RE: Bought in19 Feb 2021 10:08
last results were Dec 2020 adjusted for 18 month to Sept 2020...Would be reasonableto expect trading update around March , but that is a guess as could be extened to June, however a recent IC article highlighted the potential here and the greater potential as the economy opens up over the next few months :-)
IC bargain share 2021
Middlesbrough-based Ramsdens (RFX: 137p), a diversified financial services group whose main activities encompass foreign-currency exchange, retail jewellery, pawnbroking and a precious metals buying and selling service, was a star of my 2018 Bargain Shares Portfolio. The share price rallied from my 157p entry point to a high of 260p by early January last year, before giving back all those gains, and more, in the 2020 stock market crash.
The fundamental long-term drivers of the business have not changed even if the profitability of certain business division have been impacted by national lockdowns in the short-term. This is exactly the type of recovery play Ben Graham would be looking for to create a decent ‘margin of safety’ as well as offering prospects of a sharp rebound in profits when life returns to ‘normal’. That’s because Ramsdens’s market capitalisation of £42.2m is only 19 per cent higher than NAV of £35.6m even though the group has a debt free balance sheet and holds cash of £15.6m. Current assets of £38m are almost four times current liabilities of £9.8m, highlighting a strong liquid ratio and an ability to pay its bills.