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https://www.udl.co.uk/case-studies/safer-more-efficient-external-cladding-sig-plc
Raleigh, this is a very important finding. Thanks for this. There will be a few golden years for insulation and it's very important that SIG develop patents and new products. They seem to be on top of this.
At the core of Francis's strategy is the "solutions" expert business. He invested to bring SIG s best staff back and he invests in new patents. Margins as well as sales will be much higher in the future.
This is truly turning around. Needs patience but will prove a multibagger. Can't wait for March results and govt budget.
Good news everywhere.
By the end of 2021 SIG will be considerably higher than now. Possibly back close to its levels in late 2019 or early 2020. SP may be double by then. When profits eventually hit approximately 120m, the SP will be around 100p.
The fundamental here are getting better and better. It's obvious that giant SIG is turning around. Too many factors point at more revenue and eventually profits here.
BUT: The SP here may/fall rise short term depending on the shorting lizards attacking the share. These people make their money by taking ours.
They boost/dump the share to cause panic or over-optimism. Just a week ago many friends here were thinking of 25p. Now many are thinking of 35p. Shorters are unethical and I imagine stressed and sad individuals but they are also experienced traders and have access to info that we don't (possibly inside trading tips from our lovely JPMorgan -- that's illegal btw).
So, what's the best strategy in waters infested by sharks? Stay on the raft. Ignore everything and... wait for the fundamentals to speak. By December, 36 or 46p will look extremely cheap and a different era.
DO NOT try to predict what shorters will do and when/how much this will fall/rise every time. Don't play their game. Play your game. If you don't sell and just wait, shorters actually lose money and the chances are that we'll maximise ours.
Please accept my apologies for offering unsolicited advice here. I know this can be irritating to some.
gla
The budget is also very important. On the 3rd of March. From what I understand/hear, the UK govt will announce very positive measures about construction.
Construction is seen as a cyclical business (affected by economic downturns) but... not if the government has made construction as their main platform. I wouldn't want to be out of SIG on the 3rd.
https://www.gov.uk/government/news/budget-2021#:~:text=The%20Chancellor%20of%20the%20Exchequer,on%20Wednesday%203%20March%202021.&text=The%20Budget%20will%20set%20out,for%20Budget%20Responsibility%20(OBR).
gla
SIG are the biggest supplier of insulation. With Kingspan discredited, they'll be an even bigger supplier.
Good stuff
And many thanks for your support against lurkers. Much appreciated!
A
I think the budget will support construction with extra funds, in early March. Insulation (No.1 product for SIG) seems to be centerstage here and they'll fund and facilitate further.
https://www.theguardian.com/business/2021/feb/05/uks-green-plan-offers-mixed-hopes-for-post-covid-jobs-boom
And then, we have SIG's trading update in March (most probably). They'll confirm that things are getting better and better.
My best guess is that shorters won't dare short this one again at 36p (They'll short this higher up though -- they're a plague).
If you know of any journalists/influencers and you don't feel like contacting them, please let me know their emails and I'll send them the info I posted below, from my university email.
GLA
I tried with three different chats on Reddit but no luck...
If you could copy/paste my article to Reddit if you have an account or anywhere else you feel like it suits, that would be great. Or just forward this to analysts who publish in blogs etc?
thanks,
prof
One potential catalysts is that the firm will release their final year results for 2020 and, very importantly, will offer a trading update on the way forward. Myself and other investors have strong suspicions that the company will confirm very strong revenues and possibly even early profits.
A second possible catalyst is that the UK government will announce their budget in early March 2021. The UK government’s mantra is: “Build, Build, Build” and we expect them to announce heavy investment in construction for the next years. That alone will be enough to turn a company back into profitability.
I’d like to repeat that even under horrible mismanagement by the previous board, this company actually achieved underlying profits in most previous years.
So, why am I doing this?
JPMorgan is shorting this. They annoy me and they try to take advantage of me and the other small fry. My dream is that they get a lesson at last…
All the above are honest information. I've been doing research on this company for nearly a year now. Please contact me here or Here (https://www.lse.co.uk/ShareChat.asp?ShareTicker=SHI&share=SIG) if you have any question.
