Member Info for rivaldo

Stuart Hawthorne has increased his stake to over 12% with 8.125m shares, so he's bought another 625,000 shares:

Https://uk.advfn.com/stock-market/london/getech-GTC/share-news/GETECH-Group-plc-Holdings-in-Company/88756433

"Strong trading", improved cash generation, and trading nicely in line with expectations of 1.3p EPS this year, so a current year P/E of only 9.46.

ESG demand is "accelerating", and the energy crisis is no doubt fuelling the increased demand for Energy Optimisation services:

Https://uk.advfn.com/stock-market/london/inspired-INSE/share-news/Inspired-PLC-Trading-update-and-notice-of-results/88765557

"Against a challenging market and macroeconomic backdrop, we are pleased to report a period of solid growth, with the Optimisation and ESG divisions gaining particularly good traction in particular, a trend we see continuing into the second half.

"The transition to Inspired plc a year ago has enabled us to strengthen our platform and leading market position as we support businesses in their response to the ongoing energy crisis and climate emergency."

NTQ have issued an expanded version of the report below, with this nice concluding sentences:

Https://www.enteq.com/news-media/2022/08/enteq-technologies-reports-success-following-launch-of-the-saber-tool/

"Enteq Technologies (Enteq), the energy services technology and equipment supplier, announces a 45% increase in revenue in 2022 with new entry into new regions and energy transition sectors. Building on this, the SABER Tool (Steer-At-Bit Enteq Rotary Tool), Enteq’s game-changing alternative to traditional rotary steerable system (RSS) for directional drilling, has successfully achieved its testing milestones to date."

"We have a steady and loyal customer base through our MWD and LWD offering who are incredibly interested in SABER and we’ve put a lot of work into understanding what the market wants – gaining significant interest globally. We’re currently in the position of identifying commercial partners across several regions to facilitate the roll-out of SABER as the industry go to in RSS technology.”

for the core Globe business, which is looking very strong after all the other recent contract wins.

And around a third of that will benefit this year, with visibility going forward getting better and better and the transition to Net Zero being key to GTC's prospects:

https://uk.advfn.com/stock-market/london/getech-GTC/share-news/GETECH-Group-plc-1-1m-Contract-Sale-Release-of/88753198

" "We are encouraged by the continued strong demand we see for our products, delivering growth in revenue generation, but also importantly providing a strong base from which we can further explore strategic partnerships and opportunities to expand Getech's own portfolio of low carbon assets.

The success of the global energy transition is reliant on a diverse range of solutions facilitated by the rapid development and application of technology and a significant increase in critical minerals supply. Getech's Globe platform provides an excellent example of our ability to combine decades of experience and innovation with leading geoscience data to meet mounting market demand. Thanks to its fundamental role in de-risking natural resource exploration projects, Globe is optimally placed to accelerate the pathway to net zero."

A very strong H1 performance reported today from major customer Spirent.

Good to see 5G implementations being described as "in their infancy".....

Https://www.investegate.co.uk/spirent-comm-plc--spt-/rns/results-for-the-six-months-ended-30-june-2022/202208040700068497U/

Encouraging to see ADF confirming their onfidence in trading in line with expectations for the year, having had a good H1 and with that high visibility going forward through 2023.

Acquisitions remain likely soon. And good to see the company confirm the expectations for this year being £31.8m revenues and adjusted EBITDA of £7.8m:

Https://uk.advfn.com/stock-market/london/facilities-by-adf-ADF/share-news/Facilities-by-ADF-plc-Trading-Update/88753227

"Additionally, market dynamics remain strong, with continued robust demand for film and high-end television the UK and the Group's 2023 order book continues to grow. Therefore, the Group remains confident of further success."

"The Group has continued to make substantial progress in the first half of 2022 , underpinned by supportive market dynamics, a strong network of contacts and good levels of order visibility, providing the Board with confidence in the long-term success of the business.

Our funds raised at IPO continue to provide us with the means to further strengthen the Company's financial position and continue to execute on our growth strategy. With our order book nearly filled for 2022, we enter the second half in a robust position and look to the future with confidence."

Techinvest's July issue had CNIC as one of their six Second Half (of 2022) Best Buys, so it should be OK to copy since the new issue is now out:

"CentralNic (CNIC; 122.5p) develops and manages software platforms allowing businesses globally to buy subscriptions to domain names that are used for their own websites and email, as well as for protecting their brands online. These platforms can also be used for distributing domain name related software and marketing services, an opportunity that contributes significantly to CentralNic’s organic growth. Results for the year ended December 31 revealed a pleasing mix of organic and acquisition-led growth. Revenue was up 71% to US$410.5m, with adjusted EBITDA 57% higher at US$46.3m. Strong demand was reported for the company’s online marketing division where revenues increased by 133% to US$261.3m.

