focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
I think this update is extraordinarily good, especially when taking in conjunction with the recent multi-year contract win. Valued as a junk stock when it's actually a growing, cash rich, tech company
https://twitter.com/F15JCM/status/1519226694099472384
Only £2.50/y but things like energy inflation are going to be much more impactful on consumer spending. Also looks like wage inflation could be real problem in the industry caused by a 'recruitment crisis'
https://www.bbc.co.uk/news/uk-england-london-61149218
Some very poor consumer data coming out:
https://news.sky.com/story/retail-sales-plunge-as-consumer-confidence-nears-financial-crisis-all-time-low-12595596
Profit warnings from Rank and Gear4Music this morning citing consumer squeeze and inflationary pressures. Despite hedging energy costs I don't expect RTN to be a different story. With 3.2x EV/EBITDA forecast for FY2023, this could spell trouble
Bought 1m shares this morning. Seemed to be plenty of stock around. The SP belies the fundamentals (1.57p per share NAV) and recent management comments:
Philip Haydn-Slater, Non-executive Chairman of RGO commented:
"We are very pleased with the progress of our investment portfolio with significant positive developments being achieved at a number of our larger investments. We are confident that we can achieve attractive returns from our portfolio in the short term for the benefit of our shareholders. We look forward to publishing our 2021 results in the coming weeks."
I expect this to re-rate when the final results come out.
I sold out this morning. They don't appear to have done a deal in March and I don't think general business confidence is going to be great for the next 6 months or more. Liquidity was surprisingly good. I still like the business and would buy back in at the right price, just think risk/reward looks poor for the time being.
I spoke to a couple of different builders doing work on my house last week. Both said they were booked up for the foreseeable. Weather has improved dramatically. I don't see any reason for these shares to be languishing. Yield over 4% now.
This isn't a great business but it certainly isn't worthless. A catastrophic profit warning must now be in the price yet the last update was quite encouraging. Having a former UK defence secretary on the advisory board isn't counting for much :/
But the company has already said it can sell all its gold domestically/to China
Worth remembering that the company is registered in Cyprus. Not saying I'm bullish but I'm continuing to hold.