Kind regards,
--> Restructuring completed. They’ve brought back hundreds of employees who quitted in protest for the previous leadership. Their talent is back.
--> In the last period of 2020 they even started to claw back market share (please read above link).
--> They expect profitability to return in 2021 (and the share will go a long way or even higher to where it was).
--> SIG is owned 72% by institutions such as pension funds, JP Morgan, Goldman Sachs, IKO and more. I estimate that the average price they paid is over 60p (depending on when they bought).
?The biggest shareholder is CD&R. These last ones are experts in turnaround businesses and they jumped in Summer of 2020. They invested over 100m to buy this company and they expect it to deliver a multibagger for them.
They are "smart money" and they know where they invest. They got in at 25p, in the summer of 2020.
--> JP Morgan and others are shorting SIG plc. JPM alone owns 5% of the shares and they've suppressed the price. If we all invest here, we can force many shorters buy back in a hurry. We can make money out of them for once.
=? The spectacular piece of info here is that this company actually doesn’t have a major profitability issue. They actually had underlying profits in 2019 (c. 40m) in 2019 and most years before that.
Check it out: https://www.lse.co.uk/rns/SHI/full-year-2019-results-publication-date-nu5zjmdy3557q3e.html
It was only after additions such as "impairment of good will" (c. 80m) and other accounting tricks, that they appeared to have losses. "Goodwill" is almost certain to return soon though...
? And what about Brexit you may ask? I think Brexit will have absolutely minimal effect on this company for two reasons:
1. Brexit has already been agreed (done now!) and stipulates free movement of goods across the channel. For a company like SIG plc, the little extra paperwork involved here is not a major issue at all.
2. This company is pretty much split across the UK and the continental Europe and that means they have warehouses and suppliers in each country.
Brexit was indeed a major concern in the past for this company but it's now sorted in a very satisfactory manner.
? What about UK/Europe’s macroeconomics then? Good things again:
? The Bank of England and European Central Bank are both committed to monetary expansionary policies, much like the Fed in the US.
? UK/EU countries are boosting their economies with fiscal packages too and…
? In fact, the construction sector is one of the very few which never actually closed whilst the Covid 19 pandemic went on.
Two catalysts and the big picture:
Once the market is convinced that this company will return to profitability, the share price will jump. It will most probably exceed 100p (£1). That’s the big picture.
One potential catalysts is that the firm will release their final year results for 2020 and, very importantly, will offer a trading update on the way forward. Myself and other inve
Hi everyone,
Greetings from the UK. I am brand new in Reddit and I hope you don’t mind a newbie posting his opinions here.
I'd like to draw your attention to SIG plc. I think this company is a true multibagger but with absolutely minimal risk of defaulting. I know it sound too good to be true but please check out the numbers and the evidence below, do your own research and form your personal opinion.
Indicatively, this is a company with a Market cap of only £377m who have £233m in the bank, net debt of only £5m (!!), revenue of nearly £2bn and loads and loads of assets such as branches, trucks, stocks etc. More to follow later on…
Since my very first post in Reddit last week, the company has gone up by 10%. This company is shorted with shares by JPMorgan but I think they’re making a big mistake on this one.
If you’re not interested in an investment at the moment, please accept my apologies for wasting your time and ignore the rest of this.
The catalyst for this multibagger is possibly March 2021, or whenever the market is convinced of a few things (which I discuss later). I expect the value here to at least double within less than a year.
So… SIG is a medium sized company for US standards but it’s the No.1 provider of insulation in Europe, with a strong presence in the market for building materials and particularly roofing.
They trade in FTSE All Shares. SIG ticker is SHI.
https://www.lse.co.uk/ShareChat.asp?ShareTicker=SHI&share=SIG
The company has a long history, many thousands of employees, nearly 500 branches in the UK and other European countries such as Germany, France, Ireland etc.
SIG has very strong fundamentals and the potential to deliver a Multibagger, starting from March 2021, when they will release their final year results for 2020 and give a positive trading statement forward.
