Member Info for jamrock

Morning all

So MHC has a valuation of 5.5m and approximately 8m in the Bank.

HE1 has a valuation of 24 m and constantly raising cash to keep lights on

MHC has products and opportunities to grow,

HE1 has a product but struggling to extract it.

Maybe MHC should be valued like other sectors and we would probably be £1.

When and will the markets get behind MHC.

When a CEO is prudent and focused on growth whilst conscious of the balance sheet she must feel a little aggrieved when see other companies with no cash getting better Market caps. Companies like GDR, HEI all be it in another sector but in principle shouldn’t a capitalist world apply valuations equally!.

Unfortunately even I know markets don’t act rationally and are determined by heard mentality. Maybe news soon and the heard will flock to MHC. Definitely deserves a valuation comparable to competitors like ABDX.

That would put it on a price of high 20s.

My view its primed for takeover however I believe the board would totally resist especially given the cash position and potential growth if deals are. Penny has alerted to expected news with Boots however as any professional an RNS would be issued in agreement with Boots. It’s clear Penny has a bigger picture the LFT testing and it’s also clear she’s aware of the B2B market. I seriously think a lot of companies would love to take over MHC based on cash and Boots deal alone. The best way to fend off a takeover is convince the shareholders and market so price rises. As it Stands many unhappy shareholders so a takeover at premium may get a look.

Why would MHC want to be taken over is the question when they have cash, product and yearly revenue now from new tests and continuing seasonal COVID revenue.

What would its value be if the new government truly wants to cut GP waiting time and costs attached to appointments and allows MHC tests in conjunction with Boots pharmacy!

If and Buts but at 5m market cap against a possible 8m in the banks is worth a bet

Valuation

My view is MHC are self funded and actually selling products unlike many companies that are diluting just to survive however that said anything possible. I personally hope MHC are able to announce new deals and hopefully within a working relationship with Boots regarding phlebotomy testing etc. I believe MHC has a unique Digital platform and with approved requirements to enable it grow and help relieve the NHS such as GPs etc. It’s just my personal belief but I’m sure Penny is aware of the potential. For a company like MHC that has actually grown from nothing really through Covid and not diluted it’s a great achievement. Now they need to win over current and future investors and a buy back could do wonders. Take a look at GDR who squandered 200m and once hit £2 and now being diluted at 1.5p with a market cap of 9m.

Even cash alone without anything else should put MHC on a similar valuation to ABDX which is 13m.

MHC is approximately 6m market Cap. I feel something not quite equal but these are strange markets.

Just imagine if Penny drops news of a contract before half years figures. I’m sure it would rerate.

I’d certainly hope so lol.

Spindok

Love that one

Felt the price drop was overdone so had a few more this morning at just over 10p.

Whatever opinions we have and everyone’s is personal and valid the fact is MHC haven’t diluted and killed shareholders value as others have like GDR and today HE1.

The share price is out of MHCs control and you have to believe news will come to change the course of share price.

It has an opportunity to show the markets over the next few months with deals etc.

I do believe a share buyback would also help

Raising cash at heavily discounted share price always runs the risk and likely hood of shares falling to issue price.

Recently happened at GDR. The price ran above 5p and they issued new shares at 1.5p and shares fell below 1.5p.

Let’s hope this is different, who knows

400,000 sold v 200,000 roughly bought I meant

So the growth is 45% post period!

You say £290k

So apply a similar increase in the 2nd quarter you may get £450k

Then we need to add Covid sales which were extremely strong in January and February then they slowed.

Probably a third of January and February.

So it’s fair to assume first half in 2024 will be higher than 2023.

We will be in a better cash position than 2023 first based on current sales of wellness and covid products.

Nothing exciting but enough to realise it’s fully funded and will will have even more cash following cost cuts.

Then if we get a deal as regards phlebotomy testing this will increase second half results along with the 200 stores stocking wellness test so we will have tests in 950 Stores. Approximately half Boots stores so plenty of growth over time.

The word is time and we need nerves of steel and patience. The market are clearly in need of news regarding new deals. Remember Penny also stated they are not exclusive to Boots so I expect new deals.

Hopefully sooner than later.

I also note the slide suggests over 50% of 52m shares in circulation tied up by large shareholders.

Any good news could easily cause a large bounce.

But was today’s large fall really warranted on 400,000 shares sold v 200,000 roughly sold.

Next few months up to update will be critical and crucial for LTHs.

Markets are news Junkies unfortunately

Roly

Penny only said a 45% increase from Q4 but she never gave a figure for Q4. I think what Retired Banker is saying the £344k figure was the figure for the first 3 months when the tests were launched not upto December 31st.

I think that’s correct but it does beg a question why the last 3 months sales figures in 2023 weren’t given so we could fully understand what a 45% increase in sales means. I felt the opportunity for Penny to be a bit clearer was missed.

Any way the share price is what it is.

Such a huge drop on what!

Just when you would believe all is well imagine getting spiked at 7p today.

This morning I thought if only I had EUA the way it rocketed but now now happy with GDR fighting its own. Looks like it wants to head North. Fingers crossed for all LTHs.

Guy

It’s a share not for the weak. It’s simply if anyone in your stuck however I do see a rise imminent from these levels but who knows. Even 10p won’t help most

Guy

We are all in the same boat and share the frustration but as I say only the brave will recoup losses. You either do nothing and hope it rises to previous highs depending on entry level or average down.

It’s full of risk which has been significantly lessened by the fund raise and does rise quickly when it wants. Not ramping this at all but the price rise Friday could be start of a new journey for the brave

Guy

I agree with that comment however we can’t change history and the price crash but we can take measures to capitalise by averaging down and believing the price will rise to get the loss back.

The Aim is what it is. A total casino

All attention has been on EUA but are people missing the steady rise in GDR. Could GDR really make a big jump soon. It feel like something strange about to take place

Well the sellers out in force today!

Will Penny be able to offer news soon to support the price!

Definitely buying momentum

Https://www.tradingview.com/symbols/LSE-GDR/technicals/

Could this quickly move towards the 50DMA with a RSI of 35 which is quite low!

Extremely possible

Big hammer

Based on your facts and figures what you say is plausible. The outcome is not straight forward however. The cash burn has been ridiculous and many companies in a similar situation. Will GDR be better being sold !. Will it survive alone. A company that literally blows 200m doesn’t fill you with confidence. It’s easy to say that raised more cash but even that is an example of how poor the board is. The share was steadily rising and they had a raise substantially lower than expected at1.5p!!. It’s pathetic. Why didn’t they raise when the share was in the 30-40s as everyone knew they needed cash then. It’s been hopeless and horrible for all LTHs who in many cases may not have had funds to participate in the recent 1.5p share raise. Then people who did see the price below 1.5p this week!. It’s a decent bet for new holders and some who had funds however on the whole will we be in the same boat 12 months time.!

Is it a long term or short term play. Do we really have total faith in the board.

I just hope one day LTHs get a return but I doubt I live as long to see it