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its worth noting that the sp very rarely follows the NAV!
its just another form of valuation
Its all in the final results RNS:
Specifically NAV below:
Net asset value
As at 31 March 2020, the Group’s consolidated net assets stood at £4.98m (2019: £5.14m). There were 14,677,257 ordinary shares in issue at that date which equates to a net asset value per share of 34p.
As we have previously stated, the Company’s ordinary shares continue to trade at a substantial discount to the net asset value. We recognise that there is a value of goodwill on the balance sheet and we review this each year to ensure that the value is fairly stated. In each of the past two years, the board has taken the decision to reduce the carrying value of our security division by £200,000, and we have done the same thing in 2019-20 in line with good accounting practice. The write-down represents a reduction of approximately 4% in the consolidated net assets of the Group. The board remains satisfied that all other goodwill valuations can presently be justified.
As always DYOR
Is it really NAV 34p iaintgotaclu? Where do u justify 34p with no problems eg cash flow, cash in bank, no legal problems, debt free or little debt, upcoming company.
Is this a good share to invest in guys?? Just got burnt in Rurelec, the sp rose too fast, peeps said easy 4.5p-5p now that's 1.9p , peeps in huge paper loss or actual loss of sold out, rns shows no money in company. Is this a good share guys?? Honest opinion and why, does this has enough cash in bank?
PHSC actually had a net net asset value of about 7p
(current assets - total liabilities)/shares in issue.
So it had more current assets than total liabilities
Something that Benjamin Graham looked out for in his book (followed by Warren Buffet).
BOOOOOOMMM Nav 34p
Nuther jump ;-)
again for 8k, be in the 20;s soon enough
Looks to breakout buys steady could finish at around 22p to 25p
Look to asset value of £5 double the mcap ? Should be 30p by only the asset value,
Cash of nearly £1M as of today
only 2k available at 18p
EBITDA of £0.255m, an increase of approximately 120% from £0.116m last year (after adjustment for exceptional gain on property sale of £0.166m last year)
No shares and mostly hold by directors, could be 30p+
Goes NT to buy after a couple buys, must be low freefloat
Very tiny mcap
Interesting research - I saw it on ADVFN too. I have been watching this company for a while and bought in on the dip at 9p. It moves quickly and liquidity isn’t fantastic, as you will know, but any volume would send it high if something like you mentioned happened.
Part 2
First apology, tables changed between LSE posting box and uplift to the site. Hope it still makes some sense
But these are my musings. I would be interested in other thoughts.
As ever DYOR please, and not take the above as an investment recommendation. I am using my own money and my own research for better or for worse. Again I repeat DYOR.
,
I was looking through the AIM 100 in the IC and I noticed MARLOWE (MRL).This is a company that has rapidly expanded in the fields of health and safety,fire safety, water treatment,law, occupational health and air quality through numerous takeovers of smaller companies .Quite a conglomerate and reminds me of the Slater/Hanson era although Marlowe are mainly using cash plus earn outs. I wish them well, but the point of this rambling is the prices paid and the relevance to PHSC.
All millions
Company Revenue PBT Net Assets Price Paid
Solve Not disclosed
(HR and
employment law)
Managed Occupational 4 0.6 0.6 1.8 up to 3
Health
Eurosafe 3.4 up to 2.5
Law At Work 5.4 1.0 2.2 6.3 up to 10.3
(subscription based
employment law
and Health and safety)
Fire and Safety 4.3 0.6 1.2 2.4 up to 2.7
Systems Ltd
Quantum Compliance 4.5 0.5 1.0 4.0 up to 7.2
(health and safety)
Current MarketValue
PHSC 4.43 0.28 5.3(?) 1.5 (inc 0.7 cash)
So what is my point. Marlowe seem to have a penchant for buying small companies that help others with the necessary but “irritating” aspects of corporate life. If PHSC can ever turn around the security subsidiary (or sell it) then their profits should be nearer the £ 0.5mi level. Their worth as a stand alone company or as a purchase for another would in my opinion be in the region of 25-30p. A purchaser would surely be able to substantially reduce the Head Office costs. Do not be mesmerized by their net assets as they must surely be reduced by more write downs for the security side. Again courtesy of the IC, I noticed a quote from Stuart Widdowson (a manager of a small companies fund)
“We look at whether a company would be worth more to a trade buyer or a private equity investor”
N.B
All the Marlowe and PHSC's figures are pre COVID 19 but I think this demonstrates that when normality(?) returns and Health and Safety are still paramount in both company and public minds, then a re-evaluation could occur.
I have a holding and after my own analysis have bought more. I am happy with my position and the income stream (final might be passed as per other companies!),and view it as a long term holding .
And she's up 16%.
Hardly any shares available on the market , that must be why?
Only 15m shares in total and the Directors hold many of them.
Could this company be one of the few to benefit in these times ? Health and safety advice - could be.
Time will tell.
This should be over 30p with the value of its assets.
bottom out every March/April.
Between dividends , I guess.
Thinking the SP will move up as we get closer to full year results in early August. Currently paying 1p per annum dividend (11%).
My guess is they will keep it (divi) going as full year results relate mainly to 2019, and it only costs £75k x2 = £150 k per year. This is due to there only being 15m shares.
5m in assets and paying around 11% dividend.
Been around a while too !
Just noticed the directors are holding a big chunk of shares as well.
Interesting - will keep on my watchlist.
Will buy when blooody oil goes back up and releases me some cash ! lol
Ha..last chance for div :) tcn in too
Goes ex tomorrw. Sold a few to add TCN
Nice to see the sale on Friday being absorbed quickly
0% change...