Carclo Share Discussion Threads

[rivaldo] 11/5/2016 15:05

They were two buy trades - one of 330,000 shares and another of 280,151 shares, both at 155p.

It's possible more trades to further clarify will be reported late, but certainly at present they both look like buys.

[9degrees] 11/5/2016 14:26

Or was this a 305k share sale/buy swap?

[rivaldo] 11/5/2016 09:23

Noteworthy large trades - 610,000 shares just bought at 155p.

[rivaldo] 10/5/2016 15:04

Nice - new recent highs now, with buying at 156p.

[michaelfenton] 05/5/2016 10:06

well said rivaldo.

[rivaldo] 05/5/2016 09:47

Patience amoore70! Big gains are only made over the long-term, and imo CAR has the potential to double or treble from here in the next year or three.

Results will be out soon on 7th June, and judging by the trading update will have an extremely strong outlook which should continue to drive the share price.

[amoore70] 04/5/2016 16:08

Hope it helps the share price then as this has been a little disappointing. I thought we would get up to 180p by now.

[rivaldo] 04/5/2016 13:21

Good to see CAR tipped today:



"Lighting it up

Like Trifast, a healthy car market should underpin sterling results at Carclo(LSE: CAR).

The West Yorkshire business provides lighting units for automobiles, and its Wipac division -- which provides product for supercars such as Aston Martin -- is performing particularly strongly at present.

But cars aren't the be-all-and-end-all for Carclo, with the company also providing lighting across a variety of other applications, not to mention plastic products for the medical and electronics industry. And the business has opened new facilities and expanded existing bases across North America, Asia and Europe during the past year to meet future demand.

The number crunchers expect earnings to keep rattling higher at Carclo, the firm is anticipated to enjoy earnings growth of 21% in the periods to March 2017 and 2018. The manufacturer deals on subsequently-cheap P/E ratios of 13 times and 10.8 times for these years."

[yump] 27/4/2016 14:13

Perhaps when it comes to our 'special relationship' with the US, it doesn't extend quite as far as free trade access with new UK technology. Allegedly.

[rivaldo] 27/4/2016 13:47

UNXL have just announced more laptop wins from a "Tier 1 US PC Manufacturer" FYI:



Please don't respond to this with yet another UNXL debate - I'm just posting it for info! Remarkably though, UNXL is approaching a $100m m/cap.

[amoore70] 22/4/2016 12:00

Thanks Rivaldo, really appreciate your updates.

[rivaldo] 22/4/2016 10:35

I've obtained the forecasts to March'18, which currently show 13.7p EPS (with a 3.3p dividend), i.e 21% growth over this year, which itself is 20% up on last year to March'16.

Underlying EPS shows a very impressive progression - 125% growth in 4 years merits a P/E of around 15 or 16 imo as I said above, and maybe more:

to Mar'18 - 13.7p
to Mar'17 - 11.5p
to Mar'16 - 9.5p
to Mar'15 - 7.9p
to Mar'14 - 6.1p

[rivaldo] 18/4/2016 12:05

Breaking upwards now with buying coming in at almost 160p.

The above article notes a further 21% EPS forecast rise next year as well as this year, which would imply around 14p EPS.

A P/E of say 16 would justify a 224p share price. Plus there's CDS in for free.

[rivaldo] 17/4/2016 19:03

Nice tip for CAR just out today:



"Buckle Up! 4 ‘Hidden’ Growth Heroes Too Good To Miss
By Royston Wild | Fool.co.uk – 6 hours ago

Today I'm taking the time to run the rule over four London small caps with what I see as electrifying earnings prospects...

I believe industrial chemicals maker Carclo (LSE: CAR) should also continue to print excellent profits growth as demand from the car sector explodes. The firm's LED Technologies division builds lighting units for use in automobiles, and is rapidly expanding across Asia and the US to harness galloping demand for its products.

And helped by a steady stream of new product rollouts, the Square Mile expects Carclo to follow a 19% earnings explosion in the period to March 2016 with an even better 21% advance in both 2017 and 2018. I believe subsequent earnings multiples of 11.6 times and 9.6 times make Carclo a steal given the company's rocketing momentum."

[boadicea] 15/4/2016 18:24

We have been spared a Friday sell-off which presumably indicates we have mainly had good quality investment buying this week rather than mere traders.

[rivaldo] 15/4/2016 08:53

Cheers Michael.

Here's an extract FYI from Finncap's recent note on CAR - Finncap say Buy and have a 170p target:

"Technical Plastics has benefitted from a stronger H2, with a particularly strong performance from the US business, new business wins and capacity
extensions. The UK has also seen strong demand. The new Chinese plant is
now operational, with a promising forward pipeline. This year, Tucson and
Bangalore will both see capacity expansion.

LED Technologies delivered a good H2 performance, with Wipac super car
lighting performing very well. There has been a high level of new business, with
both new project wins and also with four programmes converted into
production, including the new head and tail lamps for the new Aston Martin
DB11. LED optics has launched a new range of optics clusters and has seen a
strong H2.

Precision Engineering has seen an uptick in the order book over recent
months and traded well in H2.

