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Peel Hunt today reiterate their 25p target and say Buy:
Https://investing.thisismoney.co.uk/broker-views/

Wednesday's results should reflect the "strong" H1 performance as per the AGM statement.

Current forecasts are:

this year: 1.85p EPS, 0.71p dividend
next year: 2.01p EPS, 0.8p dividend

At 16.25p that's a forward P/E of 8.1 and a 4.9% divi yield.

Nice :o))

H1 results are out next week on 4th September, and we know that they were "strong" and nicely in line, with good visibility for H2. This stock seems highly undervalued to me, and the downtrend appears to have been well and truly reversed.

Encouraging to see INSE advising businesses on implementation of EV infrastructure, the benefits and challenges of EVs etc:

Https://inspiredenergy.co.uk/could-electric-vehicles-future-proof-your-energy-strategy/

CAPD are getting busy again with another investment which will secure more drilling contracts and hopefully be just as successful as their other recent investments!

Https://www.miningnews.net/capital-markets/news/1370511/capital-watch-gateway-saturn-and-more

"Tanga Resources has received commitments to raise $1.8 million, with London-listed Capital Drilling to become a cornerstone shareholder with about 14%.

The funds raised at 0.3c per share will be used to advance the Hagenhof copper project in Namibia."

Interesting new article and interview with the CEO:

Https://www.proactiveinvestors.co.uk/companies/news/901635/ideagen-thrives-as-businesses-search-for-quality-and-consistency-901635.html

News of further global expansion:

Https://www.irishtimes.com/business/technology/keywords-studios-to-expand-operations-in-poland-and-mexico-1.4001056

"Keywords Studios to expand operations in Poland and Mexico

Irish-headquartered video gaming firm already has operations in Montreal and Manila

AIM-listed Keywords Studios is to expand its operations in Poland and Mexico, growing its ability to provide player support and testing services.

The Irish-headquartered video gaming company has a Polish support studio, located in Katowice, which it opened last year. Its expansion is aimed at serving Keywords’ European clients’ needs, with room to cater for 290 seats and the capacity to add a further 160.

Keywords’ Mexico City facility has also seen new investment that provides an additional 150 seats at its audio and localisation services operation, and allows the facility to provide player support and functionality services aimed primarily at North America.

“It’s incredibly valuable to be able to leverage established presences from the group to deploy our solutions in new territories,” says Frédéric Arens, service line director for player support, Keywords Studios.

“Mexico is a perfect nearshore solution for our US customers, complementing very well our existing presences in Montreal and Redmond to provide English and Spanish player support services in a very accessible way, yet still consistent with what we offer in Manila and in Poland.”

Octopus Investments have been buying, and are now at 4% with 2.96m shares:

Https://www.investegate.co.uk/imimobile-plc--imo-/rns/holding-s--in-company/201908281725024699K/

Https://citywire.co.uk/funds-insider/news/the-expert-view-bp-diploma-and-chesnara/a1262887

"IG Design a ‘multi-year winner’, says Berenberg

Berenberg analyst Owen Shirley believes greeting cards business IG Design Group (IGR) is a ‘multi-year winner’ thanks to its consolidation of the global gifting market.

He maintains a ‘buy’ recommendation on the stock and a target price of 680p. The shares were trading at 591p yesterday.

A trading update from IG revealed progress across a number of its strategic priorities.

‘Most notably, the company is scaling the US gifting business, capturing the UK paper bag opportunity and continuing to improve its balance sheet strength, which should provide further firepower for accretive mergers and acquisitions,’ said Shirley.

The takeover of Impact Innovations in August 2018 has helped with plans for scaling up its US business, along with an ultra high-speed printing press which is being installed in Memphis in November. IG also agreed a distribution deal with one of the US’s largest retailers for its 1,500 stores nationwide.

In the UK, it invested in its first paper bag manufacturing line at a factory in South Wales. Its ‘printing and design expertise combined with its operational capabilities, have helped it to gain significant traction in a market that remains relatively nascent, following the ban on free plastic bags in the UK in late 2015’ said Shirley.

Demand has been so significant that a second manufacturing line is to launch in the second half of the year and consideration for further investment is already underway."

Https://masterinvestor.co.uk/equities/small-cap-round-up-featuring-eddie-stobart-logistics-renold-and-equals/?utm_source=Daily+Bulletin&utm_campaign=09a0fe1e8c-Daily_Bulletin_20190823&utm_medium=email&utm_term=0_25eff0bb7f-09a0fe1e8c-34898813

"HML Holdings (LON:HMLH)

This property management group’s report & accounts have just been published. Its AGM is to be held in Croydon on Tuesday 17 September.

The shares, which peaked at 36.5p in May, were profiled by me in mid-February at 32p, with a 50p target price.

