Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Another significant piece of news and again no RNS. Carol Roberts has been appointed Head of Asset as per the 1pm twitter account. A quick search suggests that this is a significant addition to the team. People of such calibre are unlikely to leave their established positions unless they see something exciting here and when they move they would bring their experience but might also bring business from their extensive contacts. And the company would not appoint such senior people unless it is confident of future growth prospects. The timing is also interesting, just weeks before Brexit! Just don't understand why the board is not interested in sharing such important development more widely. Anyway, further reinforces my view that for someone willing to be patient this share will come good in the end. GLA DYOR
http://leasingfoundation.org/carol-roberts-ceo-of-the-year/
Meg, many of us on this board have known your views about this share for some time. Whilst I can't answer the question I asked in my previous post about director buys, but my analysis still tells me that this is a strong buy at current price.
I am genuinely interested to know whether your opinion is based on a gut feeling or on some data analysis. I am sure lot of people here would be keen to know if our analysis is wrong and whether we are missing something here. Do you feel this is fair value or whether this is actually overvalued. If this is overvalued at the current price and at a P/E of around 6, with a plan to grow dividends by 30% over the next 2-3 years, we must be missing something big here. Would be grateful if you could share the analysis on the basis of which you hold your opinion. Thanks WWW
I have long wondered as to why the 2 main execs, the CEO and CFO, have not bought any OPM shares. Clearly they still do not feel the share price is undervalued. In the last round of director buys neither participated. How low does this need to go before they get interested! Just a thought
Thanks, again.
Who has tipped this and where? Thanks
ST tip in IC. A glowing buy tip once again, hence all the excitement today!
Hope the ride ahead with your 'worthless shares' brings you joy, BB! Regarding tips - nothing specific. Holding some cash as the weeks and months ahead wil be volatile and opportunities will arise. Did buy BUR, AV. and VOD during the recent dip. Good luck. WWW
https://bridgingandcommercial.co.uk/article-desc-14209_
https://www.assetfinanceinternational.com/index.php/technology/technology-archive/technology-articles/17633-finance-group-1pm-plans-business-expansion-following-fintech-partnership-with-quotevine
Since the board doesn't really talk much via RNS, and in my view some of these developments could easily have been separate confidence-building RNS's, I have been trying to find out what is ACTUALLY going on here!. All the links I have posted are very recent news articles, all since the full year results announced in September.
Overall, I must say I like what I see. One can see a strategy being developed and steadily implemented here - To become multi-modal they have completed acquisitions into different sectors, to improve productivity/reduce costs they are enhancing digitisation, for a bespoke approach they intend to keep the human element in the mix and not go completely digital and to reduce risks they are both - lenders and brokers.
As such the new 1pm is still in it's infancy and hence putting all these building blocks in place will cost money and the figures in the near term may not be very sexy but, in my opinion, for someone willing to be patient, this will be hugely rewarding once the platform has been assembled. It should then grow very strongly or become a very attractive takeover target. At current measly valuation, in my opinion, this remains a strong buy. DYOR
https://www.rugbyleaguecares.org/partnerships/business-club/academy-leasing/
https://www.carpigiani.co.uk/ice-cream-news-december-2018/
http://positivecash.co.uk/funding-boost-for-nottingham-commercial-printers/
http://positivecash.co.uk/soffles-secures-funds/
Some recent deals at 1pm subsidiaries.
Also, seems to be some major changes in the institutional investors - the top 3 are now different from the past and hold much bigger stakes so all the big buying and selling seems to be between several parties and not just selling by one retiring director. Some interesting developments for everyone to ponder! Good luck for next week
I am long term share holder and have been following this company for nearly 10 years!
We all feel that this is undervalued. Just for a bit of fun let's see what everyone thinks about the valuation by the end of the year!
Let's start with what we know - 'Basic EPS expected to increase by more than 20%' as per the last TU. That brings the EPS to 7.3 at least. There might be some further dilution as shares are issued to directors as part of various incentive plans but hopefully this will not affect the EPS by a significant factor. Hence using EPS as 7.3, look at the figures below.
Share Price P/E Upside from the current share price
60 8.2 15%
65 8.9 25%
70 9.6 35%
75 10.3 44%
80 11 54%
85 11.6 63%
90 12.3 73%
Amazing that a nearly 70% upside in the share price still brings the P/E multiple up to 12, a very conservative P/E for a fast growing company, in my opinion. Not aware of any other share out there with similar multiples, if someone knows then please let me know!
For this game, as this runs on low multiples usually, I will go for a P/E around 10 by the year end i.e. share price around 75!
Guys, pick your numbers and start dreaming!!
