The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
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All over the deal is done. Bargain give away. So we shareholders will just have to settle for what we are "given".
Yes the price action suggests this is not a totally done deal. Hopefully the other II's will hold out for a better price.
Stockopedia has FY23 forecast eps of 27.7p so an exit multiple of 14.5. Seems very cheap given the long runway for growth in data centre and renewables.
Not easy finding good small caps like this so bit disappointed tbh, although i can see the strategic fit.
Me too had for many years building up to over 100k of them so big profit always appreciated. Interesting to see people buying small quantities at 398p, rival offer ?
I am disappointed this is going to be taken over. I bought into this years ago, and was expecting this to return 400%! In the end it was not to be. Good companies taken private, as always...
Great results update
Crestchic's clear strategic focus continues to pay off spectacularly, with interim PBT surpassing that of Full Year 2021.
New Equity Development note out raising its Fair Value to 360p/share, as you can read/hear with free access:
https://www.equitydevelopment.co.uk/research/spectacular-h1-report-leads-to-4th-upgrade-this-year
Two days of consolidation and off to the races again today
Load is the twinkle in analysts eye and flavour of the month, no doubt about it.
But such is the enthusiasm for this stock it has IMO been driven into Overbought territory, so I expect the market to trim the excess off the SP over the coming days. Shouldn't be too much of a pullback though, just a reaction to the rush by investors to get in on a good 'un.
https://www.**********.co.uk/articles/crestchic-executive-chairman-peter-harris-discusses-the-company-s-impressive-h1-results-1fd68b8/
Crestchic Executive Chairman, Peter Harris - 32 min video interview
Crestchic Executive Chairman, Peter Harris
No upper resistance.
Not been this high since 2015.
A very positive pre-close trading update with all markets seen as strong.
We raise EPS estimate by 37% and our fair value/share rises to 283p, vs 196p last close. Read, hear new research note:
https://equitydevelopment.co.uk/research/growth-momentum-continues-unabated
A site visit to Burton-on-Trent for the official opening of the new manufacturing facility proved most encouraging. On an annualised basis, the new facility increases production by 60%, while reducing the backlog of orders, increasing the rental fleet, and providing the necessary space to refurbish additional equipment.
With no reason yet to adjust recently upgraded estimates our fair value / share remains unchanged at a materially higher level than the current price, and we would remind readers that:
• The new loadbank production facility was completed on time and on budget and officially opened on 6 July. The new 1,200m² manufacturing site in Burton-on-Trent and adjacent to the existing facility, increases production capacity by c.60%. In total, 25 additional skilled employees have been recruited and trained in anticipation of the expansion in production.
• The order book had a backlog of approximately six months, which is expected to decline markedly by the year end following the removal of the production bottleneck. The new facility will manufacture not only for outright sales but also for the higher margin rental market. The target is to further lower the carbon footprint of the manufacturing and refurbishment facilities.
• There is accelerating momentum within the business, combined with a strong pipeline of orders into H2, price increases, and project wins. The momentum reflects the combination of structural growth in the data centre and energy transition markets in Europe and North America, coupled with recovery in the marine sector (predominantly in Asia) and oil & gas markets (Middle East).
• The Company continues to purchase and refurbish used loadbanks, benefitting from a dedicated section within the new facility. The condition of the load bank determines the level of refurbishment, ranging from the superficial (repainting) to installing class leading operating control systems plus enhanced flexibility and resilience using fibre optics. Refurbishment can add a further ten years usage on equipment within the rental fleet. The evidence of minimal inventory on site confirms the increased focus on fleet utilisation is underway, potentially further improving the gross margin mix.
• The new factory is not the only new development. Two new branches – one in the US (Fort Worth, Texas) and the move to a larger facility in Antwerp, Belgium to ultimately include the rental of loadbanks (currently transformers only) - further targets the buoyant datacentre market across two of the Group’s largest geographical regions. The new manufacturing facility will supply both new branches with inventory.
No trading update was provided, suggesting that the Group remains in line with upwardly revised financial expectations (as of June ’22). We leave our DCF-based fair value / share unchanged at 249p, representing a 30% premium to the current price.
Link: https://www.equitydevelopment.co.uk/research/factory-extension-open-to-satisfy-demand
Hope new name will not cause loss of message board.