Member Info for rivaldo

RNWH have delivered yet again - results to 30th September will be slightly ahead of expectations as regards all of revenue, operating profit and net cash.

The cash pile in particular will now be more than £31m, so year end dividends should be extremely healthy and there's always the potential for further and larger acquisitions now.

With 63p or so EPS likely for the year just gone, a historic P/E of 11 or so is just far too low for a company which has delivered successfully for so long and has such growth potential in a number of sectors.

And the outlook is extremely optimistic:

"The Board looks to the year ahead with confidence, with the Group well positioned to continue to benefit from the UK's committed infrastructure spend. Renew's exposure to long term operating budgets continues to provide demand across our core markets."

Https://uk.advfn.com/stock-market/london/renew-RNWH/share-news/Renew-Holdings-PLC-Year-End-Trading-Update/92165343

Encouraging to see ACSO initiate a £4m share buyback programme (with the bought back shares being cancelled).

Following the recent director buying this represents another signal that they believe the current share price is good value:

Https://uk.advfn.com/stock-market/london/accesso-technology-ACSO/share-news/Accesso-Technology-Group-PLC-Share-Repurchase-Prog/92165530

Excellent - SDI have confirmed that they expect trading for the current year to April'24 to be in line with expectations.

It's encouraging that they already feel confident enough to state this halfway through the financial year.

And it's also good to see relative to the adverse trading statements being issued by so many other companies in the current market.

SDI are on a P/E of 14.4 falling to just 13.1 for the year starting next May. And this will fall further with any acquisitions prior to the year end.

Strategic Equity (Ken Wooton) own a £10.3m stake in INSE - their 6th largest holding - and issued their prelims today. They achieved an 8% rise in NAV, pretty good in these markets.

They had this to say about INSE:

"Inspired, which de-rated on no specific news and despite delivering strong results and reaffirming expectations in line with market consensus"

"Developments during the year"

" Strong FY22 results, Q1’23 momentum and FY23 outlook

Demonstrable progress in cash conversion and cross-sell

New incentivisation agreement within its energy optimisation division, with performance hurdles significantly ahead of market forecasts"

Https://www.londonstockexchange.com/news-article/SEC/annual-financial-report/16141316

Shore Capital retain their 90p target.

They se 4.2c EPS this year, rising to 4.7c and 5.1c EPS.

The cash pile rises to $9.2m this year and then $10.5m and $11.8m, with a 5.9% dividend yield rising to 7.2%.

The cash pile is now essentially around 8.5p per share, so the current year ex-cash P/E is only just above 10.

Shore conclude:

"Outlook and valuation:

In the note that accompanied the FY22A results in March 2023 we highlighted that each of the divisions has long-term growth drivers with, in our view, Mottech

particularly well placed to potentially see stronger demand than we forecast for its water management and control software. The Antenna division is likely to benefit from the rollout of 5G across the world, as and when it happens, as MTI already supplies seven of the top ten operators with its technologies, hence we are most encouraged by today’s news. We would also expect to see continued good demand for Summit/PSK with its defence-related products and services as demonstrated by the news last month that two key PSK projects had already made significant

progress in Q3 FY23F.

We also flagged last month that, along with many stocks on AIM, the share price has drifted lower during 2023. We maintain a 90p fair value on the basis of a DCF analysis, which is corroborated by MTI achieving an FY23F EV/EBITDA multiple of 11.2x (the average of our peer group). We note also that the prospective 5.9% dividend yield for FY23F should also provide strong support."

Good to see Slater buying more and going above 11% now with 30.2m shares:

https://uk.advfn.com/stock-market/london/centralnic-TIG/share-news/CentralNic-Group-PLC-Notification-of-Major-Holding/92132383

Excellent - looks like 5G is finally taking off....

There must be a huge potential market to gof or in India, and hopefully this is just the start. The commentary is pretty bullish:

"Commenting on the orders, Dov Feiner, GM of the Antenna division, said : " India is going to be our most significant initial market for 5G backhaul solutions, so we are particularly pleased to win these orders. This is also because our solution has been chosen to replace antennas of a competitor that failed to meet the end customers' requirements, reflecting our technological edge in the 5G backhaul solution market. This is therefore a new and potentially significant opportunity to demonstrate the strength of our solutions and capture a larger market share of the Indian 5G backhaul market.

