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The war will be in Gaza and possibly South Israel near the Gaza border. MTI should be unaffected and indeed the company has not considered it necessary to issue an RNS. Lots of cash, repeat contracts and new contracts and no debt, plus it pays a good dividend. A good recovery investment IMO
Thanks for that, uhm a bit worrying.
Its HQ, senior management and most of its infrastructure may soon be in the hottest of war zones
kinda challenging
Looking at the all the other countries thus company does business in, why so much of a drop.
Any ideas.
OK maybe not this week but certainly this month. Biden/Blinken “efforts” are mere window dressing. Israel will do what it considers necessary, the international community will be in uproar, but led by the Americans it won’t actually do anything and by the start of November everything will be back to “normal”, that is, until next time. Enjoy the SP bounce when it comes. The company hasn’t put out a statement because it doesn’t need to. I’ll have a look at BVC when the SP dips below 20p but it has had good contract news this week so the SP has held up so far
There is news that Israel will breach international law by ordering Palestinians to evacuate. This sp is being run down on risk of trade embargo with Israel which is probably unlikely given uk and us bias. It certainly will not be over next week though.
Almost certain it won't be over by end of this year
I wouldn’t worry, it will all be over by the end of the week
War risk means regional war with US, Iranian involvement plus plenty of others
Trying to stay in business in a war zone is tricky
Had my eye on this for a while waiting for an entry point but given what is going on in Israel I suspect this one has further to fall yet. BATM have come out with a very vague RNS stating that the war will have no material impact on business. How they can say that so early on is beyond me, MTI have been quieter which is probably more sensible until they have a better idea. There may be no real effect but I suspect the market may take this down to the 20's on uncertainty.
If the current conflict ends quickly this should bounce. With no debt and cash deposit being equivalent to 8p a share this seems a good recovery buy especially as one of its lines of business is in the defence sector. Hopefully value of the dollar won’t be too much of an issue from here
I expected the fall today but am not sure how much effect it will have on their projects around the world.Just going to hold.
Tp 28p
Allenby Capital update today:
Https://wp-allenby-2020.s3.eu-west-2.amazonaws.com/media/2023/10/Allenby-Capital-TMT-Update-02.10.23-SKL.L-MWE.L-CPX.L-SEEN.L-.pdf?c3865=on
"MTI Wireless Ltd* (MWE.L, 44.0p/£38.9m)
Update: 5G backhaul contract wins (27.09.23)
• Antenna division has received orders from the Indian divisions of two large OEMs worth c. $0.6m for its 5G backhaul antenna solutions. These are existing customers, and the antennas are to be delivered by the end of 2023.
• MTI has been chosen to replace the antennas of a competitor that failed to meet the end customers' requirements, reflecting MTI's functional advantages. As such, this represents a potentially significant opportunity to capture a larger share of the customers' spend and the wider Indian 5G backhaul market.
• MTI reports demand for 5G backhaul solutions from other territories and the company offers the widest range of products and works closely with the leading OEMs.
• No change to forecasts or 90p/share fair value.
Allenby Capital comment: India has been identified by MTI as the most significantly initial market for its 5G backhaul solutions as network operators look to roll out 5G cellular networks. Given the volume of antennas involved, OEMs will typically look to source products from multiple suppliers.
The fact that two existing OEM customers have opted to replace a competitor product with MTI represents a significant endorsement of MTI's product set. As such, MTI is gaining greater market share with these customers and there is potential to gain additional share with these and other OEMs and in other territories. MTI already supplies seven of the top ten OEMs with its technologies. No change to forecasts but this serves to underpin further our growth assumptions for FY23 and going forward."
Shore Capital retain their 90p target.
They se 4.2c EPS this year, rising to 4.7c and 5.1c EPS.
The cash pile rises to $9.2m this year and then $10.5m and $11.8m, with a 5.9% dividend yield rising to 7.2%.
The cash pile is now essentially around 8.5p per share, so the current year ex-cash P/E is only just above 10.
Shore conclude:
"Outlook and valuation:
In the note that accompanied the FY22A results in March 2023 we highlighted that each of the divisions has long-term growth drivers with, in our view, Mottech
particularly well placed to potentially see stronger demand than we forecast for its water management and control software. The Antenna division is likely to benefit from the rollout of 5G across the world, as and when it happens, as MTI already supplies seven of the top ten operators with its technologies, hence we are most encouraged by today’s news. We would also expect to see continued good demand for Summit/PSK with its defence-related products and services as demonstrated by the news last month that two key PSK projects had already made significant
progress in Q3 FY23F.
We also flagged last month that, along with many stocks on AIM, the share price has drifted lower during 2023. We maintain a 90p fair value on the basis of a DCF analysis, which is corroborated by MTI achieving an FY23F EV/EBITDA multiple of 11.2x (the average of our peer group). We note also that the prospective 5.9% dividend yield for FY23F should also provide strong support."
Not showing real trades.... I have added a few today as good news keeps on coming..
Excellent - looks like 5G is finally taking off....
There must be a huge potential market to gof or in India, and hopefully this is just the start. The commentary is pretty bullish:
"Commenting on the orders, Dov Feiner, GM of the Antenna division, said : " India is going to be our most significant initial market for 5G backhaul solutions, so we are particularly pleased to win these orders. This is also because our solution has been chosen to replace antennas of a competitor that failed to meet the end customers' requirements, reflecting our technological edge in the 5G backhaul solution market. This is therefore a new and potentially significant opportunity to demonstrate the strength of our solutions and capture a larger market share of the Indian 5G backhaul market.
"We are also seeing demand for 5G backhaul solutions from other territories where we see good potential based on our belief that we currently offer the most comprehensive solutions in this market, including flat antennas, single band, dual band and automatic beam steering antennas. Alongside this, we have close working relationships with the leading Original Equipment Manufacturers which are key to becoming established in each market."
https://uk.advfn.com/stock-market/london/mti-wireless-edge-MWE/share-news/MTI-Wireless-Edge-Limited-5G-Contract-Wins/92132167
Rns … will we see +50p today
They aren't much cop at share trading
sold at 44p and bought back higher lol
Lots of supply of shares
limited demand
===> downwards pressure on sp
no??
It's plain weird
I understand buyback, and perhaps block selling to an II, but this?
The SRP was instituted in 2019 and has been periodically renewed, currently extended until March 2024. It is managed independently of the company by Shore Capital, who make the trading and timing decisions.
Today's RNS announces the sale of all held shares, resulting in a £5250 loss.
The idea is to improve liquidity in MWE, but could Shore Capital be doing a better job? As Shore don't work for free, is this an arrangement that ought to be renewed next year?
This is off a lot of peoples radar. I have been adding slowly.
Rising already today. And unsurprising imo given the value and potential.
Allenby's 90p target is a stretch in the current market, but in 6-12 months if all goes well MWE could have made very good progress towards it.
With a forecast cash pile equating to 8.4p per share, plus (1) ongoing strength in global defence markets for obvious reasons, (2) a ramping up of 5G spending as most are predicting, (3) the necessity for increased water efficiency/management and an improvement in general market multiples then MWE should continue to thrive.
Good to see the share price rising nicely from the lows in recent days. Much more to come hopefully!