Restore Share Price (RST)

I like that the new management are concentrating on organic growth; margin improvement; and cash generation.
Keep pushing hard at each of those and the share price will respond accordingly.

That's a bit more like it....!! :-)

All going according to plan it seems. Would have expected a slightly better share price response here!

Hi Matt,
I am sure you have seen the interim accounts issued on the 31st July (brief summary below)
Financial highlights*
· Group revenue up 15% to £106.2m, including organic growth of 3%
· Group adjusted profit before tax up 17% to £20.1m (statutory PBT £12.0m, up 30%)
· Group adjusted operating margin up 60bps to 21%
· Adjusted earnings per share up 10% to 13.1p (Basic EPS 7.8p, up 28%)
· Document Management revenue up 15% to £80.4m; adjusted operating profit up 22% to £21.5m
· Relocation revenue up 13% to £25.8m, adjusted operating profit up 4% to £2.7m
· Operational cash conversion of 115%, reflecting strong levels of operational cash flow and a material reduction in exceptional costs to £2.0m (2018: £4.3m)
· Net debt at 30 June 2019 reduced by £16.3m from year end position to £95.0m, with leverage reduced to 1.8x adjusted EBITDA within the normal target range 1.5-2.0x (FY18 2.1x adjusted EBITDA)
· Interim dividend per share up 20% to 2.4p
I was impressed that RESTORE filed these accounts six weeks earlier than last year, apart from the fact these accounts were impressive.
Your target of £5 is certainly looking good. Definitely HOLD
Cheers
Dave

Hi Dave. Well my end year price target of £5 looks pretty good at the moment. Bottom line - poor sentiment on good qaulity mid-caps where no fundamnetal changes are evident more-often-than-not provides excellent buying opportunities. Sure, sometimes it'll bite you, but generally you make good money oif you're brave in these situations.