"We are also seeing demand for 5G backhaul solutions from other territories where we see good potential based on our belief that we currently offer the most comprehensive solutions in this market, including flat antennas, single band, dual band and automatic beam steering antennas. Alongside this, we have close working relationships with the leading Original Equipment Manufacturers which are key to becoming established in each market."

https://uk.advfn.com/stock-market/london/mti-wireless-edge-MWE/share-news/MTI-Wireless-Edge-Limited-5G-Contract-Wins/92132167

This one also looks pretty chunky:

Https://www.touchstar.co.uk/blog/metsec

"voestalpine Metsec select EPOD system from Manchester-based TouchStar Technologies

20 September 2023

Voestalpine Metsec plc is the UK’s largest specialist cold roll-forming company providing products for the construction and manufacturing industries. The company focus is on adding value through expert design, precision manufacturing and on-time in-full product delivery.

The company’s origins can be traced back to 1854. ..

... As a key organisation within the €10 billion voestalpine group, Metsec has continued to flourish and its range of purlin and framing systems have been utilised within many of today’s landmark UK construction projects including The Shard, Queensferry Crossing, Canary Wharf Crossrail Station, the Wimbledon Centre Court roof as well as substantial international projects such as Nakilat Damen ship yards (Qatar).

The Project

With its publicly declared focus on ‘on-time delivery’ the company maintains a policy of continuous improvement regarding delivery performance and is constantly refining, and investing in, new systems and processes. This search for a ‘best of breed’ delivery and tracking system led the Metsec management team to adopt the PODStar system from Manchester-based TouchStar Technologies.

Metsec do not run their own delivery vehicles but rather delivery work is carried out by 3rd party hauliers. These hauliers equip their drivers with a variety of different mobile devices and smart phones. With this in mind, one of the key system requirements was to have a front-end application that ran equally well on both android and iOS operating systems. The PODStar system is browser-based which means that it is entirely ‘OS neutral’.

The Cloud-based PODStar system offers a 'Planning and Optimisation' tool that automates existing manual processes. Using real time job information, clients are able to drag and drop jobs onto the relevant vehicles. The PODStar system has been fully integrated with Metsec’s existing sales order processing systems, via XML file transfer. Once a manifest has been created it is then automatically sent out to the drivers remotely in the field. To further enhance the efficiency, via a click of a button, jobs are automatically allocated vehicles in the most efficient order and display the route on a map saving Metsec fuel and time on the road...

.... The Outcome

Ian Hemsley (Metsec Production Director) comments: " We have the PODStar system installed in four of our divisions. In TouchStar we’re happy that we’ve found an organisation whose professionalism extends beyond the product itself, right through to the installation and support aspects of the project. Our drivers appreciate the simplicity and user-friendliness of the system and it has also ensured that we're legally compliant. Overall we're delighted with the system and, as we continue to expand, we look forwar

Good to see the CEO buying another £83,000 of shares, and the Chairman buying another £41,000's worth:

Https://uk.advfn.com/stock-market/london/accesso-technology-ACSO/share-news/Accesso-Technology-Group-PLC-Director-PDMR-Shareho/92106084

Https://uk.advfn.com/stock-market/london/accesso-technology-ACSO/share-news/Accesso-Technology-Group-PLC-Director-PDMR-Shareho/92106079

Great review on Investors Champion:

Https://www.investorschampion.com/channel/blog/an-exciting-new-fast-growing-arrival-on-aim

"The final dividend was lifted 8.7% to 4.89 pence with the full year dividend payout £7.24m (FY22: £6.50m).

Outlook

New client wins from ITV, RTÉ, Channel 4 and Wireless Radio Ireland significantly underpin growth expectations in the year ahead whilst at the same time creating high barriers to entry to prospective competitors.

The Group’s serviceable market has expanded significantly in the last 12 months through direct network connectivity in Ireland, and they will continue to consider establishing further direct connectivity in other territories in future years.

The first few months of the new financial year have started strongly, with a robust run-rate of consumer activity with key customers.

Fonix considers that the market for frictionless mobile payments remains significant and continues to grow year-on-year, despite the expansion in alternative payment options such as Apple Pay and Google Pay. For the majority of Fonix customers, adding carrier billing as a payment option is largely shown to reduce checkout abandonment and increase sales, rather than cannibalising existing transactions with alternative payment methods.

Forecasts and valuation

The house broker upgraded forecasts following the July 2023 trading update. House broker forecasts for the year ending June 2024 remain for adjusted pre-tax profit of £12.4m (growth 13%) and adjusted earnings per share of 9.5 pence, which assumes growth of 6.7%. The forecast dividend of 7.8p equates to a yield of 4.0% (share price 193p, market cap £193m). For June 2025, profit is forecast to rise 6.4% to £13.2m with earnings per share up 5% to 10 pence and a forecast dividend of 8.5 pence."

