Member Info for Alessandro

Terry, Rusty had a good idea with his business plan but he failed to attract investors, which is of a significant importance. Why didn't he list the company in the US in the first place? was it cheaper on the AIM (back then)?

Is DEC a little too small of a company to go for a dual listing and the extra cost associated? will they delist from the LSE at some point? (ignore what they said in the last announcement, their don't seem to stick to their decisions)

Terry, 68p or 72p wont make that much of a difference, trust me.

Reg. the cancellation of the shares, I have followed DEC for long enough to remembered share BB programs followed by cancellation, and not long after issuing shares to fund acquisitions.

The management is all over the place.

Wiscos what are the corporate bond funds that HL offers? do you have a link?

Tell me that you are a clown without telling me that you are a clown.

Somero is one of the few that have been totally dormant during the recent uplift in the stock markets, surprisingly, not even the rally in the US-listed stocks had any effect on this.

Unilever is one of the few dogs that have not benefitted from yesterday's stock market uplift. It will take at least a 2 to 3 quarters to see results, if any, from the changing strategy in Unilever.

I hope the share price can reach £60 in the next few years. The share price has gone no where for way too long.

Corporate decline profile of ~10%: yet they do not explain what is the 10% exactly? is it for the wells under current utilization or for the wells owned by DEC as a whole? 10% decline is a lot. in the latter case it will halve the production volume in 10 years or it will exhaust it completely if the 10% is the yearly depletion of the initial reserve volumes.

If the 10% decline is for the operative wells, then the figure says pretty much nothing.

I wonder if Cowgill will have the same Midas touch with Quiz and do as a good job as in JD. I'd buy the shares...

Quiz is not a competitor of JD, I would assume

Is it unrealistic to expect a PE higher than 15-18 for a UK retailer, such as JD and Next?

Why for the above mentioned companies the PE ration has seldom exceeded 20?

With a PE of 15, JD should be making £1.0B unadjusted net profit to see the share price in the range of 300p. At the moment JD is making £1B adjusted pre-tax profits. The unadjusted net profits are around £0.4B. We may be quite far off to a share price target of 300p.

Why Next has a low PE, historically in the range of 13-16? is it unrealistic for this industry to achieve a higher PE, for instance around 20?

Gazzboo - If there will be one, I hope the advert will be less chavvy than last year

BTW - advertising cost has to go down, last year it weight too heavily on profits

It goes ex-dividend every three months and nothing ever happens to the share price

Thanks Trojan

"Things might not get better quickly but Barclays feels confident that there is urgency and clarity in the new CEO’s plans, even if the content of the plan was not new."

How slowly will things get better is the question. Barclays forecast £46 as a share price. That would be a good start for a 1-year target.

Https://www.ft.com/content/0d77da98-701a-3850-8f3c-a407c9527407

This article is a dinosaur, dating back 2017:

The company behind Lucky Strikes and Pall Mall is targeting revenues of £500m from the next generation business this year, rising to more than £1bn in 2018 and £5bn in 2022. BAT said it expected next generation products to break even by the end of 2018 and “to deliver substantial profit” by 2022. The roll-out of its tobacco heating product glo was going well in Japan and Seoul, it said.

I guess that did not age well considering that the next gen tobacco products don't seem to be profitable yet.

Plus, how would BAT differentiate themselves from competitors?

Thanks Gotrader

I have looked at the annual report and the CEO sees revenue up 3x and 30% margins. It seem IQE has a technology mature to be marketed and by what I see in other reports/videos (yes, YouTube...), compound semiconductors, although expensive, have lots of applications and demand should pick up in future years. At the moment it seem compounds cannot compete with silicon based semiconductors, due to higher price and more complexity in manufacturing, which does not outweigh the better performance. I don't know when this will reverse. If I was a manufacturer of electronics requiring compound semiconductors, I would proactively look for compound manufacturers, but I cant see them scrambling for the technology. At least IQE seem to be chasing customers rather than having prospective customers queueing at the front door, with their order book that has shrunk slightly in recent times. If demand for compound semiconductor is about to explode, a forecast 3x revenue sounds very cautious, to the point of making it suspicious.

I am tempted to buy in but I am also tempted to wait future interims/FY reports and have evidences of sales volumes

IQE has not been profitable for the past 4 years, by the September update I can infer 2023 could be a profitable year (hopefully not on an adjusted basis only).

What has dented the ability to generate profits after being modestly profitable since 2009? How can I value the shares without knowing the projected earnings for the foreseeable future?

Wiscos thanks for your feedback and yes, the share price is 10x what I quoted.

49p is not that far off 44p (current price)

From 2016 to 2021 HL was priced above £1.30 making net profits in the range of £200-300 millions. The dividend payout was around 2%.

We are in an environment of higher interest rates, which seem to be helping HL margins, however the interest-discounted earnings today are lower than the interest-discounted earnings in the period 2016 to 2021, but compensated by a higher interest payout thanks to the recent share price drop. I cant see HL recovering to the old £1.30 per share any time soon, unless the dividend can be sustained at 5-6% at a share price of £1.30, which would require doubling the dividend payout, which is quite a feat tbf.