Sunday summary

 Practice account
                      investment       shares    bid price (p) value (£)   gain    
Admiral 30  1773.00 c +2.80% 531.90   9%
Breedon Aggregates 729  66.75 c -0.40% 486.61   -1%
Dart 86  551.50 c +1.10% 474.29   -3%
EasyJet 30  1547.00 c +1.40% 464.10   -4%
Fusionex internati… 317  148.00 c +23.30% 469.16   -5%
GO ETF Solns FTSE1… 5  18651.00 c +4.70% 932.55   2%
Xaar 99  477.75 c +1.60% 472.97   -3%
              value £3,831.58 

 

Fusionex International – research

Fusionex International share price (FXI)

I stumbled on this company from the Naked Traders website – he bought 2500 shares a few days a go.
So it might be worth a punt as well – but research needs to be done first…

  1. What’s the company worth (Market Cap)?
    ADVFN quote page – Share price x number of shares
    Looking for £50m to £950m
    £ 73.32m (on the small side but within range)
  2. What are the full year pre-tax profits?
    Full year, preliminary, interim results
    Look to see if the market cap is 15x this at most.
    £28.37 – results from Sept-15 
    However the forecasts for 2016 seem to drop to around £4m??
    Looking into this further there seems to be an issue moving to different channel partners(?) and extending payment periods – impacting cash-flow.
  3. What is the net debt?
    Should not exceed 3x full year pre-tax profits
    Net assets in business
  4. Big spread?
    Anything more than 5% = bad
    4.73% 
  5. Is the share price rising?
    ADVFN yearly charts
    IT’s had a massive fall – due to the trading statement and the market reaction – but it does seem to be on the rise again (maybe a market over reaction?).
  6. Profits rising?
    Full year, preliminary, interim results
    Yes
  7. Dividends rising?
    Full year, preliminary, interim results
    Yes
  8. Is the outlook positive?
    Full year, preliminary, interim results
    Yes
  9. Anything negative happening?
    Cash flow delays
  10. Are markets improving or getting worse?
    Worse
  11. What dividend does it pay and when?
  12. Sector?
    IT Services sector
  13. Next statement due on?
    imminent
  14. Company website good?
    Yes
  15. Any recent director share dealings?
    One director has bough two additional chunks of shares and there was a warning of significant interest in the share.

So the above doesn’t paint a great picture…and to illustrate the fall here’s the last twelve months:-

FXI_chart_image

It’s a big fall from the normal level of support – back to the level it floated at.
Does a good company become bad overnight – certainly NT seems to have seem something in it.

As I’m still learning I’m going to take a position and see if this is an over reaction (I just hope I’m not catching a falling knife).

Peace

G

Trade tracker page

I decided last week that I needed to do a better job of tracking the buys/sells that I was doing. Although my trading career is still in its infancy I was finding it difficult to remember where I bought shares and the thinking behind them. The solution – a simple tracking table linked to the articles where I research – easy!

So my first inclination was just to code this directly into a html table and update it each week – then I go into thinking about the overhead of doing this after 1-2 years.

I needed something slicker that was more spearsheet-esque…and after a very short search I came across a data table generator by Supsystic:-

https://en-gb.wordpress.org/plugins/data-tables-generator-by-supsystic/

The key benefits for me being:-

  • No complicated td tr coding
  • Support for the typical excel-style formulas
  • Easy CSS integration – simple to vary colours and fonts
  • Searching, ordering and pagination functions

After an hour of playing around waiting for Steph & Isaac to get ready for Delyth’s party I had what I needed with all the data…check it out:-

http://www.galiquis.com/index.php/blog/trade-tracker/

Peace

G

Sunday summary

 Practice account
                      investment       shares    bid price (p) value (£)   gain    
          Admiral 30  1674.00 c +1.10% 502.20   3%
          Breedon Aggregates 729  67.25 c +2.70% 490.25   0%
             Dart 86  566.00 c +1.00% 486.76   0%
          EasyJet 30  1639.00 c +0.60% 491.70   2%
             Xaar 99  457.00 c -0.70% 452.43   -7%
              value £2,423.34 

Early days and still finding my feet…plus there seems a lot of nervousness in the market with the slow down in China.

 

Breedon Aggregates Ltd. share price (BREE)

Breedon Aggregates Ltd. share price (BREE)

  1. What’s the company worth (Market Cap)?
    ADVFN quote page – Share price x number of shares
    Looking for £50m to £950m
    £ 720.58
  2. What are the full year pre-tax profits?
    Full year, preliminary, interim results
    Look to see if the market cap is 15x this at most.
    £26.93 – not a great return
  3. What is the net debt?
    Should not exceed 3x full year pre-tax profits
    Net assets in business
  4. Big spread?
    Anything more than 5% = bad
    4.2%
  5. Is the share price rising?
    ADVFN yearly charts
    Over the year yes
  6. Profits rising?
    Full year, preliminary, interim results
    Yes
  7. Dividends rising?
    Full year, preliminary, interim results
    Yes
  8. Is the outlook positive?
    Full year, preliminary, interim results
    Yes
  9. Anything negative happening?
    No – they’ve just won a new contract
  10. Are markets improving or getting worse?
    Worse
  11. What dividend does it pay and when?
  12. Sector?
    Construction & Materials
  13. Next statement due on?
    imminent
  14. Company website good?
    Yes
  15. Any recent director share dealings?