CDS. Technical progress has been on track. Furthermore, management has
signalled that strategic options for the future of the diagnostics business are
being considered, with progress moving ahead.

Forecasts. No change to forecasts. Debt also remains in line with expectations. The latest triennial Pensions review has concluded satisfactorily, with a broadly similar annual payment as previously.

Valuation. The shares have drifted over the past three months. Our 170p price
target is based on a 2017 P/E valuation of 14.9x, or an EV/EBITDA of 8.7x. The
shares currently trade on a P/E of 14.1x, followed by 11.5x, which we consider
to be decent value, and we therefore continue to rate the shares a Buy."

[michaelfenton] 14/4/2016 07:04

rivaldo - Your research is always sound and your calculations make sense. keep up the good work.

[rivaldo] 14/4/2016 06:58

Plenty to go for here imo.

CAR were, at (say) 130p, trading on a current year P/E of 13.83. With 11.5p EPS forecast this year, an equivalent price target would be 160p. However, as recognition and awareness of CAR's business and track record grows, CAR should be attributed a higher rating.

Finncap's 170p target would be welcome - however, this would still only be a P/E of 14.8.

I would argue that any business which doubles its EPS in 3 years as CAR are forecast to do deserves a P/E of 18-20. Discount this somewhat for the gearing and the pension, and an appropriate P/E might be 16-18, or a 185p-207p share price.

[gleach23] 13/4/2016 16:16

Thanks very much boadicea...of course it makes sense now if I selected CAR:LSE for my Monitor in the first place....doh! It seems as though you have to use the Search facility to add the .GB quotes to the Monitor but it's there now :)

I was more familiar with Trades page although the lists don't display as separate in the HTML5 version for me - ie they are all together although they do have their own sequence numbers.

[boadicea] 13/4/2016 14:50

When one considers that the statement was only 'in-line' with no surprises, albeit with encouraging forward indications, the share price progress is remarkable.
The level of buying is high for CAR but not in absolute terms - i.e. it is an illiquid stock as Rivaldo has said - and MM's were probably starting from a level book. At some stage they will have to 'arrange' for it to boil over so they can get level again.

[boadicea] 13/4/2016 14:28

gleach - You can get the ISDX trades to appear on your monitor by adding the code CAR.GB
They will appear in a separate ISDX section above the LSE codes.

On the trades page, all trades will appear in the same table with a separate series of sequence numbers (starting at 0 for LSE and at 1 for ISDX) on the Java implementation. However, if you use the HTML5 version they appear in separate lists under LSE:CAR and ISDX:CAR.GB respectively.

ISDX trades are not archived.

[gleach23] 13/4/2016 10:40

Healthy buying continues in background on ISDX exchange this morning, helping to keep share price bouyant.

Only total LSE exchange trades appear on the ADVFN Monitor screen.

Edit - Late LSE trades also coming through now which look like buys when considering the trade times.

[rivaldo] 13/4/2016 09:22

Buying coming in at nearly 147p and up 3.75p now (the thread header chart is somewhat out of step).

It's best sometimes to average up when a stock is so obviously on the rise. The same applied at KWS recently.

[illiswilgig] 13/4/2016 08:51

Riv - I hope you are right and the share price continues to rise inexorably in the same way that the profits do!

But CAR has a habit of slipping backwards upon little or no news - in the unlikely case that it does so I shall plan to take advantage,

cheers

[rivaldo] 13/4/2016 08:27

Tipped as a Buy by Questor in the Telegraph this morning - should see more buying as the day goes on:



"Carclo

143p +15.5p

Questor says BUY

Plastics specialist Carclo said it saw a much needed improvement in trading during the second half of the year, sending its shares more than 12pc higher.

The company saw good demand in the US, which led to a stronger second half at its Technical Plastics division.

Carclo’s LED lighting division also performed well in the six months to the end of March.

The headlamps it makes are used in luxury car brands including Bugatti, Lamborghini and Aston Martin. The business continues to win new orders for its lights on a range of supercars, such as the new Aston Martin DB11, which is important as Led lighting contributes about a third of the group’s total revenue and more than half of the profits.

The Precision Engineering reported a better second half, while its Carclo Diagnostics Solutions arm performed in line.

The West Yorkshire-based company designs and manufactures plastics used in medical and electronic devices, and also produces LED lighting.

Manufacturing sites have recently been expanded in Latrobe in the US, and a new facility in Taicang, China, is now fully operational. The company is currently expanding production sites in Bangalore, India and Tucson, Arizona.

Management are confident the business is in line for the year ended March 31, with broker Peel Hunt expecting revenue up 8pc to £116m and pre-tax profits up 20pc to £8.5m giving 9.4p in earnings per share.

The company is also well placed to drive a good set of results in the year ahead. Peel Hunt has forecast another 23pc jump in adjusted pre-tax profits to £10.5m giving 11.6p in earnings per share for the year to March 2017.

Shares in the company look very conservatively rated trading on 14 times earnings for the year to March 2016, and falling to 11 times for the year after that. There is of course a risk of a downturn hitting supercar sales, but this company looks well placed. Buy."