We would love to hear your thoughts about our site and services, please take our survey here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Don't know how WE could work it out but as I reported a few weeks ago the FT now has Weir only 'Medium' on their DX Short selling activity 'meter' - 'DX Short Selling Activity is compiled by Data Explorers and represents a proxy for short selling activity based on the demand to borrow the shares as a percentage of the shares outstanding shown as low, medium and high levels.' This was an improvement on 'High' which it was for at least a few weeks. SGP Supergroup was up to this level for many months and had the s/p taken right down. All the experts say Weir is well oversold but when will it recover?
The Questor column in the Telegraph believes that it's time for the bulls to act on FTSE 100 engineer Weir, saying that the recent falls in the stock are overdone. "A large number of short positions have been weighing on the share price of the pump specialist. This is because of US gas prices – and investor confusion that shale gas is all of the company's business," the column writes. Just 32% of Weir's total revenues last year came from the oil and gas markets and not all of this was US shale. Meanwhile, with rig data from Baker Hughes last week showing an increase in the number of US companies drilling for gas recently, Questor is not in the bear camp. After recent underperformance, the paper recommends to buy.
Great day to buy buy buy today as many traders selling to keep within their CGT allowance. This is a fantatstic investment with great returns for those that are looking at long term and the other side of teh tax year!
Fracking doubts take toll on Weir Group Tim Sharp City Editor MORE than £178.4 million was wiped off the value of Glasgow-based engineering giant Weir Group yesterday, after a cut in Royal Bank of Canada's price target led the stock to continue on its five-week fall. RBC analyst Andrew Carter reduced his target for the stock from 2500p to 2400p, amid concerns among investors about demand from the fracking industry for Weir equipment. His target is still well ahead of Weir Group's current share price of 1705p, after an 84p or 4.7% decline yesterday. This values the company at a total of £3.6 billion. It has fallen from 2236p since the end of February. Analysts are divided over whether investment in the nascent fracking industry, in which liquid is injected into rocks at high pressure to release the oil or gas they contain, will fall due to the recent gas price decline. But Mr Carter remains among the more bullish in the sector. He said: "The outlook for Weir's upstream original equipment pumps business has been of significant investor interest in recent weeks. "It is important it is kept in perspective however – we estimate it only represented 9% of group sales in 2011." He predicts a 15% fall in fracking equipment sales this year, offset by 30% growth in the after-market. He has cut his earnings estimates for the group by between 5% and 6%.
@ 1700 looks like - should have waited till now to top up. If the FTSE comes back surely this share should.
12-Mar-12 Investec Securities Buy - target 2,150.00p
This is now a massive and diversified multi-national company. Jim MacColl did a sterling job and there is bound to be a period of consolidation and profit taking after a takeover like this. The uncertainty in the fracking business should not be overestimated. The future is still very bright.
Yeah in that RNS it shows AXA dumping about £200m worth of Weir. That's not going to help, nor are the shorters. Had a nasty spike down today but perhaps that was the final shake before rising.
Was due a bit of a retrace before a new push forward.
holdings......hello pablo2..I hold weir but only post any news...ATB http://www.investegate.co.uk/Article.aspx?id=20120323155620H6870
10% drop in 2 days - because a US competitor said they thought it was tough. IMO it can't just be that - more likely Shorters. The FT states this share is hit by HIGH shorting, on it's 3 tier rating of low, medium, high. Anyone heard of Weir? Lol
Citigroup downgrades Weir Group from neutral to sell, target price cut from 1950p to 1830p.
Results from the other highflying UK engineer Weir Group* (LSE:WEIR) were much as expected with EPS up 33% to 133.6p with a positive outlook statement. Seismic specialist CGG Veritas reported slightly below expectations but guidance for 2012 was very positive with forecasts of increased seismic demand and group revenues expected to grow from 10%-15% in 2012 (FFest 12.6%)
The Telegraph’s Questor column drills into the pumps and valves maker Weir Group. There are concerns shale drilling, for which it supplies a lot of equipment, is undergoing a significant dip but the firm’s order book is strong and capital expenditure in the oil and gas sector is expected to remain high. Weir isn’t an income play, yielding just 1.7% but Questor believes demand for the company’s services could surprise markets: hold, for now.
Weir's profits rise 30% to £396m Glasgow engineering firm Weir Group has beaten its own profit targets three years early. The company planned to double its 2009 profits by 2014 but reached that milestone last year. In 2011, the group increased pre-tax profits by more than a third, making £396m. Weir said it had been able to "execute effectively our growth plans in positive conditions in our principal end markets". Keith Cochrane, Weir's chief executive, added: "We also progressed our strategic agenda with new product introductions, two acquisitions which further increase our exposure to fast growing markets and revenue growth from organic initiatives. "The group enters 2012 with a strong order book and with our clear strategy and flexible business model we expect a year of further good progress consistent with current consensus expectations." Weir has benefited from an increase in investment in conventional mining among its customers. It has also boosted its presence in the booming shale oil and gas industry in the US, with the acquisition last year of America's Seaboard Holdings. Texas-based Seaboard's expertise lies in "fracking", or fracturing, of shale formations to develop "unconventional" reserves of oil and gas. Weir is currently in a takeover battle for the Australian mining company Ludowici. The Scottish group is looking for a review of a decision by Australia's Takeover panel which ruled in favour of a rival bid for Ludowici earlier this week.