Analysis – DTG DART GROUP PLC ORD 1.25P

DTG – DART GROUP PLC ORD 1.25P

  1. What’s the company worth (Market Cap)?
    ADVFN quote page – Share price x number of shares
    Looking for £50m to £950m
    £830.70m
  2. What are the full year pre-tax profits?
    Full year, preliminary, interim results
    Look to see if the market cap is 15x this at most.
    £76.91m (forecast) – x  10.8 good
  3. What is the net debt?
    Should not exceed 3x full year pre-tax profits
    Net assets in business
  4. Big spread?
    Anything more than 5% = bad
    0.265%
  5. Is the share price rising?
    ADVFN yearly charts
    Over the year yes
  6. Profits rising?
    Full year, preliminary, interim results
    Yes 
  7. Dividends rising?
    Full year, preliminary, interim results
    Yes 
  8. Is the outlook positive?
    Full year, preliminary, interim results
    Yes 
  9. Anything negative happening?
    No
  10. Are markets improving or getting worse?
    Worse
  11. What dividend does it pay and when?
  12. Sector?
    Industrial Transportation
  13. Next statement due on?
    March
  14. Company website good?
    Yes
  15. Any recent director share dealings?
    Director recently increased his holding and gifted shares to his wife.

Shares, bears and shares

The research continues and my one research pick – not doing so well!
But my other ‘heard good things’ seem to be doing well despite the ‘bear’ market…

So what has this taught me?

I’ve not cracked the secrets of good research yet – and I’m not going to just go with my gut instinct (despite the amount of investment I’ve made in it). Although I’ve found the naked trader good – I feel I need a more thorough understanding and different perspective on things.

With this in mind I’ve bought my second share-trading book ‘The Financial Times Guide to Selecting Shares that Perform: 10 ways to beat the stock market (The FT Guides)”

Big title that hopefully has content that lives up to it.

But I do need to get more disciplined in my search for good shares and the research that then goes alongside it. This is especially important as everything seems on a little bit of a downer. Now I’m not intending to try and catch a falling knife – I want to make sure that my ‘picks’ are based on sound investment strategy rather than just being lucky that the market has turned.

XAAR – research

LSE:XAR

  1. What’s the company worth (Market Cap)?
    ADVFN quote page – Share price x number of shares
    Looking for £50m to £950m
    £378.22m
  2. What are the full year pre-tax profits?
    Full year, preliminary, interim results
    Look to see if the market cap is 15x this at most.
    £23m – x16.4 so not a bargin 
  3. What is the net debt?
    Should not exceed 3x full year pre-tax profits
    Net cash in business
  4. Big spread?
    Anything more than 5% = bad
    1.43%
  5. Is the share price rising?
    ADVFN yearly charts
    Over the year yes
  6. Profits rising?
    Full year, preliminary, interim results
    Yes 
  7. Dividends rising?
    Full year, preliminary, interim results
    Yes 
  8. Is the outlook positive?
    Full year, preliminary, interim results
    Yes 
  9. Anything negative happening?
    No
  10. Are markets improving or getting worse?
    Worse
  11. What dividend does it pay and when?
  12. Sector?
    Technology Hardware & Equipment
  13. Next statement due on?
    March
  14. Company website good?
    Yes
  15. Any recent director share dealings?
    CEO recently increased his holding by 4,361 shares (~£2k)

So looks ok, maybe not a bargin but worth a ‘virtual punt’.

 

A few potential buys for this week

As I’m still finding my feet I’ve not really gone massively into researching some ‘buys’ but in my travels I have found a few worth looking at:

  • Xaar
  • Devro
  • Hargreaves Serv

They all had big gains last week and I found them on www.lse.co.uk

Some others that have caught my eye:-

  • Easyjet – positive statement from a debt rating agency
  • Admiral – local news story about expansion

 

Finding shares to invest in

Below is a list of questions that NT suggests asking when evaluating any share – my plan being to use the below as a template for my research…

  1. What’s the company worth (Market Cap)?
    ADVFN quote page – Share price x number of shares
    Looking for £50m to £950m
  2. What are the full year pre-tax profits?
    Full year, preliminary, interim results
    Look to see if the market cap is 15x this at most.
  3. What is the net debt?
    Should not exceed 3x full year pre-tax profits
  4. Big spread?
    Anything more than 5% = bad
  5. Is the share price rising?
    ADVFN yearly charts
  6. Profits rising?
    Full year, preliminary, interim results
    Yes = good; no = bad
  7. Dividends rising?
    Full year, preliminary, interim results
    Yes = good; no = bad
  8. Is the outlook positive?
    Full year, preliminary, interim results
    Yes = good; no = bad
  9. Anything negative happening?
  10. Are markets improving or getting worse?
  11. What dividend does it pay and when?
  12. Sector?
  13. Next statement due on?
  14. Company website good?
  15. Any recent director share dealings?