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primed for ascent
any one of their top 5-6 plays is a winner, and this is grossly undervalued
tp 40p++
Not joking. Perhaps they’re hoping to learn something from the winners they’ll be subsidising!
Are you joking about MERC sponsoring the best performing share category or is it for real, it's not an award I have ever heard of hence I wonder if I have swallowed your very well laid bait ?!
I see MERC are sponsoring the Best Performing Share category at next week’s AIM awards. Oh the irony…
I thought you’d be up on it but ‘23.75p was too tempting just before divi pay date’ might have caught out newcomers. We Germans are scrupulously fair in our dealings with others unless we work for VW or the Bundesbank. The funds including VT are ignored in company valuation (half net assets while not including anything for the fund management business) so not a showstopper).
Mein Fuhrer, I was fully aware of the xd date, but thanks anyway, it was the low price that attracted me, plus the probability of a further 0.5 p after Dec interims, last year they paid 0.3p twice so hopefully that double up formula will work again.
They certainly have the cash to pay it with, my real worry is that they paid too much for Northern VCT's (most of the old team from Newwcastle have gone hasta la vista, never a good sign) & Northern were great performers in their day but all of that came from MBO's which the new rules have outlawed, hence, I guess, why they wanted to sell.
I noticed that the Northern fund raise last year was a much more leisurely event than some of the more favoured vct's, Amati for instance was closed in a few hours, others in just over a week. That is my only real negative on the company though.
Bear in mind though a purchase made now doesn’t qualify for the final divi as the shares went ex-dividend a week ago. Peanuts anyway with our purchases but going forward we’re locking in a decent divi if we hold long term. Let’s hope inflation gets back below target! I’ll be re-investing the final divi when it arrives.
Ha ha. I emptied my piggy bank before you.
I felt 23.75p was too tempting just before divi pay date and the strong likelihood of another divi in the interims that I averaged down, aka topping up. They have plenty of cash, management have plenty of skin in the game, what they don't have is plenty of buyers of their shares, sadly.
You gotta be in it to win it...
Going to top up in this one. Far too cheap with a wall of cash
These are just going with the market and my attitude is if you don't need the money, hold everything. if you do need the money, then perhaps you shouldn't invest in shares at all. They go up and down, didn't you know? Well now you do!
Indeed Mercia are cheap today, cheaper than yesterday as the saying goes...
I agree re the likely discount to NAV is large, and getting larger, but this is a bit of a "trades by appointment" stock so one just has to take a view and be prepared to be patient.
I have been very patient but so far it has not got me very far.
and still they go lower, jollyspeculator. Trouble is this seems to apply to much of my p/f right now!
the ex cash discount of tangible book value is ridiculously high imv (dyor etc etc)
I'm up to 40k and will probably just scale in...up to c100-150k...over time
I’m with you there barchid. With ongoing private equity consolidation it’s eat or be eaten.
A rather bullish & comprehensive research piece on MERC today by Edison.
Very well worth a read (if you can find somewhere shady to do so today), seems like they could be on the M&A trail according to the author of the report, but I fancy they must make a very tempting target themselves on the quoted ratios.
.... " Let me out ....! "
The issue is is that if they don’t get the share price moving then no one will ever buy for risk of being trapped in the stock
I missed the presentations were buybacks discussed?
Yes, I can see why they’ve bought at that price.
Some useful purchases (market not option exercise) were made & listed on RNS by the board members, which to me gives off a signal of some meaning.
Follow the cash....
During the presentation Julian Viggars said the following about their portfolio company myhealthchecked:
Mercia aren't represented on the board but they have informal discussions with directors.
Current share price doesn't do justice to the strength of management and progress made.
Mercia brought in the management team and know their capability.
The company has significant cash and is still trading well off covid.
They have new products and sensible ideas for driving customers to buy them.
Mercia are confident the management team will make a success of the business.
dyor
Under water at the moment but this will end better than das boot and bish bash bosh Boris. What were you English thinking electing that?
Scharnhorst
Classic timing of yours to give us the Das Boot clip, must resemble the cabinet room at number 10 tonight eh ?
I agree with you re the numbers, most encouraging, as for you being in for a significant capital gain I wish I was, I must have bought too many in the low 30's as I'm still under water & needing the snorkel tube at present.
Still, onwards & upwards...