--> SIG is currently at 32p. Last year they were about 130p (1.3 british pounds £). Upside here is huge.
https://www.google.com/search?q=sig+share&rlz=1C1CHBF_en-GBGB844GB844&oq=sig+share&aqs=chrome..69i57j69i60l3.4783j0j7&sourceid=chrome&ie=UTF-8
--> The company had profitability issues in the past but now they're ready to return to where they were in terms of profit. Too many positive developments here. The company changed their board/CEO, recapitalised successfully, changed their approach in doing business (significantly more customer focussed) and are generally on the Up.
--> They’ve actually stared re-opening branches due to high demand for their products and even acquired small companies in their field.
--> H2 revenues are up 4% compared to last year. Much better than expected revenue overall for 2020. 18% up! https://www.lse.co.uk/rns/SHI/full-year-trading-update-jx3545tukauwagx.html
--> A lot of cash in the bank. 233m is a lot for this capitalisation (please read above link).
--> Net debt only about 5m. Very little for such a business (please read above link).
--> Restructuring completed. They’ve brought back hundreds of emp
There was an ugly post here yesterday. A poster insulted people in a cheap way, and tried to cancel the work we do in this board. The things mentioned were meant to be toxic.
I'd like to say thanks to everyone for sharing their research and honest thoughts here. Personally, I know very little about construction (I'm an academic) and many of you have a deeper understanding of the construction industry.
Let's please continue helping each other. Together, we're better informed and safer here.
gla
Don't sell your shares my friends, let the shorters bleed. If it's shorters they're buying today, they're buying back too cheap.
I'll post more articles in Reddit. I had messages from people there, staying they bought here. Many people know the US market is probably a bubble by now and they're looking to diversify.
SIG is safe, in an undervalued market (UK) and almost certainly a multibagger in waiting.
Gla
Thank you for your good words Raleigh and Wilmsy, that's important for me. I've received a few negative comments in the last couple of days.
I just wish we somehow managed to move our discussions on Reddit. Millions of investors globally could benefit from our research on SIG. Many people are looking for an opportunity like this.
I'm looking forward to the trading update in March -- I do believe it will be positive in terms of both revenue and better than expected profitability. Also in March, possibly the UK government budget will include new info on costruction as a platform for growth. I think we have two positive catalysts coming up.
Good luck everyone
Thank you for your good words Raleigh and Wilmsy, that's importnat for me. I've received a few negative comments in the last couple of days.
I just wish we somehow managed to move our discussions on Reddit. Millions of investors globally could benefit from our research on SIG. Many people are looking for an opportunity like this.
I'm looking forward to the update on March. Possibly the UK government budget will include new info on costruction as a platform for growth. I think we have two positive catalysts coming up.
Good luck everyone
https://www.reddit.com/r/investing/comments/la5djh/strong_fundamentals_for_a_turnaround_case/
Beyond the comments under my article (a couple of them nasty, but the rest intriguied), I have also received 11 private messages from investors asking for info. There are millions of investors in Reddit and many of them are looking for an opportunity such as this one.
SIG is a potential multibagger but with limited the risk of an established company with very little debt. They even had underlying profits in 2019 and many of the years before...
*widely associated
In the media and any construction articles I've read, SIG is not widely with the Grenfell inquiry.
Kingspan knowingly produced inadequate material, sold it with the wrong certificates and then tried to cover everything up with rigged testing.
https://www.theguardian.com/uk-news/2020/dec/17/director-grenfell-firm-quits-evidence-outdated-fire-tests-kingspan
Kingspan should face criminal charges for this.
SIG is only a trader of products and as long as they don't purposefully misguide a customer, they shouldn't have legal responsibility here. If I go into a store and ask for the wrong product, can you blame the seller?
I think there's a misunderstanding here. Apologies if I've not been clear about my intentions.
The point of a post on Reddit was not to create a sensation around the share, let alone manipulate any retail investor!
In my posts I mention facts, numbers and use evidence and rational arguments to prove my case. I don't "hype" things and I never lie. If anything, I'm boring with all these numbers and evidence I use.