Organic revenue grew at a rate of 65%. Strong cash conversion (116% on an adjusted basis in fiscal 2021) is an attractive feature of the business and free cashflow per share for the last year was circa 15.9p, which equates to an undemanding price to free cashflow figure of 7.3.

Broker consensus forecast for the current year is earnings per share of 12.2p, rising to 13.7p for fiscal 2023. On a prospective P/E of 10 for fiscal 2022, we feel the shares represent excellent value. The FT has listed CentralNic among the top 50 fastest-growing tech companies in Europe."

Techinvest have published their new issue, so it should be OK to copy their Buy update on EKF from the July issue:

"EKF Diagnostics

EKF has announced the intention to distribute shares in its investment, Verici Dx, to the company’s shareholders who will receive one investment share for every 50 ordinary shares held in EKF. In order to maintain an orderly market in Verici’s shares following the distribution, the shares will be held in trust for shareholders for a period of a year. During the lock-up period, EKF Shareholders will not be permitted to transfer the legal or beneficial ownership of their Verici investment shares.

Verici is a developer of advanced clinical diagnostics for organ transplant. The company is one of three business that have emerged so far from EKF’s preferred partnership agreement to develop healthcare technologies alongside Mount Sinai Health System. The other businesses are Renalytix, which is currently trading on AIM and Nasdaq, and Trellus Health. Both Trellus and Verici are listed on AIM. EKF reported owning around 5.7% of Verici’s shares at the time of the company’s final results announcement in March. The partnership with Mount Sinai is proving fruitful and represents an asset that investors may be overlooking when valuing shares in EKF.

We feel that the company’s core business alone is somewhat undervalued by the current share price. Stripping out net cash of 4.6p per share, the shares trade on a prospective P/E of 14.1 for the current year, falling to 11.4 for fiscal 2023. Add in the projected value of the business investments in the Mount Sinai partnership and the stock looks excessively neglected. Buy."

Techinvest have published their new issue, so it should be OK to copy their Buy update on MWE from the July issue:

"MTI Wireless Edge 63.5p (MWE; AIM)

MTI’s Mottech Water Solutions division has secured several orders through its Italian resellers, totalling approximately €1.0m, all for delivery during the third quarter of 2022. Italy has been a successful market for Mottech, operating through long-term resellers of the Mottech product range. These recent orders are from both existing and new agricultural and water distribution customers. Although this is a comparatively small order in financial terms, it demonstrates the customers’ satisfaction with Mottech’s solutions and ongoing support. Water management has been described as the most pressing environmental consideration worldwide and that represents a huge market opportunity for operators like Mottech. Continue to buy."

Techinvest have published their new issue, so it should be OK to copy their update on SYS from the July issue:

"SysGroup 26.5p (SYS; AIM)

SysGroup has reported that disruption linked to the pandemic resulted in a 19% drop in revenue to £14.75m for the year ended March 31. Recurring revenue increased to 87% compared to 79% of total revenue in fiscal 2021. Adjusted EBITDA was 3% lower at £2.82m and adjusted pre-tax profit was £2.04m compared to £2.09m last time. Adjusted basic earnings per share were 3% higher at 3.6p, giving an historic P/E of 7.2. Cash generation from operations was down 16% to £2.47m, although net cash at the period end was 59% higher at £2.99m (5.7p per share).

Despite the pandemic challenges, SysGroup continued to make good operational progress. The group’s project to deliver a unified platform of systems was completed, delivering benefits across all parts of the business. Multi-tenanted cloud platform, SysCloud 2.0, went fully live recently and is reported to be delivering higher efficiency with greater capacity from less physical space. Office rationalisation was completed with a refurbishment programme in Newport and closure of the Telford office. Post period-end, two acquisitions have been added, Trustream Security Solutions and Independent Network Solutions. Trustream is a provider of cyber security solutions and gives the group a presence in Scotland from which to grow. Independent Network Solutions, which trades as Orchard Computers, further enhances the group’s presence in the Southwest region and complements its South Wales based operations. Both acquisitions are expected to be immediately earnings enhancing.

Despite the short-term disruption caused by the pandemic and wider economic uncertainty, the market opportunity for SysGroup continues to grow. Success for the business in the competitive and highly fragmented IT managed services domain will be greatly aided by building scale. In that respect, the acquisitions of Truststream and Orchard look well-timed, adding customers, technical expertise, and geographical reach to the enlarged group. SysGroup’s ambition to be a consolidator in the UK market is supported by the success of the business in lifting recurring revenue close to the 90% mark.