"Compelling growth opportunity

Unless selling shareholders are well and truly pulling the wool over our eyes, which looks increasingly unlikely following continuing positive momentium since listing in 2020, Fonix continues to look cracking value. The ‘Risks Factors’ section of the admission document doesn’t reveal any less obvious risks to us, but a slowdown in major charity events would have an impact, although charity business only generates fixed service fees as opposed to transaction based revenue. While the rating has risen since we initiated coverage, it's still rare to find a profitable and fast-growing facilitator of mobile payments to be trading at 23x forecast earnings estimates (share price 193p) and also offering a 4% dividend yield.

Unlike many other new AIM listings over recent years, Fonix hasn't put a foot wrong since its IPO in the last quarter of 2020 (share price 90 pence), paying out attractive dividends along the way.

With the market for charity donations being worth over £10bn annually in the UK alone, carrier mobile payments providing a 'near-free' commission model and with Fonix's exceptional reference clients, there i

Https://www.construction-europe.com/news/contractors-named-for-us10-bn-framework/8031459.article

"Contractors named for US$10 bn framework

By Leila Steed06 September 2023

3 min read

Procure Partnerships Framework (PPF) in the United Kingdom has appointed 12 demolition and site preparation specialists to the second iteration of the country’s £8 billion (US$10 billion) National Framework,

A miniture model of construction workers on a construction site (Adobe Stock)

Procure Partnerships Framework (PPF) in the United Kingdom has appointed 12 demolition and site preparation specialists to the second iteration of the country’s £8 billion (US$10 billion) National Framework....

etc"

Momentum Investor said Buy in their last-but-one September issue. Here's their summary:

"In response to an order book growing from £586m in H1'22 to the current £781m and a pipeline in excess of £1bn, electrical and mechanical contractr T Clarke has raised £10.7m gross via the issue of new shares at 122p. The funds will be deployed to deliver identified contract opportunites in London as well as strengthening the balance sheet.

The buoyant placing cam just before interim results, which were in line and showed a slight decrease in EBIT profit to £5.7m (£down £0.3m) but with EBIT margin up 0.1% to 2.8%.

This year will be a stub year (Cenkos eps: 17.4p ) before a surge to 24.2p and 27.1p.

T Clarke's markets are resilient with growth hot spots in government-backed infrastructure such as new hospitals, data centres and the move to net zero (driving office fit-outs) and with the prospective PE for next year dropping to just 4.8 and the dividend yield a useful 4.6% (5.9p forecast), I am a buyer."

Comment from Mark Watson-Williams on Master Investor last night:

"CentralNic Group (LON:TiG) – edging gently ahead now that it has climbed above the 130p level. Now at 134.90p and destined to ascend above the 150p level very soon."

Cavendish (aka Finncap) retain their 270p target price.

They summarise:

"A robust investment case –

Fonix is focused upon leveraging its highly scalable, cloud-based platform to expand with existing clients and win new clients as mobile payments continue to scale. The structural strength of the platform is demonstrated by no churn from major customers in seven years, and it is diligently expanding its market-leading technology outside of the UK when led by existing clients. The successful execution of the strategy has driven Total Payment Value (TPV) to £268m in FY23 from £125m in FY18, adjusted EBITDA to £11.6m in FY23 from £3.3m in FY18, and underlying EFCF to £9.0m in FY23. We conservatively forecast adjusted EBITDA growth of +9% in FY24 and +10% in FY25, and expect that any upside to our forecasts would benefit from strong operational gearing through to EFCF, which would be returned to shareholders through the progressive dividend policy."

Cavendish now - "conservatively" - forecast 9.5p EPS, a 7.8p dividend and a £10.9m cash pile for this year.

On virtually no trades, so I assume there are larger buys above market size yet to be reported.

Https://uk.advfn.com/stock-market/london/frontier-ip-FIPP/share-news/Frontier-IP-Group-plc-Exscientia-announces-collabo/92091952

" Portfolio news - Exscientia announces AI drug discovery collaboration with Merck KGaA, Darmstadt, Germany worth up to $674 million

Frontier IP, a specialist in commercialising intellectual property, today notes the following announcement from portfolio company Exscientia plc ("Exscientia" or the "Company") of a new collaboration with Merck KGaA, Darmstadt, Germany, ("Merck") focused on the discovery of novel small molecule drug candidates across oncology, neuroinflammation and immunology.

