Cello Health Share Discussion Threads

[coopstock] 13/5/2014 09:05

Would have liked an acquisition in the US. How about Pfizer?

[mintitan] 13/5/2014 08:52

Ps Singer reiterates their 122p target this morning. Suggests 25% upside from current levels. At the current price, it trades at less the 9 X PBT to MCAP, pays a dividend and has a strong internationally growing established business! Looking forward to some nice press coverage and even a tip. Plus, theirs a good chance of a bid imo; the business is a lovely bolt on for one of the bigger boys at a steal.

[mintitan] 13/5/2014 08:37

Indeed QS9, rise is share price is certainly warranted. Looks like excellent value here and business is performing very strongly. Also, just noted a buy of £230k! Possibly director?

[qs9] 13/5/2014 07:55

looks great, hopefully broker upgrades on this strong update and decent deal....IMO! let's see. Last TP from brokers i seem to recall was c.£1.20, so we are at a significant discount to that currently. today hopefully will see us march towards a quid...

[mintitan] 13/5/2014 07:25

Superb trading update and acquisition to boot! Both segments of the business performing well and increasing opportunities in the US. New acquisition looks like a great fit and very good value too. Well done CLL!

[mintitan] 08/5/2014 08:16

Indeed marky. Interesting that the share price is now bouncing off the 50 day moving average nicely, in line with the positive uptrend.

[markyjacob123] 07/5/2014 20:33

AGM statement out on 13th May (as per Cello's website).

An AGM statement is essentially a Trading Update. I expect a strong update from management focused on the performance of Consumer/Signal.

[cheeseandbiscuits] 07/5/2014 19:57

Very true! I have some QPP and def prefer here this last week, luckily still up there, but barely. Prefer a quiet board too, usually much more thoughtful!

[mintitan] 07/5/2014 12:17

I have the AGM statement in my diary pencilled in for Tuesday 13 May. Hopefully will provide some lift. Not going up a huge amount, but reassuring its not going down with the market weakness either.

[cheeseandbiscuits] 07/5/2014 10:03

Meh. This share hasn't budged at all since I bought in. Is there anything coming up soon that we know of?

[mintitan] 30/4/2014 09:05

Welcome cheeseandbiscuits and good luck!

[cheeseandbiscuits] 29/4/2014 18:58

Indeed. I paid 89!

[mintitan] 29/4/2014 13:49

Some nice buying today. c90p being paid now.

[mintitan] 25/4/2014 07:38

Nice acquisition announced this morning. Seems like a good fit with some strong new household name clients. Onwards and upwards.

[mintitan] 15/4/2014 11:45

Buys showing up as sells. Chart suggests a nice bounce.

[speed_camera] 07/4/2014 08:59

Written up anywhere over the weekend?

[sagarn] 07/4/2014 08:37

Some very strong buying this morning. Should support the next leg up nicely.

[sagarn] 02/4/2014 16:55

Thanks marky for the heads up! Great to see!

[markyjacob123] 02/4/2014 12:12

Cenkos upgrades Cello group

Strong Delivery: Momentum in 2014

Cello Group has delivered a strong set of prelim results. This is reflected in terms of strong delivery across the whole group – with particularly strong growth in Cello Signal as it benefited from the improved economic outlook, a significant one-off rebranding project, and the full year contribution from Mash Healthcare. We upgrade our forecasts for FY2014 EPS by 2% to 7.4p, and publish new 2015E forecasts. BUY.

Prelims vs. forecasts Revenues grew by 18.2% to £159.7m (2012: £135.1m) benefiting from good momentum in the global healthcare market and a strong return to growth for consumer - directly as a result of the stronger economic health of the UK economy. Gross profit of £74.7m (+14.8%, was well ahead of our forecasts of £69.7m). Headline PBT was £8.5m (+21.4%, beating our estimate of £8.4m. Headline EPS delivered was 7.25p (+13.8%) comfortably ahead of our forecasts of 6.84p. The final dividend for 2013 has been upgraded by 12.4%. The exit momentum exhibited by the group in Q4 2013 continues into '14.

Cello Health 2013 was a strong year, benefiting from this increased activity positively impacting Cello Health's US business and is reflected in the numbers. The Cello Health re-branding exercise has been successfully implemented with new contract wins reflecting increased reach into the industry. The Mash acquisition has been particularly impressive driving sales growth and new business.

Cello Signal (consumer) Cello Signal has had a highly successful year, enjoying a direct benefit from the growth in the UK economy. There has been an upswing in both the number and the quality of the contracts. Excluding a one off major branding contract, the underlying growth in revenues, gross profit and margins were at a double-digit level. The momentum and financial opportunity in Cello Signal is beginning to rival Cello Health and is now no longer dilutive to the group.

Valuation We have used a comparable model to value both Cello Health and Cello Signal using closely related proxy companies. Combining both valuations on a blended PER delivers fair value for Cello Group share price of 143p (based on c.20x 2014E).

Outlook & rating We upgrade our forecasts for 2014E: gross profit £76.6m vs. £72.4m [+6%], Adj. PBT £8.8m vs. £8.6m [+2%] and Adj. EPS 7.4p vs. 7.27p [+2%], and provide new 2015E forecasts for the first time. We reiterate our BUY rating.

[sagarn] 28/3/2014 09:58

Looking good, getting the recognition it deserves. First stop £1. Once it can crack that, £1.20 should be easily achieved.

[qs99] 28/3/2014 09:16

New highs....good yield, debt nearly gone, rising profits....happy days hopefully and move towards the brokers £1.20+ targets,.... Were there any upgrades on latest rns?

[qs99] 27/3/2014 15:30

I do hope so!

[tom111] 27/3/2014 15:14

Looks to be breaking out here

[tom111] 27/3/2014 11:23

Pleased I stuck with it gla