Member Info for Babbler2

Still bouncing... Will there be a rush to close (either way)? Let's see...

68p close? :D

another 7mil sell... someone doesnt like their money...

Market is jittery - so it overdoes drops... look at a few others of late and how they bounced back... more tomorrow assuming no more dodgy rns .

worst I can see is 54p today now... with potential bounce off that... 60p next one to crack. But will rise possibly rest of the week imo (assuming elections dont mess it up!).

you need to allow for debt ;) but nice play here.

very very tight spread...

(bad example considering tesco bank but you get the jist lol).

did tesco lose almost 70% of its value when they had similar accounting issues? No... did it bounce back? Yes... 1 example lol.

and its all part of the past and doesnt affect current stuff.. IMO customers will see something being done and wont worry too much. imo.

http://www.sharesmagazine.co.uk/news/shares/can-redcentric-survive-accounting-shocker 'The company does not appear to be in any fundamental danger given the higher and more accurate net debt of £30m is still only just over one-times full year EBITDA,' says Philip Carse, analyst at IT analysis boutique Megabuyte. He comments: 'While new business sales in the last six months have been in line with management expectations, the accounting adjustments arising from the review are expected to lead to a write down in historic profits and the restatement of audited accounts for prior periods and the likely reduction of net assets by £10m.' 'The incident has clearly rattled investors,' says Martin Courtney, analyst at IT analysis website TechMarketView. 'But we think a greater risk could be presented by any subsequent loss of confidence among Redcentric customers which adversely affects future sales.' This is important for a managed services business. Around 85% of Redcentric’s turnover is recurring revenue from managed network, security, cloud and collaboration infrastructure services. The impact of the accounting problems will take time to filter through as customers come to renew, or not, those contracts. So here's the real question for investors. Given the enormous stock sell-off that has slashed Redcentric's market value from £218m to less than £70m, is there a risky bargain to be had? With forecasts withdrawn by analysts at N+1 Singer, Numis and FinnCap, there is precious little reliable data on which to make a call.

yup - £132m mcap down now... still ridiculous for what was in the past and only £10m difference?... but we will see.

lovely stuff... thanks for getting it to 60 post meeting - 70 next :)

off for meeting- hopefully around 60p by time I return - or better! :)

Add your name and closing price and reply to the same post. I'll start. Qal786: 65p IanBowmer 68.5p OldFinger - 74.50 Babbler2 - 72.4

10M impact = 15p max off mcap - double that for risk = 30p. Meaning should be at least £1.80. Worst case £1 risk included? So yes - very cheap.

60's by lunch at this rate... ramp ramp.

boom! 54 paid.

Tottally agree... this will be back to 90's end of week imo... possible. They said impact around £10m and none of recent stuff impacted. So WAYYYY overdone... £147m mcap cut on a £10 mis reporting...

bye bye 40's?