS.
The market segment for gaming and everything related to gaming is only going one way and this trend is forecast to continue. Hopefully KWS shareholders reap the benefits, although I do hope they don't go too fast in making acquisition after acquisition!
Well managed and the sector is red hot. They are working for everyone and more content needs to be delivered.
We may hit the fifty day at £12.45 then start to really spike up.. This is looking like a nice area to accumulate in.
Https://www.irishtimes.com/business/technology/keywords-studios-forecast-to-increase-acquisition-spend-1.4104403
Extracts:
"Keywords Studios forecast to increase acquisition spend
Wed, Dec 4, 2019"
"Dublin-headquartered gaming company Keywords Studios is likely to ramp up spending on acquisitions again in 2020 after a relatively quiet year, according to brokers.
A note to investors from Numis Securities suggests a pick-up in pace to an average of spending between €30 million and €80 million next year on acquisitions."
"According to the investor note, recent concerns from investors over slower revenue growth seem to be misplaced.
“We continue to view Keywords as an excellent long-term investment, with value creation from both further acquisitions and organic progress,” said Numis analyst Will Wallis.
“We believe that Keywords remains a very attractive way to play the long-term growth of the video game market,” he added."
"“Keywords holds itself out to be a business with simple revenue recognition and very high underlying cash return on operating assets. Our analysis fully supports the view,” Mr Wallis said.
Keywords was named company of the year at the annual Technology Ireland awards in Dublin in late November. It also took home the “outstanding achievement in international growth” award in recognition of its phenomenal growth in recent years."
A few snippets:
Https://www.mcvuk.com/keywords-studios-andrew-day-i-love-the-industry-and-i-dont-see-it-slowing-down-anytime-soon/
“I was travelling last week, and I took the opportunity to visit five major game development studios,” Day tells us, though he won’t reveal which ones exactly, as the work of firms such as Keywords remains highly secretive.
“And I spoke to the heads of all of those studios, and every single one, volunteered to me, that they’re all going to be making more games in the future with the same number of people. Next year, the year after that, and the year after… They said, obviously, we’re going to need more of your support to be able to do that.”
“More and more integrated,” is how Day describes that relationship. “Three or four years ago in our offices, we would never have been asked to do hero assets, certainly not whole levels of the game. And all of that’s evolved quite quickly, so that it’s not untypical for us to be doing 80 per cent of the art on a single game in a highly integrated pipeline."
With the Google Stadia launch this very month, and xCloud, currently in preview, close behind, the new generation of console platforms will be larger than ever, and not simply boxes in living rooms, either. And more platforms creates yet another potential revenue stream for external development services.
“We’re lucky. I mean, we’re working for those [streaming] players directly but obviously, we’re also helping our partners in importing their games or where we’re developing games for them or with them, we’ll be building in the Stadia version, as part of the programme of delivery. It’s a very good position to be in, we sort of know what it takes.”
So has Keywords found the new streaming platforms to be a smooth transition too?
“I’d say it’s been fairly smooth for us. It’s funny, we’re a publicly traded company, so we have investors and they ask interesting questions like: ‘What do you have to do to prepare yourself for streaming platforms?’ or ‘Does that mean you have to go out and hire a completely different sort of resource type, because VR is coming around the corner?’
“And actually, we get taken into those spaces by our clients who are the content holders, but they’re also very often the platform holders. So somebody like Facebook with Oculus use our services, extensively.” In short with both platform and content providers as clients, Keywords should be up to speed before most when it comes to such shifts."
Numis say today that KWS remain "very attractive":
"Keywords Studios has slowed down acquisition activity this year and in 2018, but a pick-up in pace to an average of spending between EUR30 million and EUR80 million a year is likely, Numis says. Recent investor concerns on the Ireland-based, U.K.-listed provider of services to the videogame industry seem misplaced, as demand continues to grow rapidly and Keywords is a go-to provider with a strong acquisition track record, the brokerage says. "We believe that Keywords remains a very attractive way to play the long-term growth of the videogame market," Numis says."
Https://uk.finance.yahoo.com/news/forget-bitcoin-m-aiming-big-084351165.html
"With that in mind, here’s a look at a smaller growth company I’m backing myself right now.
Under-the-radar video gaming stock
Keywords Studios (LSE: KWS) is an under-the-radar company that specialises in video game support services including game development, functional testing, localisation, art creation, and audio and player support. It’s AIM-listed and currently has a market capitalisation of £836m.
The reason I like Keywords? Video gaming is absolutely huge right now. Believe it or not, the video game industry now brings in more revenue than the film and music industries combined. According to market researcher NewZoo, by 2021, the industry could be worth a staggering $180bn, up from $135bn last year.
Given that KWS serves 23 of the 25 most prominent games companies, including Activision Blizzard (Call of Duty), Electronic Arts (FIFA), and Epic Games (Fortnite), I think it’s the perfect way to get exposure to the video gaming boom. No matter the success of individual games, Keywords should still do well.
Prolific growth
It is certainly growing at a rapid speed. For example, over the last three years, revenue has climbed from $58m to $251m, which represents a compound annual growth rate (CAGR) of a stunning 63%. And recent half-year results, issued on 18 September, showed revenue of $153m (up 39% on 2018), which suggests that full-year revenue this year should be well up on last year. Meanwhile, net profit has climbed from $3.4m to $14.9m over the last three years.
Over the last five years, Keywords shares have risen from 143p to around 1,300p, meaning the stock has been an excellent long-term investment. Yet looking at the exciting growth story here and the stock’s reasonable valuation (P/E of 27 using FY2020 earnings forecasts), I believe that it has the potential to keep rising.
With the video gaming industry set to continue growing rapidly in the years ahead, driven by advanced technologies such as 5G and virtual reality, the future for Keywords looks very exciting in my view."