Very quiet on here. Bit of a scare when Obama refused to sanction the pipeline, but there is still a bright future for Weirs. I will continue to play the ups and downs for now. Wish I knew what Jim McColl was up to now. Whatever it is I would like to get a part of it!
19/01/2012 WEIR Weir Group Panmure Gordon Buy 2090p 2215p 2530p 21.05 % http://www.brokertips.co.uk/
Boost for Weir as Citigroup repeats value lift Simon Bain Business Correspondent/Personal Finance Editor ONE of Weir Group's City followers yesterday upvalued the group for the second time in a month. Citigroup, which upped its price target for Weir shares by 100p to 1700p at the end of last month, lifted it by another 250p to 1950p. The Scottish engineering leader's shares closed down 17p at 1974p yesterday. They peaked at 2210p on July 25 and bottomed this year at 1375p on October 4. Citigroup says it has raised its value target to 12.6 times Weir's expected 2012 earnings, in line with the 12.5 multiple of its "higher-quality" UK peer group and the 12.7 of the European oil services sector. "Overall, we see Weir's business mix as attractive based on its high emerging market exposure [about 44% of sales] and the longer-cycle growth potential of its key end-markets of oil and gas, mining and power [about 87% of sales]," says Citigroup. "However, its [current] valuation is in line with the 'higher-quality' UK peers, suggesting the business attractions are largely captured in the share price." The Citigroup note says the analysis assumes continued global economic growth, specifically investment in areas such as mining and to a lesser degree oil and gas. "A reversal of the trend could be a negative for earnings," it said. The note says other risks to consider include input costs and currency, and also cautions that the 12.6 multiple assumed for Weir is higher than the 11.3 of the European mining sector and the 11.0 of the US oil services sector. The rating is in line, says Citigroup, with those of resilient European engineers such as Rotork and Spirax-Sarco.
Hi thistle - the season for it gets earlier and earlier! Hope you have a good one. Heres a little more behind your broker post. UBS has raised its target price for industrial engineer Weir from 2,400p to 2,500p, saying that comments from US peer Halliburton have made it much more optimistic. At last week’s Reverse Energy Roadshow in Houston, Halliburton said that it expects the pressure pumping industry to raise capacity by 35% next year “and as industry #1 they are well placed to judge”, UBS said. Despite the stock trading at 13 times forward earnings, the broker says that given the momentum, “it does not dampen our enthusiasm”.
nearly the season......for it....lol..hope you are well LONDON (Sharecast) - Weir: UBS increases target from 2,400p to 2,500p, buy rating kept.
The Times’s Tempus column looks at Weir Group, which has taken a significant bet on the gas extraction method known as hydraulic fracturing with its $675mn takeover of Texas firm Seaboard. The purchase puts Weir in the business of building the type of well heads used in “fracking” - a process which is being tried around the globe, albeit with significant environmental concerns. The risks of the strategy are manifold. The price paid for Seaboard is three times sales and 12 times 2011 earnings. Secondly, fracking might run into significant regulatory and poplar resistance as its full environmental impacts become known. However, with the boom in fracking for gas likely to start a similar drive to frack for oil, Tempus believes Weir Group is a fracking buy.
Peel Hunt has upgraded FTSE 100 industrial engineer Weir from hold to buy following yesterday’s acquisition of Seaboard Holdings. Weir, which operates in the oil, gas, power and mineral markets, announced that it would pay $675m for US wellhead specialist Seaboard, a deal which Peel Hunt thinks looks “highly complementary” to products in Weir’s oil and gas division. “Even though the valuation looks full, it comes with good growth and cross-selling potential”, the broker said. The rating upgrade comes as the shares have de-rated, but as the broker values the company at a 20% premium to the sector average, the target price is reduced from 2,100p to 2,000p.
there has been a reappraisal of Scottish engineer Weir's acquisition of Texan hydraulic fracturing specialist, Seaboard, announced yesterday. Initial reaction yesterday was negative, but a number of brokers seem "fracking" pleased with the deal today. Panmure Gordon has raised its full-year earnings estimates, though it leaves its target price of 2215p unchanged "for now". Panmure Gordon says the company has probably overpaid based on projected earnings for the current year but at least it has invested "in the right space" and the earnings multiple drops from a forecast 13.7 to a more reasonable projection of 10.7 in fiscal 2012.
Commenting on the acquisition, Weir Chief Executive, Keith Cochrane, said: "Seaboard is a well-managed business, with a strong position in a market that we understand well. The acquisition is perfectly in line with strategy. It broadens our product offering and fits into our business model of growing the installed base of original equipment from which we drive aftermarket opportunities. There is great potential to strengthen the business further through our lean engineering and operational processes and extensive sales and service networks. We are confident that the extended market opportunities and medium term operational benefits will create significant value for our shareholders. We retain financial flexibility to pursue organic growth initiatives and further acquisition opportunities in line with our strategy." Kelly Joy, Seaboard's President and CEO, added: "In recent months we have been looking for the ideal partner to take the business forward while retaining Seaboard's identity and commitment to customer service. We have spent a lot of time with the Weir team and have been hugely impressed by the way they have developed Weir SPM since its acquisition in 2007. I am convinced that this is the best outcome for our employees, customers and shareholders. The senior team at Seaboard intends to remain with the business and we are all excited by the extensive opportunities arising from the combination with Weir."