Member Info for sharehead

Well, for starters we now secured a 5 year extension to the army recruitment contract

JG - I know that- his previous posts were laughable

I think we’ll 50p long before 3 years.

50p for me is this year

That puts us back in FTSE 250 - IIs tracking it have to buy in - that takes us to circa 80p

Dividends and share BUY back over next 2 years takes us over £1

That’s my thoughts

Obviously he will say he is invested (even though he clearly posted that he wasn’t) because that plays into his strategy

Nope - he posted that he “used to be invested”

And that’s obvious from his posts

Cheaper buy in wanted

I like AM’s efforts and persistence even though I disagree with the content

So lots of positives from this week and finished up over the week, if not quite over the day.

It also had a start at stretching its legs over 25p

Lots more to come imo

Good weekend everyone

Atb

He’s not actually invested. He posted that. He just wants a cheaper entry, I’d get in now while still can under 25p and then AM can be a bit more cheerful in his posts.

As I said earlier- Capita just had the Army recruitment contract renewed for 5 years

Don’t I know it - I bought a load of shares at £1.48
Then they said the buy back was on hold, so I sold them. Then they announced is was back on, but they were £1.62 before I noticed and couldn’t decide whether to buy back in or if I’d missed the boat.

As I said weeks ago - even ignoring all the positives of the company and of outsourcing generally

Falling out of the FTSE 250 depressed the sp well below fair value - Barclay’s have set their fair value target at 60p

I’ve seen it many times before when forced selling- in this case IIs that track the FTSE 250, depress the sp below fair value. Once this is all done and dusted in virtually all instances the sp recovers back up.

On top of that we have all the good news being generated.

50p to 60p I think is definitely achievable and next year I would hope to be close to or over £1

That’s my thoughts

Our pipeline is 3.9 BILLION as noted in Capita year end report

It’s like you said - multi bag opportunity here v slow burn there - both good companies in their own right

Yes agree - funds bought 33 million shares recently- I guess we know that they think this a great opportunity

Yes both Capita and Serco had a sp of circa £1.65 in Jan 2020.

Capita is behind Serco in that it still had restructuring to do whilst Serco started a share buy back scheme and dividends

However….

Capita have now completed the restructuring, can go debt free or close to debt free next year, are generating free cash flow, could restart a dividend next year, voted in favour of including a facility for a share BUY back scheme in the AGM, has a 93% contract renewals rate, is attracting new customers and the outsourcing market is improving rapidly.

So Serco sp is where is should be BUT Capita can now play catch up back to those levels

So I’d rather be invested here as the potential sp increase back to £1.65 and above is mouthwatering imo

Aim - they just renewed the army recruitment contract for 5 years- MORE good news

The fact we dropped out of the FTSE 250 is why the sp is in the 20’s currently

BUT….. as Serco RNS said outsourcing is fast gaining momentum and as such going back into the FTSE 250 will be a MAJOR sp driver in the future

Atb

It’s been a good day - but more important Serco RNS shows that outsourcing in general is gaining real momentum. For me this is a forever hold - but I see this back over £1 in a few years time and paying dividends. That’s a real prize in today’s difficult market and worth investing and holding for. Atb

Great news

Ok - I actually agree with you - atb

AM your right actually in one bit. I don’t like sitting on a loss. But I will do and have done many times.

Yep off out - atb