Member Info for Sm66

500,000 @ 6.8p.

FED dropped the rate 0.25%

USA base rate decision is today

103.495

I foolishly bought a chunk at 113p the day before the drop as I thought the news would be better. However have managed to get my average down to a tad over 103 and feel secure that it will turn a decent profit eventually

Difficult to know if buys or sells, could be a short reducing or adding

Not entirely accurate

PFC are unable to front up the required performance guarantee to enable them to continue commence the contacts they’ve won. Unable to pay down their debt and currently kicking the can down the road on a monthly basis. PFC have had no offers to buy the business (yet) WG looks very different from where I’m sitting.

The concern is that the shorts are building at this low level. Ie: they smell blood. The business is professionally audited so the additional audit casts doubt, 1 II bought in only to sell circa 5% on the announcement of the audit.

The fact Apollo offered 230p and the management rejected it on the grounds it undervalued the company is the overwhelming reason for my personal stake in wood. Leaves me wondering why the shorts are building. The severe drop in November should have been the ideal opportunity for existing short holders to exit with a handsome profit.

They do seem to be loosing the battle for the time being. We shall see

The business is clearly up for sale as they’ve had two recent attempts.

The management rejected the bids as they considered them to undervalue the business at 230p.

The Deloitte review will most likely prove this point so the management can go back to the bidders and invite new higher bids.

The market is fickle and the worst case scenario already more than priced in.

I’d be very nervous if I was shorting

Seen this before, yes they get it wrong sometimes but they’re not exactly holding back. You’d think the SP is already low enough.

Shorts don’t need to increase, they’ve done enough to hold the SP low enough to force the exit from the FTSE 250. If as some have suggested this will force II’s to sell then the drop they’re chasing is on the cards come Tuesday.

Half year report is due in December, no news of contract renewal or not?

Would therefore assume that production is continuing for now.

Very odd scenario

I had thought, without an update from the company that this could drift back towards the 7p range or lower and here we are. I’m still holding a few just incase!

Ice cool

I suspect PI’s have been reducing due to the fact WG will be kicked out of the FTSE250 next week and as a result the SHORTS have been increasing steadily. They’re expecting the SP to drop again, how far? Who knows? But shorts exiting will be a good sign and the most sensible time to start buying

Increased to 1.75% yesterday

The shorts seem increasingly certain of something. I’m long but to see them continuing to increase from this level is concerning.

Sorry to be having a debate about Wood group on a JD chat site

Poker

I hadn’t realized that H1 EBITDA was up 8% and now dropped to 4% however that still doesn’t justify a 60% drop in the SP.

The review has added to the pain, to me it looks like a perfect storm for the shorts manufactured by poor communication by the BOD. What is a concern to me is : why haven’t the shorts exited yet?

Why did Apollo and Sidara offer 230p

Why were those offers deemed to undervalue the business which is currently 54p?

Poker

Below is copied from woods latest Q3 RNS

Group adjusted EBITDA YTD was up 4% with very strong growth in Operations and modest growth in Consulting partly offset by the weakness in Projects. The group's adjusted EBITDA margin was up YTD, with higher margins across both Consulting and Operations.

This market is seriously skewed

Totally overdone drop from an already suppressed SP on a very successful business.

Twice as many bought than sold today and the SP is down 15%.

John wood had a dreadful drop from 120p to 50p on a lacklustre update due to fear of an independent review. Meanwhile as PI’s panicked and sold, today RNS JP Morgan have been buying in large numbers.

This drop is overdone and an II somewhere will have placed a sizeable order.

It may take a few weeks or not JD will recover and some.

IMVHO DYOR

It’s hardly a falling knife

Profit 0.3% lower than 1 year ago

SP 42% lower than a year ago

Looks more like fun and games in the market and an opportunity to make a few $

What am I missing here?

Revenue and profit up 14%

SP down!

What a crazy market

Happy to sit on this for a while now.

Well, hands up, I bought in again yesterday, terrible timing on my part so have doubled down this morning and now am averaging 105.

Market is a pain lately, Mitie announced a 14% increase in revenue and profit and dropped also so I’ve bought in there also.

Roller coaster everywhere