Cash generation also remains strong, contributing to a robust balance sheet that provides ample scope for further acquisitions. The pandemic has greatly enhanced the demand for digital transformation and managed IT services with businesses needing reliable technology solutions to ensure the continued smooth running of their operations in an increasingly hybrid working environment. That provides an encouraging background for SysGroup’s ambitious expansion aims, but management now needs to prove that recent operational improvements and strengthening of sales teams can restore top line growth. Failure in that regard could make SysGroup itself an acquisition target for a larger IT managed services operator. Hold."

Techinvest have published their new issue, so it should be OK to copy their Buy update on KAPE from the July issue:

"Kape Technologies 340p (KAPE; AIM)

In an AGM statement, Kape reported a record first quarter performance driven by robust organic growth. Management added that this leaves the company well-positioned to deliver revenues of between US$610-624m and proforma adjusted EBITDA of between US$166-172m for the full year 2022. For the prior year ended December 31, Kape achieved revenue of US$230.7m and proforma adjusted EBITDA of US$78.0m. The integration of ExpressVPN, acquired in December 2021, is underway and has strengthened Kape’s go-to market and R&D capabilities.

Moreover, operational benefits have already been realised, including cost-savings on back-office consolidation and leveraging economies of scale as well as ongoing synergies in the infrastructure and marketing spheres. Following a transformational 2021, Kape looks to have continued the positive momentum as recent acquisitions bed-in and further products are added, generating additional cross-sell opportunities. Now serving around seven million paying subscribers worldwide, we believe that Kape is in a strong position to lead the fast-evolving market for consumer security and privacy services. Buy."

Progressive have issued a new research note:

Https://progressive-research.com/research/services-driving-impressive-progress/

Progressive forecast 12p EPS for the current year. That's up a very respectable 17% from March'22's 10.3p EPS.

I note that SWG achieved 7.6p EPS to March'20, so 12p EPS would be almost 60% up in 3 years, despite the pandemic and software transition.

Plus the £5.6m cash pile at March'22 is forecast to increase to £7.9m at March'23 - 26% of the current m/cap.

If you strip this out, then SWG are on a current year ex-cash P/E of only 7.8....

"High-grade" drilling results this morning from Shanta's West Kenya project, where CAPD are the contractor. And MSALabs are carrying out the lab analysis.

Plus lots more drilling to be carried out over the rest of 2022:

Https://www.investegate.co.uk/shanta-gold-limited--shg-/rns/high-grade-drilling-results---west-kenya-project/202208030700066905U/

"The latest phase of drilling at West Kenya has continued to deliver consistently high-grade results that are indicative of the vast potential West Kenya offers in the Shanta Gold growth story.

The 2022 drilling campaign is two-part, focused on upgrading existing resources to the Indicated category and resource expansion across our numerous targets. I am pleased to report that today's results highlight our progress with the former, and will be quantified with a year-end resource upgrade targeting hundreds of thousands of new ounces to the Indicated category.

We expect to have a further update in the next few months with our priority being to expand the resource base at targets including Kimingini and Ramula, where drilling is active and delivering highly encouraging results."

I note that Canaccord are forecasting at 93p a P/E of just 5.4 for next year.

Which provides encouraging back-up to Tamesis's similar forecast as previously posted.

They also see a 2.69c dividend this year rising to 2.76c next year.

Finncap have upped their forecasts for next year after today's acquisition, retaining their 425p target.

They now see 25.9p EPS this year and 27.1p EPS next year:

Extracts:

"This extends the group’s low-carbon offering into these two market areas, expanding Eneraqua’s client proposition, with strong synergies with ground source and air source heat pump-based heating solutions and has applications in the wider scope of sectors that Eneraqua currently serves – providing enhanced medium-term growth opportunities. Compared to traditional radiators that use water heated up to around 85 degrees, underfloor heating typically uses water of around 50 degrees and thus makes it ideal, coupled with ground/air source heat pump systems."

"We maintain our existing 425p price target that offers significant upside to current levels, with the current FY24 P/E valuation of 9.6x at a significant discount to peer multiples."

Https://www.oilreviewmiddleeast.com/technical-focus/robust-alternative-to-traditional-rotary-steerable-system

Extract:

"Robust alternative to traditional rotary steerable system
Created: Monday, 01 August 2022"

"The global drilling market is currently estimated to be worth at least US$11bn. Enteq’s chief executive officer, Andrew Law, said, “We know that the drilling market, and in particular the RSS market, is strong. We’re confident this is set to continue into the future, and we’re excited by the potential to use our technology to support energy transition applications. When we set out to commercialise SABER, we wanted to ensure that we were creating an RSS that would improve the efficiency of operations now and well into the future. With SABER, we’re confident that we’re able to do that and we’re looking forward to providing a solution that customers can feel confident in investing in.