The end-March 2019 results showed a profits advance from £1.46m to £1.69m, with earnings coming out at 4.6p and a dividend of 0.47p per share.

This current year estimates are suggesting that a revenue rise from £28m to £30.5m could help to push pre-tax profits up to around the £2.5m level. That would put the shares at 33.5p out on a mere 7 times current year earnings – that is cheap, so my target price remains unchanged."

Nice mention in MWM's small cap round-up:

Https://masterinvestor.co.uk/equities/small-cap-round-up-featuring-eddie-stobart-logistics-renold-and-equals/?utm_source=Daily+Bulletin&utm_campaign=09a0fe1e8c-Daily_Bulletin_20190823&utm_medium=email&utm_term=0_25eff0bb7f-09a0fe1e8c-34898813

"Capital Drilling (LON:CAPD)

This drilling company, focussed upon the African markets, showed another strong performance in the first half of the current year.

It reported an improved fleet utilisation at 52% against 46% previously, on an average number of drill rigs at 91, down just three rigs from previous results.

The company is still spending on its capex, up from $5.4m to $6.4m, and that is against a much greater cash generation in the first half at $10.5m, up from $7.2m.

Revenue was steady at $54.8m ($54.5m); however, the net profit after tax was almost doubled at $5.1m against $2.8m.

Earnings improved 87% to 3.7c per share, with the interim dividend up to 1.5c per share.

That was a very decent set of results, especially considering the increased spending as it wins new contracts to come into action in this second half, in Burkino Faso, Mali and Cote d’Ivoire.

This really is a cracking little company with masses of upside potential and tightly controlled financially.

Its shares are trading at around the 58p level, well up on my late July 48p feature price. I strongly maintain my 76p target price."

News of some heavy duty emergency work which should provide a nice boost just before the year end:

Https://www.amcogiffen.co.uk/news/the-west-highland-line-re-opens-ahead-of-schedule

"The West Highland Line re-opens ahead of Schedule
27/08/2019

Hard to believe in light of the glorious weather we have enjoyed over the Bank Holiday weekend that a week has passed since the AmcoGiffen team in Scotland was battling with the elements to complete an emergency works programme to re-open the West Highland Line, days ahead of schedule, following recent flood damage at locations around Crianlarich.

Quickly mobilising, our team has worked round the clock at five locations to repair damaged rail infrastructure – clearing debris, devegetation, reconstructing embankments, enhancing drainage and rebuilding the track-bed. Critical to this successful outcome has been our fantastic supply chain.

Facing very challenging conditions, we worked safely and collaboratively with Network Rail to deliver this early completion – an achievement recognised by Alex Hynes, Managing Director of Scotland’s Railway who commented: “I am delighted that we are opening the West Highland Line earlier than first anticipated. Our engineers worked around-the-clock often in challenging weather to rebuild the line and get it open as quickly as possible for our customers.”

Further recognition came from Michael Matheson, The Scottish Government’s Cabinet Secretary for Transport, Infrastructure and Connectivity:

“The Network Rail team have been working on site just south of Crianlarich 24-hours-a-day in order to get the West Highland Mainline repaired and have had to bring in 3000 tonnes of aggregate in what is a very difficult site to get access to.

etc"

Yet another excellent trading update - can't ask for more:

Https://uk.advfn.com/stock-market/london/ig-design-IGR/share-news/IG-Design-Group-PLC-Trading-Update/80614476

Crucially, Xmas supplu must have gone/be going extremely well to enable the CEO to say

"The momentum throughout the business continues apace alongside good forward visibility of our order book going into the remainder of the year".

And all of this bodes very well too:

"including the success of combined teams within the US recently reaching agreement with one of the US's largest retailers for the supply of all year round themed and seasonal 'Impulse' gifting products, to over 1500 stores nationwide. This new agreement is expected to generate significant incremental revenues in FY21 and beyond. Further growth opportunities within the Food and Drug retail channel have also been secured, reflecting focus on great value 'Impulse' gifting products.

In the UK, the Company has secured a number of new character licenses across the Gift Packaging categories which represent excellent additions to the broad existing portfolio. The Directors are also greatly encouraged with the enthusiastic response to FY20 key licensed product launches, including Frozen 2 and Toy Story 4."

Today's Technology Market update just out from Allenby includes this:

"MTI Wireless Edge Ltd* (MWE.L, 22.2p/£19.4m)
Interims: Diversified growth and positive outlook (21.08.19)
Allenby Capital comment:

Interim results from communications and radio frequency solutions, were in line with expectation and demonstrate the value of the company’s diversified strategy
and the benefit of 2018’s merger with MTI Computers Software and Services (1982).