I also put my money where my mouth is. I don't encourage anyone to do anything I wouldn't do (Raleigh).
There are millions of investors out there who have never heard of SIG plc and never would. Many of them are looking for a company with the potential of a multibagger but with relative strong fundamentals. That's SIG.
Would it be so bad if I highlighted SIG's potential, using arguments and facts?
Many of us here have done a lot of research on SIG and have followed this company for a while now. Why not passing on that knowledge to a wider audience if it can be to everybody's benefit?
This share is clearly manipulated, and that's unethical. The proof for that is in the RNSs, this is not speculation or hearsay. JPM go up and down every few weeks, using cash-equity swaps. That's shorting.
Publicity has the potential to help insulate SIG against shorting, at least to some extent. A shorter would think twice if a company has a wider audience. The risk profile of the share gets higher. For example, if good news appear suddenly, the price would rise even more with a wider audience and the short squeeze would be worse for the shorter.
SIG will improve their revenue and profits in time. I'm almost certain of this. SIG will definitely exceed 40 or 60p in time. But how high a share goes is also a relation of publicity. Look at the rise of other shares in the US and UK -- shares with no profit or companies which are shut. The reason why their prices quadrupled is publicity. SIG could go to 40p without publicity or to 60p with publicity when the good news come. And at least SIG is way safer than other companies, have a market that will not be affected by any new viruses and have already recapitalised.
If you don't want to contribute to my post in Reddit that's absolutely fine. But please don't attribute my efforts to any shady intentions. There's value in publicity.
GLA
If you'd like to comment, share etc... this is a community of 1.5m members. I'll post it to other places too when I get the time.
https://www.reddit.com/r/investing/comments/la5djh/strong_fundamentals_for_a_turnaround_case/
Hi everyone,
I'd like to draw your attention to SIG plc, a medium sized company in the United Kingdom. They trade in FTSE All Shares. SIG tinker is SHI.
The company has a long history, many thousands of employees, nearly 500 branches in the UK and other European countries.
SIG has very strong fundamentals and the potential to deliver a Multibagger, starting from March 2021, when they will release their final year results for 2020 and give a positive trading statement forward.
--> SIG is currently at 29p. Last year they were about 130p (1.3 british pounds). Upside here is huge.
https://www.google.com/search?q=sig+share&rlz=1C1CHBF_en-GBGB844GB844&oq=sig+share&aqs=chrome..69i57j69i60l3.4783j0j7&sourceid=chrome&ie=UTF-8
--> The company had profitability issues in the past but now they're ready to return to where they were in terms of profit. Many positive developments here. The company changed their board/CEO, recapitalised, changed their approach in doing business (significantly more customer focussed) and are generally on the Up.
--> Subsequently, they've re-opened branches due to high demand for their products and even acquired small companies in their field.
--> H2 revenues are up 4% compared to last year. Much better than expected revenue overall for 2020. 18% up! https://www.lse.co.uk/rns/SHI/full-year-trading-update-jx3545tukauwagx.html
--> A lot of cash in the bank. 233m is a lot for this capitalisation (please read above link).
--> Net debt only about 5m. Very little for such a business (please read above link).
--> Restructuring completed.
--> In the last period of 2020 they even started to claw back market share (please read above link).
--> They expect profitability to return in 2021 (and the share will go a long way or even higher to where it was).
--> SIG is owned 72% by institutions such as pension funds, JP Morgan, Goldman Sachs, IKO and more. The biggest shareholder is CD&R. These last ones are experts in turnaround businesses and they jumped in Summer of 2020. They invested over 100m to buy this company and they expect it to deliver a multibagger for them.
These are all "smart money" and they know where they invest. I estimate that the average price they paid is over 60p (depending on when they bought).
--> JP Morgan and others are shorting SIG plc. JPM alone owns 5% of the shares and they've suppressed the price. If we all invest here, we can force many shorters buy back in a hurry. We can make money out of them for once.
All the above are honest information. I've been doing research on this company for nearly a year now. Please contact me if you have any question.
Good luck everyone!