Member Info for Libero

having taken a quick look here, the debt looks high. It's improving but it's still high and that puts me off...

pretty much tipped this in an article in the issue out this week. Said great turnaround play with return to profitability in a good sector (beauty retail).

1) The BoD are absolutely stellar. Luke Johnson, chairman & largest shareholder, bought small Pizza Express (when they only had 12 locations) and expanded it to 250. He was also behind Strada and other things before selling it on. Each time he’s increased value massively. Joined Patisserie Group in 2006 CEO Paul May also joined in 2006 and has brought Patisserie grow from 8 stores to 138 stores! Finance Director Christopher David Marsh – note to self: check his other AIM-listed firms Fishworks Plc and Healthy Living. Non-Exec Director John Horler –Set up Frankie & Benny’s and La Tasca. Floated the business for £54m in 2005 and sold it on for £134m in 2007. Joined Patisserie board in 2013. 2) Margins are superb – consistently about 20% 3) Growth has been superb in recent years. Consistently 21-25% growth since 2011 in terms of Revenue and EBITDA. 4) PBT keeps growing 25-30% in recent years. 2014 H1 showed that yet again. But … 1) If my calculations are correct, 2014 EV/EBIT is 19.7 and 2015 EV/EBIT is around 15.4 which I consider to be high. 2) Tangible Net Worth is negative ( -£1.8m) 3) Administration Expenses have grown substantially over the years. 21-24% increases year on year from 2011 – 2013 before a large 27% rise this financial year (H1 2014). This increase is even higher than the increase in revenue and gross profit (both about 26%). Cannot ascertain whether the directors are paying themselves mega-bucks or whether it’s due to growth in number of locations. Conclusion - this looks quite highly rated on the Fs but perhaps it deserves to be considering the quality of the management, the consistent double digit growth rates, the fact the placing money is likely to be used for another earnings-boosting acquisition, etc. All in all I find this hard to judge and am therefore unlikely to buy in at the current valuation.

In fact, talking of TNW, it gets even better. As PS says there's hidden value here so "Net tangible assets were £17.6m, so add on the freehold property surplus of £6m, and you're at £23.6m" 43% discount to the MC Wow!

Thanks mate. Will do. Quick Valuation Notes P/E of 11.3 is pretty low. Yield of 3% is decent EV/EBIT isn't great - standing at 29 TNW is £17.6m and therefore 107% of the MC = great margin of safety here I'd have thought Growth is really good with 40% rise in PBT Cyclical sector = great All in all this is looking rather tasty!

Familyguy, I saw you tipping 888 on GC so I've followed you here lol The EV/EBIT ratio is okay. TNW is shocking (3% of MC). But it's the thought of this rising cos of the techs that has got my imagination going - how do you know this'll rise? and what do you reckon it'll rise to? Additionally will the nevada license for poker sites be that much of a game changer considering the huge level of competition in the state / Las Vegas? Best regards, Dan

Holy **** just seen the 12 month chart for this share and you must be about 23% up! Bravo

As promised I'm here...

http://www.stockopedia.com/content/stockranks-upgrades-and-downgrades-july-22nd-84896/

by whom? that's quite some rise!

http://sharecast.com/news/numis-hails-substantial-dividend-hike-at-ig-group/21889613.html and... "The company, which is about to launch a stock dealing service, reported on Tuesday that despite a subdued backdrop at the end of the year to May 31st, pre-tax profits rose 1.3% to £194.7m on net trading revenues that increased 2.4% to £370.4m" In other words: 1) This has been a bit of a duff year due to lack of volatility 2) Future looks brighter than ever with new product offering

check out your ol' fanancial analysis post (in general chat) on IGG and remember that 17.5p will be paid out to all those invested by 24th October

re: pension deficit http://www.stockopedia.com/content/small-cap-value-report-9-jul-2014-chrt-srt-beg-stvg-tht-84652/

http://www.trustnet.com/News/523122/mark-slater-my-income-growth-and-recovery-stock-picks-for-2014/2/1/

On historic valuation (using 2013 figures) this looks expensive. However if 2014 H2 is as good as H1 then this is looking cheap. Providing H1's success can be replicated across the year the forward P/E ratio would fall to just 11.5 and the EV/EBIT ratio would fall to 9.1 (33 / 3.63). Both of these ratios are cheap but not mad cheap on the face of it but, when you factor in the high earnings growth, ZYT is looking very cheap. If you believe H2 will be as good as H1 then this is well worth buying into. It all depends on that tbh and, at this moment, I can't say whether H2 will be as good prior to doing more research

Lovely ol' El1te posted an article touting PMR as a Strong Buy the very same day I bought in (and you jolly) - what a coincidence is that?! http://www.theel1tetrader.com/2014/07/panmure-gordon-co-sector-discount.html

all in all. Although I wish that bloody telco who owes SYQ money would start paying what they owe faster! Regardless of that this share is still v undervalued at present on a forward outlook so it remains a strong buy from me

(to self really) Forward PER of just 5.3 Forward EV/EBIT of 9 ish Superb considering super fast growth Yield of 1.5% Jolly is a fan. IC are also fans from memory. Needs more research

Yeah that's the one. See you on the PMR bb perhaps? Dan

Jolly, I'm really pleased you bought in. It reaffirms my pick. And not a problem mate - I've got to pick a good 'un eventually, right? haha What do you mean about the insiders cleaning up? didn't get that Also, if this is exceptional value, then why have you given this a weak buy? (as opposed to a strong buy) VBR, Dan