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for xmas
Yes, I wondered where Major Error had got to. Thought perhaps he was hanging out with Captain Cock-up and General Mistake....;))
not remotely 100% aligned..there lies yr major error ...think downside and how the ceo might managed poor performance
lots in yr 2 posts..which is usual..good dense stuff ....I'll stick to the big narrative: lukewarm towards capitalism...it's an expression of neither the worst nor noblest of humanity's mixed bag of characteristics.. ....of course it really depends on the type of capitalism...neither total laissez faire nor hyper managed are workable.. ...my focus is on governance and accountability, and reckon that early 21st C anglo saxon liberal capitalism is strewn with / mired by error, much centred on lack of accountability of senior management...think bankers thro to ceo of gbo ...changing the scope and responsiveness of audit would be a start..the auditors should be responding to owners' natural interest in / abiding concern with what the h*ll is going on..not the directors (who know full well lol)
Sounds like you hate capitalism JS, yet you've posted more than 18k times on this Board regarding an institution (the stock market) which totally embodies it!....Trying to bring it down from within , eh..? ;)) I do have some sympathy with your Principal/Agents issue, although given that us and the bdo surely would surely like a higher stock price than this, I think we're probably aligned for the next 100% rise or so.........
But I'm still confused as to your point. if you're saying that the management will woefully imprudent and try and boost perceived earnings which would then not be consistent with real cash flow I'd understand you, but your earlier posts seem to imply the opposite, ie they'll be too prudent, which for me, isn't such a bad thing, and if they've already done this, then the stock is cheaper than we think! On a related point , I realize that your (sole?) focus tends to be on free cash flow, which for a mature business makes sense. However, for a growth business (and I realize we can debate whether Vislink is one!) you actually want a company to be reinvesting cash flow back into the business/making acquisitions etc which necessary means FCF is low - I really don't have a problem with this. Better that they reinvest at a superior ROCE than give it out as dividends. That said, I note the VLK did actually raise it's divi this year which seems a fairly confident statement from the management on CFs?
shd persist at least until audits are properly forensic and conducted on behalf of owners not the bod ...the mismatch between agents and owners is centuries old and as far from resolution as ever ..it matters, but is not being remedied cos insiders rule (so we have a bizarre, dysfunction capitalism dominated by insiders/management...running companies in the name of shareholder value creation) ... you have to accept the ingrained risk as dumb money (or use your capital to set up yr own company and run it/govern it as you see fit)
Yep. Short term at least. I recall the innuendo around xlmedia back in Jan, when it slid to crica 33p. It's in much better shape now.
not so sure about that....tidal/fashion driven for sure...since focus has fallen on JH (imv), the ebb is noticeable lol
That analyst that Paul Scott interviewed in June reckoned that Pebble Beach alone was worth 50 million. This of course being the broadcast automation software side of the business, that has been the outstanding performer of the group. I know there issues with management, but it also shows how irrational stock markets are when you consider this share was 60p not that long ago.
yes, here and rgs suffer from weak fcf...and rgs has defied gravity...so far lol ...pe is not the most convincing of metrics cos it is directors in charge of deciding what is expensed and what is capitalised...as well as plenty of discretion about revenue recognition (cf STAR for extreme example) ...it boils down to faith/trust in JH (I have much more confidence in Peacock over at rgs...just wonder how close hanover are to exit) ..gl
I'd be interested to understand your first sentence. Why would a ratio of price per share divided by net earnings per share not be relevant to a shareholder? Usually, where high investments are made, depreciation and intangibles pulls down earnings and hides the true earnings power of the underlying business. In this case, a PE actually understates a company's undervaluation BTW, I recall you being similarly negative about RGS at 140p........
pe is not the most convincing of metrics...if much of the earnings is "invested" or spent ....somewhere c20p may offer temporary support, but a change in ceo should be discussed by non execs / substantial shareholders imv
...we have a pretty concerted seller in the market today, as there was on Friday. I expect to see a holding RNS before too long which shows a big holder has reduced their position. Clearly some uncertainties and disappointment over the latest figures, as well as some general unease about the current management. That said, I think they have some solid products, and a generally coherent strategy, and the single digit PE suggests real value at this level.
ntw down over 3/4 years as "profit" is essentially munched by intangibles...what are those intangibles? Investment or really spend? Huge leeway for directors' judgement....gbo example hardly inspires confidence
it seems....even there would be spec punt on fcf recovering, JH playing straight and nothing untoward lurking ...troubling times
are buys imv
or destined for 20-25p??..interesting
So now your Mark Twain eh!! in disguise, jolly confusing
ruined..
Sorry i was wearing my Golf shoes this morning and was just struggling with the quickstep. I will try and Waltz around the sp later or maybe the soft-shoe shuffle. GL
there may be trouble ahead...but while we have the BB and banter let's dance
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I may not be smart (as I still hold some) but I can recognise a rebound when i see one. and hopefully HAWK rang the bell a week ago. jolly good luck.
may not be so smart, 1400