“When you look at the oil and gas industry, for example, there are only a handful of businesses supplying the global market in this sector and we know that there is demand there for alternative, innovative technologies.”

Nice earnings-enhancing acquisition just announced - sounds like there are lots of synergies:

Https://uk.advfn.com/stock-market/london/eneraqua-technologies-ETP/share-news/Eneraqua-Technologies-PLC-Acquisition-of-Mathewson/88728402

Excellent news - and 140p is as usual with initiations probably a relatively conservative opening target which can easily be upgraded later:

Https://www.sharecast.com/news/broker-recommendations/canaccord-on-capital-ltd--10267229.html

"Canaccord Genuity initiates coverage on Capital Limited

Analysts at Canaccord Genuity initiated coverage on Africa-focussed full-scope mining services company Capital Limited on Monday with a 'buy' rating and a 140.0p target price.

Canaccord Genuity said it believes Capital shares were "significantly mispriced" based on the group's "strong" growth outlook and pointed to four key reasons why investors should own the stock.

Firstly, Canaccord said Capital was "a dominant player", generating premium margins, while it also noted that the group was operating in a growing market, it had a "positive outlook" for key segments, and also pointed to the company's balance sheet strength.

"Capital operates the largest drilling fleet in Africa, with approximately 116 rigs, and operates at higher margins than peers. Mining services activity is picking up significantly and is set to rise further as commodity prices incentivise exploration activity. Further, the company is using its established position to diversify into segments with positive outlooks, including contract mining and laboratory services which accounted for roughly 22% of group revenue in FY21," said Canaccord.

The Canadian bank also noted that Capital's management had positioned the company for "significant growth" and, importantly, it now expects that most growth spending can be funded from internal cash flows.

"We see Capital as a well-run, growth-focused company operating in a fragmented market which acts as a degree of protection over the company's margins. The company is trading at an EV/EBITDA of ~2.2x for FY23E and ~1.6x for FY24E, compared to a historical industry average of ~3-4x over the last few years," said the analysts."

Nice summary on the respected Richard Holway's Techmarketview web site:

Https://www.techmarketview.com/ukhotviews/archive/2022/07/29/shearwater-grows-double-digits

"Friday 29 July 2022
Shearwater grows double digits

ShearwaterUK HQ’ed cybersecurity provider Shearwater Group plc (AIM: SWG), announced double digit growth for the year ended 31 March 2022, with strong demand for advisory work, penetration testing and managed security services

Revenue was up 13% organically to a Group record of £35.9m (FY21: £31.8m). Adjusted EBITDA was up 19% to £4.4m (FY21: £3.7m) with margin maintained at 12%. Adjusted profit before tax was up 24% to £3.0m (FY21: £2.4m). Shearwater ended the year in a strong financial position with zero debt and a year-end net cash balance of £5.6m.

The Software division saw revenue fall 23% due to the development and release of new product functionality taking slightly longer than expected. The Services division however saw revenue jump 19% yoy, with its Pentest business securing a significant win with a global technology business, supplying vulnerability assessment and penetration testing services. In March 2022, group company Brookcourt Solutions won two significant contracts; the first a three-year endpoint solution contract with a global financial organisation, worth US$4.1m. This was shortly followed by a win with a leading telecommunications and media company for the monitoring of the organisation's new 5G network totalling an initial £12.9m.

Average new customer spend was up 43% yoy with 186 new customer wins in the period (FY21: 155). 20 new clients were introduced to Group companies through cross-selling, up 54% year-on-year and fuelling future revenue opportunities. 64% of the client base has long-standing relationships of more than 3 years.

FY23 Q1 trading is in line with management expectations with good visibility of repeat revenue opportunities and high levels of enquiries. SecurEnvoy (which it acquired in 2017) has been further developing its cloud Identity and Access Management platform and the business expects strong growth in this area. The company also established a Mergers & Acquisitions Committee and continues to search and review potential opportunities with a clear strategic fit."

Progressive Equity Research have also increased their forecasts this morning - they now see 9.4p EPS this year.

They note that:

"Management believes there are long-term growth drivers for LTE’s products and services, and additional synergies such as opportunities to expand production in LTE’s modern facility"

Https://progressive-research.com/research/acquisition-of-lte-scientific-limited/?

SlickMongoose, you can't just ignore the fact that SDI have acquired £1.65m of freehold property as part of this earnings-enhancing acquisition. For example, they could sell and then lease back the property if so desired.