The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Do my eyes deceive me? A semi-positive post from Open! Now I know the times are changing!! I hold my shares in my ISA and pension on a platform so I’ll be looking forward to look in my at this on Monday and seeing how much they’ve gone up. Managed to do a bit of averaging down, although annoyed I bought a few yesterday but as it’s not real-time the purchase won’t go through until next week! Still hopefully get back above 4p now!
Just popping in for my monthly opening of the bottom drawer, looking about as expected. I will say the recent string of RNS have been relatively positive and lead me to believe there is still very much the possibility for a recovery in the share price, based on the forecast of higher expected profits in the second half of the year.
AK needing to step down has been something shareholders have been saying for years, so this should be taken as a positive, as the man is clearly talented in his field, and him staying on in a more consultant based role is great news, but we need someone more aggressive at the helm to drive sales and complete contracts and LS seems to tick a few boxes. The stepping down before the closure of the Maxwell case does give me a bit of a nervous twang, as I have seen someone else comment, you would think he would want to see through the case to completion, but it could also be seen as a confidence in their case so they are carrying on with business and doing what they need to do to take the next step up. The placing buy ins mean at least we can see they have some belief in a rebound and a new CEO would surely take into account expected court decisions.
The next big SP move (unless wildly good news drops before) will no doubt be when we get the results of the court case and a bad result I fear will drop the SP to a point of no return, whilst good news should see us rebound to at least 3-4p, I would say higher but due to dilution and the SP refusing to climb on good news, I think this is an accurate prediction. Second half results being positive should see a move back to 5-6p and any new contracts should help continue to move this. 10p is still a very reasonable end target for this share, I've never believe the £1 party hype. Ultimately fingers crossed for July. ATB
I stated profit losses as the reason this is falling, and that it will take significant news and a more positive global outlook to push this back up, but you cannot deny that over the years, this share has failed to grow despite contract news and reduced debt over the years that should have put it at a higher price before the most recent profit losses, that were not too dissimilar to other tech companies.
The issue is is that the losses were expected as it is the same across all tech companies, but the MMs don't care, the shorts are going to make as much money as possible and the MM's will profit. Nothing will change here until either a very sizeable sale order or a court win which is not until July. Until then I wouldn't even bother looking at this, as the SP is going to be heavily manipulated.
Again a drop on nothing. We knew these results going in. The latter half of the RNS seems more promising. Honestly, anyone watching this looking at putting a punt on is getting a pretty good entry point. There is a lot riding on this court case though, so hopefully they are confident of success and we can push past this and focus on a growing order book.
Musk's case was about whether his tweets were misleading, as he stated taking Tesla private, which he believe he would do back in 2018. The case affected shareholders and jurys don't care about shareholders, there's a conscious bias that they are rich and can afford to lose money. The case for CPX is a small company suing a bigger company for patent infringement, and most in the US enjoy a David v Goliath story. Also why does everyone keep talking about Elon Musk like he has anything to do with what's going on. He is not involved, otherwise it would have been mentioned that he is currently dealing with a seperate dispute.
Yesterdays new in my eyes is a massive overreaction and completely demonstrates how typical CPX shares are. A year of positive news showing new contracts and potential investment for the next year giving no boost to the share price, with a 30% drop on low interim results during a year that heavily impacted technology and growth based companies. It was obvious the company would have made less in 2022, my business profits fell 20% whilst also getting less new trade as people are saving money where they can. Does that mean I am a failure? No, it means I expected a bad year and will make up for it in the coming years. CPX states they are expecting better results in the second half of the year, let's see if they deliver as it's a bold statement to make. Whether improved revenue and debt reduction will make the MMs actually move this up is a whole different subject. Anyway, only invest what you can afford to lose. I've held 9 years and happy to see if this meets my expectations, even if it's another 5 years, getting to 15p would still be 400/500%, more than you'd make in the typcial market fund.
They raised money in March last year so yes you are wrong.
Open must be happy seeing his shares rising! As for me, I've seen this happen to many times, so will wait to see if this rises again tomorrow before I allow myself to get too excited! Would be a nice Christmas present though!
News of the NU variant has seen global markets slump, so I wouldn't be too worried. Might be a good entry point, although I'm in a bit lower so wouldn't mind a little drop to top up closer to my own entry levels. As its been said, green energy is going to be a huge deal if the government plans on sticking to their zero emission targets.
Can you all shut up. Honestly. If you don't like what Open posts then just block him, simple as that. So tired of this board just arguing with Open. Stop feeding him and just ignore him. He never posts when the SP is going up, so if he has an agenda then let him stick with it and see what happens. Company is valued at 15p a share, but not being reflected in SP so something needs to happen. Until then, just DYOR.
Oh brill, lot of negative posters showing their faces, which is always exciting. Global increase in fuel costs is leading to fears of inflation rises making a lot of stocks fall at the moment. That's the actual reason for the fall for all the drampers below.
I think Open is a lot more positive on CPX than he has been in past years. Coming round slowly! Today's RNS looked good, sales are up, losses are down, only issue was that of whichever licence isn't paying, but still seems like mostly good news all round. At least best results I've seen since 2014.
Don't worry, it's just the way CPX goes unfortunately. Companies unloads RNS after RNS of new contracts, but the share price drops anyway. This still remains a long term hold for big payoffs in the future if the company keeps doing what they're doing, signing contracts, improving their goods and proving their place in the current market, all of which they are doing.
Can't tell if you are being sarcastic or not (can never tell online), but just putting the results from last June's audited results as a reminder.
Key highlights
· Revenue up 12% on the previous year
· Adjusted net loss* for the year reduced to A$2.0 million (2019: adjusted net loss of A$2.8 million)
· Company sales order book as at 30 June 2020 more than double the value at the same time in the previous year
· Ex-Murata production lines capacity expansion project on schedule and within A$5.3 million budget
· New facility in final stages of commissioning - tested supercapacitor products to be available for shipment to customers before the end of the current calendar year
· Aggregate level of customer enquiries well exceeds the full capacity of these production lines, with the top 10 prospects exceeding 9 million units per annum
· CAP-XX is pursuing Ioxus for the payment of awarded damages
· CAP-XX continues to pursue a similar patent infringement action against Maxwell Technologies, now a wholly owned subsidiary of Tesla Inc. with the initial discussions in front of the Court scheduled during November 2020
· Cash reserves as at 30 June 2020 were A$2.9 million (2019: A$2.4 million), before expected A$3.2 million R&D tax rebate (November 2019: A$1.6 million)
Price this time last year was 3p so I'd say it's doing pretty well. People like you have been saying this will go to sub 2p for over 6 years and it is still yet to happen. Investor sentiment remains the same as always, optimistic if not slightly impatient.