Company evaluation

Conviviality PLC (CVR) – Research

Conviviality PLC (CVR)

Source of tip

This came via the Motly Fool share tips – courtesy of a cool little site that ranks share tipsters – I’ll be doing a follow up post on that soon.

Research

What’s the company worth (Market Cap)?

Share price x number of shares.
Looking for £50m to £950m.

471.30M

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.

Full year pre-tax profits (01/05/2016) – £8.93M
Interim pre-tax profits (30/10/2016) – £7.43M

However the ratio isn’t great – potentially over priced

What is the net debt?

Should not exceed 3x full year pre-tax profits

Total Equity in business (01/05/2016) – £182.83M

Big spread?

Anything more than 5% = bad
2.7% 

Price rising?

Yes

Profits rising?

Full year, preliminary, interim results
Yes

Dividends rising?

01/11/2015 – 6.3p
30/10/2016 – 7.4p

Yes

Is the outlook positive?

Full year, preliminary, interim results
Yes

Anything negative happening?

Nothing from google searches

Are markets improving or getting worse?

Improving

What sector is it part of – any concerns in the press?

Wholesale and retail supply of beers, wines, spirits, tobacco, grocery and confectionery

Next statement due on?

imminent

Company website good?

Yes

Any recent director share dealings?

No

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

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.

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’.