WWW
The award winning tipster has tipped our share - let's hope she is right! http://www.thisismoney.co.uk/money/news/article-5513379/Joanne-Hart-tops-tipsters-again.html http://www.thisismoney.co.uk/money/investing/article-4913274/MIDAS-SHARE-TIPS-banks-retreat-s-good-news-1pm.html
IMO, a great time for the company to buy back some shares. Significantly undervalued and we have a healthy balance available to lend so some of the profits could be used for this purpose instead. No need to complain about how the market is unfairly treating this share, just be aggressive and take matters in our own hands. WWW
The maximum lending limit has been increased to £75k. Also, 1pm is hiring again. Check out the twitter page, some interesting tweets. And today's announcement of £10 million fundraising. Something is stirring here....GLA
http://www.sharesmagazine.co.uk/events/event/GIF2017/seminars
https://www.fundingoptions.com/business-lenders/ Some more interesting information!
"British companies absorb Brexit shock, get on with business for 2017" - http://uk.reuters.com/article/idUKKBN147068 https://www.businesscarmanager.co.uk/academy-leasing-solutions-source-vehicles-much/ Some weekend reading. Cautiously optimistic that the growth story is intact here. Ideal conditions for us to prosper, in my opinion. Should know this week hopefully!
So, what can be done to break out of the Catch-22? I think it comes down to not only maintaining the growth story but also additional confidence boosting measures. A few thoughts – 1) Communication policy - there could be several reasons why the share price has not moved but I think the way the BOD have communicated with the market in the last couple of years may have contributed to some extent. The OPM share price hit the highest level in June 2014. If you look at the company’s RNS history, prior to mid-2014, we used to get frequent updates when additional funds were raised. Between Jan 2013 and Jun 2014, there were 9 RNS’s talking about increased funding lines. During this time the share price (adjusted for post-consolidation) went from about 18p to 84p. Between July 2014 and now, even though the company has continued to raise significant amount of funding, and at lower interest rates than before; the number of funding related RNS’s has been 0! In that period the share price has stalled. This might simply be a coincidence but I find it quite striking. In the last couple of years, the main communication with the market has been the 6 monthly results updates (and to some extent the Pre-Close trading updates) but not much in the intervening periods. So, the investors have no idea for almost 6 months as to what the company is doing. I am excluding the acquisition related RNS’s as these were one-off events. The funding related RNS’s of the past served 4 purposes – 1) to let the market know that there is demand for loans i.e. the loan portfolio is increasing. 2) the company can raise funds i.e. lenders have confidence in the company. 3) Each RNS made it more likely that the company gets on the radar of new investors – private and institutional. 4) As the RNS’s were provided between the 6 monthly results updates, they informed the investors that progress was continuously being made in growing the company. Even now, for example, if a funding line of £5 million is agreed, in my opinion, it is still worth an RNS because at the current market cap it still represents almost 1/7th of the company. The BOD need to be commended for achieving what they already have but having achieved great results, I think it might be worth looking again at the communication policy. Drip feeding even small but material updates at regular intervals may get the share price moving. 2) Director Buys – If ALL directors (not just RR) purchased shares on the open market then that would be an immediate confidence booster. 3) Somewhat controversial but if the BOD feel that the share price is grossly undervalued, and if they have available funds, then they could buy back shares. 4) Introduce Interim dividend as well. Just my own thoughts. DYOR
Just like everyone else, including our CEO, I am also wondering - why the share price has not moved in the last 3 years or so even though the company has been ‘transformed’. When I ask myself, who might invest in OPM at present – 1) Day trader – with little share price movement, this would be a useless share 2) Someone with a short time horizon – not much help either as in the past almost 3 years, the share price has hardly moved 3) Someone investing for dividend yield – 0.75% yield is not very attractive 4) Institutional Investors - dividend yield is unattractive and uncertain prospects regarding share price appreciation given the last 3 years’ history. Also, many funds have certain minimum market-cap cut-off before they will get involved. So many II’s will not invest until the market cap hits say £50 million or even higher. 5) That leaves some, mostly private investors probably, who have known the company for a long time, have faith in the BOD and have a very looong time horizon – and there won’t be many of those around. This group on its own is unlikely to have a serious impact on the share price. But, I think, that small bunch of investors are probably going to be rewarded if they are patient. The company will either keep growing and keep increasing dividends or it will get taken over. It did very well following the recession of 2008-09 and hence there is a good chance that the Brexit related slowdown may actually help the company as other lenders restrict loans to SME’s. The key are the II’s and I think at present we are stuck in a Catch-22 situation. II’s will not invest until the market cap goes up and if II’s don’t invest then the share price (market-cap) will not go up. I think the BOD are aware of this. Ian mentioned in one of the presentations that at some point RR might sell some of his holding to get more II’s on board. But I guess RR will not sell down his holding until the share price reaches a reasonable valuation. With the current P/E of 11.5 this is hardly the case. The average P/E of FTSE 100 i.e. blue chip slow growth companies, is around 14. For a fast-growing company, such as OPM, a modest P/E, in my opinion, could easily be approaching 18-20 which takes the share price to about 95-100p! Possible solutions in the next post....