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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Nothing to worry about. Just a notification of number of share in circulation with voting rights attached...
can someone please explain the RNS from yesterday? i don't understand what it is? hoping it's not a dilution. thanks
All seems to be going well. It should continue on its journey north barring any catastrophes but for now all looks fine.
They have decent management. They have a good pipeline. Good existing relationships. Money in the bank.
All we need as early adopters is the rest of the PIs to discover this hidden gem.
what's the consensus here? you guy's holding this for year's, or 10p target? seems to me that this has huge potential for the future and would be foolish to sell before Christmas at least?
A share that just keeps giving xx
Good to see a buy this morning at the full 3.2p offer. There was a sizeable 500,000 share buy yesterday at 3.174p.
Are those massive trades from yesterday:Sells?
Amazing isn't it - most PIs seem to go for blue sky stuff with no or tiny revenues valued at £100m+, so the likelihood of multibagging when you're already paying sky-high prices is very small. And the risk/reward equation is hugely against you given the potential downside from the slightest disappointment.
In contrast, REAT has three-bagged from when I bought around just a year ago. Yet it's still only on a £15m m/cap at quite a reasonable growth P/E based on the annualised run-rate of 1.7p EPS - and that was from after the Fidelis acquisition and before the two most recent contract win RNS's, including the huge contract win yesterday.
It's not hard to envisage REAT making equally large gains from here given the potential for more such sector supplier/contract consolidation and further acquisitions.
Best to keep it our little secret
Perhaps its unlikely to bag in 1 day the rainbow chasing herd don't see it as sexy and avoid. I'll take +2% a day 3 days a week and repeat and watch my money grow. As revenues grow positions will be taken in time I think.
much appreciated. Why is the company so unnoticed...It's gone from sub 1p to 3p and heading towards 4/5p in short term...Not complaining mind.
Nice start today - looks like others thought last night's presentation was impressive too.
A few presentation notes from me:
- the FM client from yesterday's contract win RNS is now spending £6m+ with REAT over 3 years. Two to three years ago they were spending just £30k, then last year £180k....
- with over 2,000 sites this contract will take a while to implement, with the major impact being in the next financial year starting October 1st
- overall for REAT, 80% of revenues are recurring. 50% of these are for contracted maintenance, and 50% for reactive/emergencies. The latter is a "unique" and nationwide service
- the Fidelis acquisition has 87% recurring revenues, wholly contract maintenance. High margin work at 33% margins, in the educationa nd healthcare sectors, usually on 3-5 year contracts and often with 2 year extension periods built in. They bill customers monthly in advance, and offer small settlement discounts, so cash collection is quick and problem-free
- as part of REAT, new opporttunities are opening up for Fidelis in the university sector after winning their first such contract a year ago
- more acquisitions are on the cards
- REAT have 30 customers who already spend £3m-£5m per annum similarly to the FM customer from yesterday's contract win, spread amongst a number of suppliers, so there are big opportunities to consolidate the sector in the same way
Happy to be corrected on my notes from anyone else who was listening.
Great to see the rise today on a very healthy 13.5m shares traded, including a late 350,000 share buy at 3.03p.
I thought tonight's Mello presentation was extremely positive - once again REAT's management came across very well, with a clear strategy and the knowledge and means to implement that strategy. I'll try to post a few notes from the presentation tomorrow.
Any feedback from the Mello presentation tonight , please?
A couple of larger trades went through, not showing here. A 500,000 at 2.95 and 250, 000 at 3.00. Things are picking up))
You know:the abus8i got for giving them a tip! Vickaroo has disappeared x
Agree we could see higher. I have bought some more this morning as the company seems well set to prosper. Seems the small investors aren't fully aware of this gem yet. Once the CEO Shaun Doake presents at Mello tonight, it might get a few more people interested.
Near trebled now since this rns and change in CEO in December. Every chance of 5p plus this year.
Firstly, for the record the CFO is a "she", not a "he" :o))
Secondly, she has 463,458 shares, so I don't know where you're getting your figures from (see the link below). She was only appointed to the Board last May (she first joined in 2019). Most of her time since has probably been in a closed period anyway. Despite this she has quite a sizeable holding.
Https://www.reactsc.co.uk/react-group-plc
nice thread you stared on HEMO board Pumpky... no one has bothered to change the subject line and REAT getting a nice airing. To think I got abuse on that board for selling HEMO at around 9.5p and being in a cleaning firm dog.
Have had a good look at these and would like to pull the trigger. However, this would mean having more shares than the CFO (just £4k), which does not inspire confidence. If a CFO can’t back his own company then why should I? That’s a major red flag for me.
One interesting paragraoh from Allenby Capital's update today is the following - to say "we are aware" that other FM companies are in a similar position to the one in today's RNS suggests to me that REAT have briefed them about the potential for further such wins:
"Supplier consolidation offers the prospect of similar opportunities -
This award is part of the customer’s strategy to consolidate supply chains in this category of work, from several hundred smaller suppliers to just one. We are aware that other large FM companies have similar unwieldy supply chains which could benefit from supplier consolidation and consequently we believe this contract could provide an important reference site."
Excellent news. Moves the dial again on this no longer being a short term play. Got to be a hold for medium term now. Cash is coming in; business is growing; appears to be well run. If only I had taken a bigger 'punt" haha
For the record, Allenby Capital have issued a brief update, but they're extremely prudent given the two recent contract wins and currently leave their forecasts unchanged.
However, they do say:
"we believe forecasts are now comfortably underpinned and capable of being upgraded as we progress through the year. We continue to believe that there is further substantial upside in the share price".....
Http://www.allenbycapital.com/research_1205_120890877.pdf
So contract is worth 50% of all previous year revenue. Just wawww