Member Info for Metamorphosis84

http://www.proactiveinvestors.co.uk/companies/news/196642/liberum-downgrades-interserve-as-risks-start-to-outweigh-rewards-196642.html Downgraded to target of 90p

100, 120, 150? Take your pick for the next milestone. I am sure our resident surgeon will be along shortly with the inspiration you are looking for. Thats assuming the intensive care ward is having a quiet day.

If this is such a dead cert maybe all these managers being made redundant should take their payouts and buy IRV shares with it.

Agree 2018 half year results will be significant. But a big warning, they will be bad bad bad. Construction in 1st Quarter came to a standstill with the weather. And IRV have not written any teuly profitable contracts yet.

Yes petty personal remarks are beneath you, other than questioning ones maturity. And I am sorry Mr Keynes, but macroeconomic theory presents a poor case. The construction industries main customer, the government driving margins down, an opposition that doesnt agree with the free market? Poor productivity in construction (notice the pot holes arent getting filled despite the demand)? A worldwide bull market that hit its peak in January? A fluctuating pound? Besides a macroeconomic argument would not make the cause for buying shares in one company and one company alone, especially olthe worst perfoming company in its sector.

AENDJO- seeing as the market has reacted negatively to todays results and the "next leg up to 120" has not taken place. What do you now see as being the event that was cause "the next leg up to 120"?

On this BB bad news is seen as good news, such is the delusion.

Plenty of Mystic Megs here! All off the mark

Have IRV given any forecast for forward earnings that may give investors confidence that 2018 will be better than 2017? Also, how will the bad weather in Q1 of 2018 affect the construction arm results?

Interserve's own description of 2017 financial performance.

King Arthur, maybe consider CPR or MTC for your portfolio?

No one has made any money, shed loads or otherwise until they hit the sell button. Which would be odd thing for someone in a buy position to do.

Thanks I have made respectable gains over many years of trading 35-36 years. I do agree, if forward earnings are ahead of expectations then I do believe this share may get the institutional investment that it requires to gain real traction. But we have been here before, misinterpretation of good news, a month or so a go when the real news was that debt had been increased. Same thing happened, a huge spike up to 113p then a drop back as realisation set in. Thanks goodness I didnt take terrible advice that day to buy. FWIW, this company is not dead and looking at Captia, investors do seem agreeable to take pain. And if the CEO (not on first name terms myself) and the BOD can offer something to the big investors (divi) then this could move towards the 150 levels. This is not going to happen fast and the share price has no right to magically go back to previous levels. Debt must be brought down. GLA, long or short, I would proceed with great caution.

Possible, or at least news coming out that could be interpreted by some as good news.

Still no formal news, this is still in the FOMO stage ATM. IMO.

" London South East Quick Picks Streaming Services HomeMarketsIRVChat Interserve Share Chat (IRV) Regular IRV chatPremium IRV chatPost a MessageFilter Load Newer Sat 07:52 Price: 85.35 AENDJO 75 posts Results Four trading days before AGM and five trading days before results. What’s your educated guess on results, fellow posters? Based on announcements, I am ballparking a total operating profit (i.e. before exceptional items) of 76m (First half was 46m + half of second half 2016 or 61m/2). This has been confirmed in the recent circular in a roundabout way (or that’s my interpretation). I’m not sure what the “exceptional” items - and therefore statutory headline profit - will look like. There will certainly be the EfW provision announced in October, circa 35m. I am not sure if all the other “exceptional” will be within the 41m - will we see a headline profit or a loss for 2017? - your thoughts much appreciated. I’m less worried about write down of Goodwill and other non-cash items (as long as it's 40% or less the optics of the balance sheet would still be ok). The company has forward revenues of 7b on books so that must be worth something. Again, comments welcome. Beyond 2017 results, in 2018 disposal of plant and equipment (a poster here alleges Interserve also already disposed of “accommodations” and “cranes”, under the radar) seems to me like painful but necessary major surgery. I appreciate Balfour went full circle the other way (they are now making a good recovery, so maybe that was a good strategy for them, too, at that time) but Interserve now needs cash and to reduce fixed costs. Disposal of good assets and trimming of less profitable business streams is clearly painful but I do look forward to a strong recovery if - it is a big, risky “if” - management can effectively reduce debt and improve margins. I think a recovery is possible - I am saying likely, and potentially extremely rewarding given the level of leverage, current evaluation, sector cycle, demise of Carillion, expansion of Sodexo in UK, Brexit and brakes on interest rates, UK deficit and internal spending - but there’s a degree of uncertainty and risk (namely actual profits, exceptional items, funds raised by disposals). Highly entertaining, either way. A penny for your thoughts my friends. All of the above in my opinion, I’m an investor in the company" Whether the results are positive/negative or neutral, the share price will increase over 100 to 120 then 300 and beyond etc etc

They will need to hire equipment in now they have sold theirs. If they have agreed fixed rates for hiring then yes, no problem. If the plant hire companies change the rates depending on where the work is, duration etc, then the cost to IRV would vary. Either way, whether the client pays more for a mis measure would depend on what sort of contract has been agreed, option a,b,c etc.

Any thoughts where this might top out?

Reduce fixed costs and increase variable costs. Compare with BBY who have just done the opposite.

Is the increase in borrowing that IRV is seeking shareholder approval for the same deal agreed back in March or is this over and above that?