The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
I don't think it's too late for a topup. Considering buying into this strength myself.
This is isn't what happened to Marconi?!
Been looking at this with intention of buying if gets lower. I think an important question to ask yourself before buying, CM is what would you do if it fell 20-30 even 40%. If the answer to that is sell, you really need to consider why you're buying. Especially if you have a long-term approach. Fwiw, I don't think you've got it completely wrong here. I liked this when it was in the 50s but failed to pull the trigger. So have watched it climb then start to fall back again, as most things do. But even here, its too expensive for me. And that's where I think your error is... That you overpaid for a fairly decent business. I'll continue to watch until this becomes good value. And if it doesn't, I'll leave it. Atb.
Was speaking to friend last night, works with interserve construction. His boss is moving him to a new site, at least 4 years work. Make of that what you will or don't make anything from it. But its relevant and its certainly not negative. Fighting the urge to increase position....slightly.
I appreciate that. I just don't think their debt situations can be compared. I wouldn't touch a company with 4b in debt, to me that is just nuts. I can't even comprehend the interest. Interserves net debt is forecast to be 513. They have a program in place to save 50m a year by 2020. They're cutting jobs and getting out of less profitable work to cut the debt. So while I agree that just now, it seems high, its definitely manageable. And it's nowhere near the likes of carillion or cipitas, iirc. Having said that, I'm well aware of the risk here, hence why I've only around 5% of my pf on this and I'm in from the 50s. Anyway, have a good weekend, sir.
Not only was I too young then but good risk management means I won't end up with a scarred back here either. Look, man...I feel for you if you lost a lot there but I honestly don't know how you can think it's a fair comparisn. But I'm happy to learn....Tell me what similarities there are with interserve and marconi.
Article said voluntary liquidation. It was going bust. Not the point anyway. It had 4bn of debt. That alone makes the comparison nonsense. Add to that it tried to be tech company and fell with the rest of them when the bubble burst. I was 17 at the time and that's why I hadn't heard of it. But I can safely ignore any mention of it again here. Have another LOL.
I keep seeing people make this comparison but I'd never heard of it so I Googled. A tech company that went bust with 4bn of debts?....after the doctcom crash?. Lol, Please tell me its a different Marconi people are making reference to.
Haha, nice 1, aendjo. And thank you, sir. I'm hesitant to congratulate myself just yet. But well done to everyone else who stayed the course and ignored the nonsense. It certainly can be difficult being contrarion at times. Let's see what tomorrow brings :)
I've been out all day without my phone. Fully expected this would have fallen back by eod. My plan was to reduce then bail completely around £110ish. I'm now thinking this could be higher before news?. I still think tomorrows close will be crucial.
One more thing: that Christian dyor thing is mine now. Please refrain from using it again.
Aendjo, I might be mistaken here but wasn't that 76m operating profit before they announced the expected to be ahead?. Iirc, they said 2nd half 17 was to be around half that of 2nd half 16. Which would mean 30m ish and giving us the 76fy. But didn't they then report 2nd half 17 now likley to be ahead? Anyway, I'm staying grounded here, gents. This 3x ebitda will be take a lot of work. Let's not start patting each other on the back just yet. I expect a lot of people to bail after such rises. We'll lose a few at 80p
What's going on today!. Fomo kicking in?. I certainly never expected such a rise yet. Would definitely much prefer a slower climb up until news. I think tomorrows finish will be a key gauge on sentiment.
Why will they breach covenants?. The rest of the post is absolute drivel. The amount of EBITDA required has been reached in the past. That's without all the cost cuts and savings. They've also stopped the divi, which looks to save around 30m+. I think you're correct in that that's what it will ultimately come down to. And I'm not saying it will be a walk in the park, no doubt about it, its tough. But definitely doable, especially when your life depends on it. The extension gave them time to come up with the solution. If they don't breach, this is back to a quid. If they do, we're wiped. But good risk management makes the loss manageable. Nobody has got their entire pf in irv. Risk reward is favourable, imo
Correct me if I'm wrong, but the news was that Emerald have acquired their bank loans and not bonds?. Isn't this 2 different things?
Article says emerald partners are a key player in the 'refinancing discussions'. Also that they have pledged to 'back the refinancing'. Buying some (not all) of the debt at up to 50% discount could be part of a deal going forward. Meaning less exposure for some of the banks and emerald not only take on old debt but contribute to the refinancing (as alluded to). With a market cap of now around 80m? It's pretty much priced for disaster. So any sniff of refinancing or hint at continued trading should see the sp rise significantly. That's all investors are waiting for here, a sign that they can continue. And now that someone has taken some risk from the lenders and pledges to back the refinancing.....We'll see what happens. Could be an RNS in the morning.
Off to a good start. Tempted to buy more here since only dipped toe after the valueact position. But suspect it might fall back slightly as the day goes on. Will see where we're at eod.
Not a great year but now mostly in line with expectations. Positive outlook. Record visitors. Possibly worse priced in here but looking to a bad day for stocks overall.