Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Dividend in 2918 equates to 3.75p per share (circa £22-23m). Given the dívi has been cancelled the cash retained more than covers £9m loss in jan/feb. Guidance on 2019 results due on 27th April has been clearly stated at £43m profit.
Isthisawinner. You can also factor in the dividend cut which covers the jan-feb loss to a large extent. You can find hole in future performance And sector outlook of any stock out there at the moment. Whether it’s easyJet or JD sports whose debt piles look unsustainable but they have all bounced to untenable levels IMO. SHI has little debt should they choose to pay down a large chunk and with many leveraged small players going to the wall I think it’s more than likely they can benefit in the medium term. Everyone has there view but when top line revenue is circa £1.8-2bn there are many ways to operationally adapt and improve the bottom line. Market leader in U.K., Ireland and strong German presence makes this massively oversold IMO. I do however take your points on board. You may prefer to await the 27th April results and update prior to buying but the horse may well have bolted by then.
Some serious nonsense being spouted on this board. As we know profit for 2019 is expected based on guidance to be £40m. Top line revenue in 2019 was £2.4bn. Any debt is covered by cash to hand with a further £37.5 m expected if the sale of building solutions is green lighted by CMA. At 10p the market cap would be circa £55-60m. Nice try! Gotta laugh at the clowns posting on here
Here’s hoping boom. The fast money seems to be entering and exiting stocks at some pace in this volatile market for 10-20% but medium term I just don’t want to be out of TXP. Given the Cascadura well ended short by about 2000m I do feel a second well will follow after chinook and I believe this is already fully permitted with all necessary approvals. To my mind if a second well can prove up 150-200 BCF this stock will be completely underpinned by the high flow rates and $600-750m of revenue over the long term. The demand from the industrials on the island seems to be there in spades with Chinook the icing on the cake. These are exciting times! Can’t wait for spud and near term June results.
Whilst the many are gambling on recovery stocks I feel touchstone offer excellent risk Vs reward based on known data to date and will be a growth stock in 2020. If as PB alluded the Cascadura pressure data indicate a resource of 100s of BCF then 50p should be easily hit. However it may take another well to confidently assign the Recoverable resource potential to this structure. If Chinook is also a large gas play then this will be truly transformational and 5 bagger from current SP possible. We all hope the results from the pressure readings and internal modelling of resources helps add more meat to the bone. Feels like a no brainier and a huge stroke of luck to have found commercial gas.
AK talks up his holding and skin in the game but this vehicles pays him over $2m per annum. His performance ? What performance ..:.
Loki I think the frustration here is that we have suffered a lengthy suspension for a supposedly value accretive deal. We now languish at 8p and whilst I accept the Macro environment an update is due as it is clear the ambiguity around payments is eroding the SP. AK doesn’t give a toss about anybody other than the IIs we are all second class citizens as PIs. The seven energy takeover, complexity, timeline and now post acquisition comms have been APPALLING.
I don’t need tweets or name changes. Simple confirmation Via RNS that we are being paid and that the FCF forecasts and projections are holding up. This would suffice! I’m losing my patience with AK and will be glad to exit this when the time is right.
Rédevs. Thank you for being so altruistic and sharing your sage like advice. Let’s get one thing straight , things aren’t perfect. However debt of £150m covered by £135 cash to hand with a further £37m from sales of building solutions under CMA review. When top line revenue is circa £2bn! And you have cash to hand equal to debt it’s easy to turnaround. Name on other company Turing over £2bn with no debt ? Exactly. There are two sides to every argument.
Little debt with £37m disposal of building solutions decision under review by CMA. £40m profit Expected based on guidance in 2019 results with £135m cash to hand. The only way is surely up. I can’t see this weakness lasting much longer as the seller clears. One to hold for the rerate into mid 30s for starters. GLA
On 7 October 2019, SIG plc ("SIG"), a leading supplier of specialist building materials to trade customers across Europe, announced the disposal of Building Solutions (National) Limited ("Building Solutions") to Kingspan Group, a global leader in building envelope solutions based in Ireland (the "Disposal") for a consideration of £37.5m on a cash free, debt free basis. The Disposal was conditional upon the approval of the UK Competition & Markets Authority ("CMA").
SIG notes that the CMA has today announced that it has referred the Disposal for a Phase 2 investigation. Further announcements will be made in due course as appropriate.
Be nice to get an actual formal Update!
Savannah has been a very dependable source of gas supply in Nigeria during the COVID-19 crisis. We have stepped up production to help ensure a reliable supply of gas is available for power generation during the country’s lockdown. #SAVP #COVID19 #EmployeeWelfare
If that’s the case you can be open and inform shareholders who I believe are seasoned enough to understand and also concede that when you invest in Africa delayed payment is always a possibility. Add in the current coronavirus battle in Nigeria and most would understand. GENL and GKP manage to handle comms with regards to payment delays and don’t hide material info. The IR team at SAVP need to grow up as does the BOD communication strategy.
Great synopsis LC. I still wonder if they had kept to plan and delivered the Niger drill campaign and resource numbers from the successful drill how we would have performed. To some extent we have all LTH have been robbed By the switch play over to the strategic accugas play. I’ve no idea how this will play out but based on annual salary AK is underperforming and a lightweight at anything other than raising money.
Agreed NtoM. I am not a naive investor and accept investment decisions are my own. However we have all been through an extremely lengthy suspension period and waited an age for the complex Seven deal to close. Surely management should understand this and believe the current COVID pandemic and macro environment warrants an update of the asset acquired and that PAYMENTS are being RECEIVED, with the additional context of whether guarantees are being Invoked. Perhaps AK prefers to update ii’s but is not bothered with the average PI. It’s shocking.
I’ve also been averaging down. I think the long term outlook could be very positive. However management need to communicate with shareholders.