Group revenue increased 12% to $19.1m and operating profit by 41% to $1.5m. Within this, there was particularly strong growth in the Distribution & Professional Consulting Services division.

Cash flow from operations increased 22% to $2.6m and H1 cash was $5.7m, supporting the progressive dividend policy. Management reports a positive outlook across all three divisions and we make no change to forecasts.

Given sterling’s weakness, the shares are now yielding an attractive 7.5% in FY19 and 9.3% in FY20 and trading on an EV/EBITDA of 4.2x in FY19 and 3.6x FY20. Our fair value of 38p/share represents a prospective PER of 13.3x in FY19 and 11.6x in FY20 and a 72% upside to the current price."

Good to see (1) the 3CInteractive Corp acquisition completing satisfactorily:

Https://uk.advfn.com/stock-market/london/imimobile-IMO/share-news/IMImobile-PLC-Completion-of-Acquisition-of-3CInter/80605854

and (2) the AGM is coming soon, on 25th September - IMO don't usually issue a trading update at the AGM, but perhaps this might change as they grow.

Good to see the OEM5 contract complete without a hitch:

Https://uk.advfn.com/stock-market/london/surface-transforms-SCE/share-news/Surface-Transforms-PLC-Contract-Agreement-with-Ger/80605847

It's also encouraging to see the agreements being extended to 31 December 2029 - the length of the agreement perhaps reflects the OEMs confidence in SCE, and also the likelihood of winning further business as per the CEO's comments.

Two new interviews with the CEO! Good to hear that typically H2 is stronger than H1, so CAPD really are on track to at minimum meet and potentially strongly beat expectations.
Firstly:
Https://www.proactiveinvestors.co.uk/companies/news/901320/recent-strength-in-gold-price-gives-capital-drilling-a-boost-901320.html
And secondly:
Http://bit.ly/2NqpUNR
Finally, this news was out yesterday re Altus Strategies PLC in Mali re the signing of a Joint Venture Term Sheet on Lakanfla & Tabakorole gold projects - CAPD have been appointed to drill Stages 1 and 2.

Altus weren't mentioned in yesterday's RNS, so hopefully this is another additional contract win:

Https://www.juniorminingnetwork.com/junior-miner-news/press-releases/2331-tsx-venture/alts/66188-altus-strategies-plc-joint-venture-term-sheet-signed-on-lakanfla-tabakorole-gold-projects-in-mali-2.html

Good to see CAPD featured in the Times' market report today - from memory Peel Hunt have a 75p target compared to Tamesis Partners' 91p valuation:

Https://www.thetimes.co.uk/edition/business/ferrexpo-left-in-a-heap-on-bad-day-for-miners-2vxj6qrwm

"With seven new west African contracts under way or due to start before the end of the year, the miner Capital Drilling’s decision to move rigs to the area is being vindicated, analysts at Peel Hunt said.

They advised dealers to buy the stock, adding that the company was helped by the strong gold price, which has been boosted by macroeconomic uncertainty as it is considered a safe haven for investors. The shares added 1½p, or 2.7 per cent, to 57p."

The huge recurring income and strong cash flows and Balance Sheet provide big reassurance in current markets. And hopefully IOM will be making more acquisitions soon.

Tamesis Partners have issued a new note - they have a 91p valuation.

They see 7c EPS this year, rising to 8c EPS next year, with a 3.2% dividend yield.

With 3.7c EPS in H1 alone, it would seem that this year's forecast has a very good chance of being beaten.

They conclude:

"Price target maintained at 91p/share

Even with strong recent share price performance, Capital Drilling continues to look
undervalued. The company is underwritten by core long-term contracts, a balance sheet that has never looked better, a proven record of growing the dividend, and continued opportunities to grow the contract base with new wins in West Africa.

We forecast full year 2019 free cash flow of US$8.7 million (pre-investments) which implies a 9.6% FCF yield at the current share price.

We estimate that Capital Drilling is trading on 3.0x 2019E EV/EBITDA and 9.1x 2019E P/E multiples.

We value Capital Drilling at 91p/share, representing 5x forecast 2019 EV/EBITDA of
US$26.8 million and a 1.6x multiple on the current share price."

Allenby have issued a new note. They have a 38p target price, compared to the current 23p. The EPS forecasts show just how cheap this stock is now at 23p:
this year : 2.85p EPS
next year : 3.27p EPS

The implied dividend is 1.67p this year rising to 2.07p next year, giving a yield at 23p of 7.2% rising to 9% next year.

The cash pile is forecast at $5.2m at Dec'19, rising to $5.9m next year, i.e almost a quarter of the £20m m/cap.

The full Allenby note is free to view here:

Http://www.allenbycapital.com/research.html