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It’s worth noting that GMS was included by Investor Chronicle in the Jim Slater stock screen for 2025 issued last week. It passed all but one of the selection criteria. No guarantees, of course, but it does suggest that the conditions are there for the stock to grow materially.

It’s worth noting that OTB was included by Investor Chronicle in the Jim Slater stock screen for 2025 issued last week (I think for the second year running). It passed all of the selection criteria. No guarantees, of course, but it does suggest that the conditions are there for the stock to grow materially.

Four separate shorts increased in last 2

Days.

Thanks for sharing your thoughts on the short sellers, Dartron. It’s odd but I see far more long term value in Ashtead Texh than I do in Spire yet it is the latter which is slowly accumulating whilst the former struggles. I agree it’s a long term game and patience is usually rewarded if one invests in sound businesses. All the best.

Dartron - can you elaborate on how you believe the shorters are playing this and dragging the sp down? I understand the idea of a short but am not intimately

Familiar with how their dark arts work in practice. Would value your insight on this. At face value the stock is significantly undervalued, yet these folks are still bringing it lower - how?

I think Simon Thompson is right, Dartron. He’s been a long term supporter of the business and it’s now undervalued.

You knew on reading the first paragraph of the update that they’d get hammered. Any negative sentiment in a trading update at the moment seems to get hammered. Overdone? I’d say so. Consider the progress the business has made and the acquisitions (all accretive) it has made in the last two years. It’s a strong business and now significantly

Undervalued. As other posters have stated, patience is now needed to allow this to recover. If they do move to the MM the market cap currently wouldn’t put them in the ftse 250. They’d be better staying on Aim.

It seems to be a regular occurrence on AIM. Same thing happened with Creightons this week and Synectics last week. I’ve come to dread trading updates as the reaction often seems to contradict all facts.

Dartron - I have indeed seen the video. Smart fellow. He makes a good point re the move to the main market and the points both he and you make are valid. The lowest market cap on the FTSE 250 has a market cap of £356M (Polar Capital Global Fin). Ashtead Tech currently has a market cap of £374m, so a 5% further drop in value would take them out of that FTSE 250 set of firms. I don't doubt that there could be some short term turbulence, but I think the stock will re-rerate after it settles on the main market. It has a strong balance sheet, generates decent amounts of cash, has a 77% gross margin and 25% operating margin. It now has a trailing PE of 10 and trailing PEG of 0.3. For me its a very good business and patience will be rewarded.

Dartron - I have indeed seen the video. Smart fellow. He makes a good point re the move to the main market and the points both he and you make are valid. The lowest market cap on the FTSE 250 has a market cap of £356M (Polar Capital Global Fin). Ashtead Tech currently has a market cap of £374m, so a 5% further drop in value would take them out of that FTSE 250 set of firms. I don't doubt that there could be some short term turbulence, but I think the stock will re-rerate after it settles on the main market. It has a strong balance sheet, generates decent amounts of cash, has a 77% gross margin and 25% operating margin. It now has a trailing PE of 10 and trailing PEG of 0.3. For me its a very good business and patience will be rewarded.

Note the slight reduction in glg short

Position earlier this week.

I agree. We may get a more considered reaction following the presentation of the results. For a considered assessment, Simon Thompson’s update in the Investors Chronicle is worth reading. The results exceeded his expectations when he included these in his bargain shares in Feb this year. He maintains his buy rating (back then he expected the share price to double to approx 60p).

There may well be some logic to that mantra, Auc. I've lost count of the number of stocks in my portfolio that have posted great results this year only to see the sp fall, sometimes badly. Synectics was another good example this week.

I haven't studies the detail of the results but from the headlines these are a very strong set of results to follow on from the outstanding interims earlier in the year. Frustrating and odd to see the negative market reaction. These will re-rate in time.

A week of outstanding results and two new contract wins, one of which is a breakthrough in a target market - and the shares are down! Sometimes AIM can be a very frustrating place in which to invest.

Fairly strong buying again today ahead of results tomorrow. I think they’ll be rewarded with strong results and a company that continues to recover and grow following a more difficult period a couple of years ago.

Heavy selling today. Not obvious why but would appear to be an individual or Institution reducing their position. Odd as I think the residual business following the tender offer is undervalued.

The share price reaction since the results is very odd. To all intents and purposes the interims put the business in a path to exceed expectations by year end. By any measure the interims were outstanding. And yet the sp dropped materially. As ever, patience will be rewarded. This is a good, well run business which should reward long term share holders.

If I recall the recommendation back in Jan it was his stock pick of the year. He thought it could double as there was a) the possibility of a takeover from an Indian business; b) an expectation that they would benefit from the pressure that the nhs were under to cut waiting lists and could pass on some of the additional NI costs through this channel and c) that the property costs on the balance sheet were substantially undervalued and hasn’t been valued for some time. That’s probably an over simplification of the investment case as was then. A and b don’t seem to apply at this time, indeed the stock got hammered at the interims because of additional costs. But I’m very interested in c) the property value and why this is potentially being undervalued. Harwood presumably must see value in the stock by increasing their holding.

Strong buying today with volume already over twice the average daily volume. Results on Wed this week will be interesting. There is potential for a step change in the valuation and outlook for the business if they continue the progress shown at the half year results.