Member Info for f15jcm

Given the cash position, risk /reward looks very attractive here. Market backdrop should be better this year. A concern is that at such a low rating, it will get taken out before it delivers multiples for shareholders

I think that's a good strategy whenever, in this grotty market, particularly

Good market to learn from. Any fool can make money in a bull market

Despite the broad based sell-off, KGH up again today on 8x average volume

Shorts going to get smoked!

I've just sold at 136p. I've been surprised by the strength of the stock given they make so much money from interest on client money and rates are now being cut. Back on the watchlist

I've bought a load more @ 73p. With those two big loans in special measures redeemed, it's starting to look like a one-way bet. Given 29% of the MCAP is cash, the discount on the actual loan book is considerably more than the discount on the trust as a whole.

The BoE have cut rates because they have concerns over the UK economy (which may already be in recession). This is despite then expecting increased inflation, so their concerns clearly run deep. Why the SP performance continues to be so weak is beyond me. My largest position too.

HSS has been equally miserable over the long term. Just a dreadful sector :(

Great value at this level. Liquidity not that bad for such a small company

Record numbers of businesses in financial distress

https://www.bbc.com/news/articles/c9vmrpdrk4eo

Aren't very keen on responding to emails

What's the dividend cover for FY26/27?

I was impressed. Surprised to see it down today

This sounded like an incredibly well timed purchase until I realised the shares didn't trade that low in 2023?

https://thenegotiator.co.uk/news/winkworth-ceo-ploughs-100k-into-firm-as-family-strengthens-grip-further/

Quite like the look of this stock. Trading well

Malcolm, future price of electricity seems to be the most obvious explanation. They are expecting to get ~£80MWh over the next 12 months but supply is partially hedged in the £50's thereafter. That said, I suspect there's a chance they might get a better price from the remaining unhedged production though, as spot prices are currently high.

https://www.nextenergysolarfund.com/investor-relations/institutional-investors/methodology/

From 2024 AR: 'The Company’s current UK 20 year average power price forecast represents a decrease of

13.4% compared to that used at the end of the previous financial year (and 50.1% below the

average price used at IPO).'

It even says the cost is fixed in the link you shared:

'Of the Company’s total debt, 71% remains at a fixed rate of interest (including the preference shares)'

Why would they take out swaps on the prefs? The cost is fixed. Assuming par is 100p, they pay a dividend of 4.75p/y irrespective of what value they trade at (presumably below par given you can get a better than a 4.75% yield on the likes of GACA).

I'm quite new here and I've just been crunching some numbers. The wholesale price environment is starting to look good?

https://x.com/F15JCM/status/1877071181263630639