The latest Investing Matters Podcast episode featuring financial educator and author Jared Dillian has been released. Listen here.
"ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. Analysts use this formula to calculate it for Team17 Group:
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
0.23 = UK£27m ÷ (UK£135m - UK£16m) (Based on the trailing twelve months to June 2021).
So, Team17 Group has an ROCE of 23%. In absolute terms that's a great return and it's even better than the Entertainment industry average of 14%..."
https://simplywall.st/stocks/gb/media/aim-tm17/team17-group-shares/news/returns-on-capital-are-a-standout-for-team17-group-lontm17
I love the wallet investor forecasts - fingers crossed!
Confident we'll see a strong bounce with H1 results and, I suspect, news of cashing in on most if not all of the Trustpilot stake as the tie-in expires next week. Other factors: super-official entry to the FTSE 250 starts on Sept 20th and these will be our first results there so the profile will be higher and we can expect more commentary than normal.
and here's some fluff from Simply Wall Street which auto-generates some strange articles but the screener is good and I like how they point out GROW's profit margin, which at 92.6% is extraordinary.
https://simplywall.st/stocks/gb/diversified-financials/lse-grow/draper-esprit-shares/news/heres-why-we-think-draper-esprit-longrow-is-well-worth-watch
"...Group revenue of $50.7m was an increase of 106 per cent, shooting back to pre-pandemic levels. The accesso Passport division, which facilitates virtual sales, was a standout performer by posting a 40 per cent or $6.3m revenue increase on the same period in 2019.
Chief executive Steve Brown said that a combination of high labour costs for business and continuing capacity and social distancing measures helped drive revenue. Accesso’s software allows clients to reduce labour costs (as tasks can be completed virtually) and its operating model is now well placed to serve its clients in an uncertain pandemic environment. He also noted that attendance at client sites, such as amusement parks, is sitting at around 85 - 90 per cent of 2019 levels which indicates further revenue and growth potential..."
"...Broker Numis has an updated Ebitda forecast of $18.6m for 2022. Move to buy. "
https://www.investorschronicle.co.uk/news/2021/09/14/accesso-enjoys-e-commerce-rebound/
Good spot. We can expect positive news on that in tomorrow's H1 results update. Repeating my previous updates...
"Logan Airport officials declined to comment on how the pilot program is going, but Accesso Technology Group, Logan's virtual queuing technology partner, said that in a recent survey of users of the solution, 96% said that the virtual line helped make traveling less stressful."
https://www.travelweekly.com/Travel-News/Airline-News/Airports-test-virtual-queuing-security-checkpoints
According to the Airports Council International (ACI) World Airport Traffic Report, there are currently 17,678 commercial airports in the world, in other words those which receive airliners, cargo and business aircraft.
Draper Esprit plc Announces Appointment of Sarah Gentleman as Non-Executive Director. Good to see this as it was raised as an 'amber' flag on Simply Wall Street previously:
Jul 28
Less than half of directors are independent
Following the recent departure of a director, there are only 3 independent directors on the board.
The company's board is composed of:
3 independent directors.
4 non-independent directors.
Independent Non-Executive Chairman Karen Slatford was the last independent director to join the board, commencing their role in 2016.
The company's minority of independent directors is a risk according to the Simply Wall St Risk Model.
https://www.marketscreener.com/quote/stock/DRAPER-ESPRIT-PLC-28722806/news/Draper-Esprit-plc-Announces-Appointment-of-Sarah-Gentleman-as-Non-Executive-Director-Chair-of-the-R-36383649/
oRuin, it's probably the 38% sp increase in the last 6 months. It's still a 24% increase on their previous target though but brokers targets rarely tend to be bold.
Sage, I feel you're underestimating Draper by 2-3 years for that target but, if I'm right, at least you'll benefit from the early uplift. I thought I would be moving to less risky shares by now but there's no point replicating my pension funds.
They had a change of CEO and that went pretty terribly. The main architect of their success is Steve Brown and he returned to head up accesso just before Covid kicked off. The quieter period during Covid allowed him to regroup, assess what needed to change and focus on the future and that is really paying off now with huge sp gains and a return to 2019 revenue already. Although it's climbed over 50% in the last month I did top up yesterday. H1 results next Tuesday so there should be some presentations and interviews to follow.
My ISA Top 5 in value order: GROW, K3C, ACSO, SEE & TM17.
Draper to buy 13% of spin-off...
"After seven years of quietly building banking experiences, Thought Machine’s creative arm, Cauldron, is being spun off as a standalone financial video game studio.
In what is likely one of UK fintech’s best-kept secrets, Cauldron has been releasing gamified apps including Nestlings and Nestlums, featured by Apple as an ‘App of the Day’, aimed at helping kids learn and manage their money.
Now the studio will be able to dedicate 100 per cent of its time to creating gaming experiences “within the finance industry and beyond”.
https://www.altfi.com/article/8301_hubble-bubble-toil-and-trouble-thought-machines-cauldron-spins-off-to-create-financial-video-games
Any theories on why a Trading update was released just a week before H1 results? That's pretty unusual.
Maybe just to emphasise that good news separately and to focus on other things next week?
IQGeo Group PLC investor presentation for H1 2021 interim results
On the 15th of September at 4:30pm BST IQGeo will hold a live webinar to present our H1 interim results for 2021. This session will be hosted on the Investor Meet Company platform . You can register to attend this briefing using the link below.
Register for IQGeo H1 interim 2021 results presentation:
https://www.investormeetcompany.com/iqgeo-group-plc/register-investor
Features on accesso tend to focus on theme parks but they have developed market-leading queueing/ticketing technology for theatres, museums, sports arenas and airports too.
There's much more to come here and much of it is repeatable revenue as the solutions offered drive client sales...
45% up since I bought less than 3 months ago!
See my previous updates on "Brilliant Steve Brown interview". It's a long video but worth the watch as it convinced me to top up a few times. He's an exceptional leader.
https://youtu.be/1k_6Sbq6sfs