Under the terms of the agreement, Exscientia will receive an upfront cash payment of $20 million from Merck and will be eligible for discovery, development, regulatory and sales-based milestone payments of up to $674 million in aggregate if all milestones for three initial programmes are achieved.

Frontier IP holds a 0.4 per cent equity stake in Exscientia.

Exscientia statement begins:

-- Exscientia Announces AI Drug Discovery Collaboration with Merck KGaA, Darmstadt, Germany

-- Collaboration will leverage Exscientia's precision design capabilities to focus on previously unsolved drug design challenges

-- Exscientia is eligible to receive up to $674 million in discovery, development, regulatory and sales-based milestones for three projects, in addition to single to double digit royalty payments on net sales

-- Up to $113 million of potential milestone payments in the discovery phase, with $20 million upfront at initiation for three projects

OXFORD, U.K. Exscientia plc (Nasdaq: EXAI) today announced a new collaboration with Merck KGaA, Darmstadt, Germany focused on the discovery of novel small molecule drug candidates across oncology, neuroinflammation and immunology. The multi-year collaboration will utilise Exscientia's AI-driven precision drug design and discovery capabilities while leveraging Merck KGaA, Darmstadt, Germany's disease expertise in oncology and neuroinflammation, clinical development capabilities and global footprint.

Three potential first-in-class or best-in-class targets have been identified as the initial focus of the partnership. The collaboration allows Merck KGaA, Darmstadt, Germany and Exscientia to identify additional targets in oncology and immunology or other mutually agreed disease areas. Should Exscientia identify additional targets for the collaboration, the company would be responsible for target validation in addition to drug design and eligible for additional discovery milestones.

etc"

Very good results, in line with the trading update which resulted in upgrades from Finncap/Cavendish.

A lovely 7.8p dividend for the year. Huge recurring income. Ireland is really taking off now. There are other international opportunities in the air. Even the charitable sector which declined with the economic downturn is turning positive (though given the small margins this sector is much less important than others).

Above all, the tone of the narrative is extremely bullish. In particular:

"The first few months of the new financial year have started strongly, with a robust run-rate of consumer activity with our key customers. We continue to make great progress on our strategic goals and recognise that by delivering on these objectives and nurturing recent client wins we have a great opportunity to exceed expectations."

https://uk.advfn.com/stock-market/london/fonix-mobile-FNX/share-news/Fonix-Mobile-PLC-Final-Results/92091793

Tamesis Partners retain their 160p valuation.

They have CAPD on a P/E of just 5.3 for this year, with a 4% dividend yield.

They've raised their forecasts for 2024 and 2025 EBITDA by 2% and then 13% to $85m and $87.5m. FCF falls in 2024 to $17.3m and then rises by 28% to $33.9m.

Incidentally, they state the capex "is likely to be OEM funded at the same coupon as for the rest of debt funding (i.e 10%)".

They conclude:

"Valuation Commentary

Whilst Capital have a growing presence in Canada with MSALABS this is their first drilling contract award in North America representing a landmark moment for the company. We would expect to see further success now they have a foothold in the world’s biggest gold producing region. The company is truly diverse both geographically and across the three businesses: mining services, drilling and laboratory testing. However there has been no rerating, quite the reverse, as the shares are back to where they were at the end 2021 despite continual and meaningful progress across all operations and through the P&L, cashflow and balance sheet.

After adjusting for todays announcement the shares are trading on a PER multiples for 2023 and 2024 of 5.3x and 7.1x and EV/EBITDA multiples of 2.3x and 2.5x. Free cashflow yields are 6% and 9% and the company remains in a strong position to deliver a dividend yielding 4%. We maintain our price target of 160p."

A big $35m per annum drilling contract win with Barrick - and in the USA too, increasing geographic diversity and security of revenues - commencing in 2025. Excellent news:

Https://uk.advfn.com/stock-market/london/capital-CAPD/share-news/Capital-Limited-New-Contracts-Updates/92081234

Plus Ivindo contract preparations are confirmed as going well.

Barrick's continual expansion of their relationship represents great validation of and kudos for CAPD.

There's a new major shareholder - A. Lindsay has been buying and now has 2.52m shares, or 3.57%. Anyone any clues as to who he might be?

Https://uk.advfn.com/stock-market/london/enteq-technologies-NTQ/share-news/Enteq-Technologies-PLC-Holdings-in-Company/92075929