Costain Share Discussion Threads

[rossi67] 21/4/2020 10:14

* Forward order book of £4.2bn, excluding recent wins
* Approx £50m in net cash
* Large available undrawn loan facility

This is a company that was valued at well over £300m less than a year ago. It has not been adversely affected by the virus and yet now has a market cap of only £86m!!

The £100m share issue has already been underwritten by HSBC, Investic & Liberum and the share price is now being manipulated.

If it's issued at below 100p, which is unlikely, then it'll soon double once some of the delayed work commences and the balance sheet improves

[cyberbub] 20/4/2020 09:21

Just looking in here.From their last results the company is short of 'readily available' cash, and seem to be fully committed to a £100M fundraising for strategic reasons (rather than only short term cashflow).Furthermore, EPS collapsed last year from 38p to 13p.Having said, that the reconfirmation of HS2 etc will be a boost for 2021 onwards (but not 2020 they said). Plus they've won a reasonable sized highway job recently.Surely under those conditions, and the wider market turmoil, any equity raising is going to be at well below 100p? Participants will want their pound of flesh. I would think maybe 75p? If so then that would mean a new total of 250m shares in circulation. Even if they get back to their 2018 level of profitability, the 38p EPS would be reduced to 15p, on a p/e of 10 that would be 150p. From 75p that's not bad but not earth shattering IMO.Just my views anyway. Good luck to all - and especially well done to those who bought in the 30s...!I'm keeping an eye out for the fundraising to see what price it will be at.NAI etc

[gooner1886] 17/4/2020 21:17

Good week this week I'm praying for a pull back to buy more lol, under a quid it's a gift

[bob1995] 17/4/2020 15:10

Should smash 150p next week

[pointscorer] 17/4/2020 14:35

Costain on the move through 90p again..

[countdracula55] 17/4/2020 14:35

Costain is the backbone of Britain....a british institute.They built much of Britain's infrastructure including the M4 motorway.Very cheap bargain now hs2 and other projects in the pipeline.

[farrugia] 17/4/2020 09:50

Is Costain eligible for this? 50 million could come in handy

The plan will see the government give an 80% guarantee to banks on the loans. Companies with sales of more than 45 million pounds can apply for as much as 25 million pounds of finance, while those with revenue exceeding 250 million pounds can get up to 50 million pounds.

[npp62] 16/4/2020 18:27

Do you know Shiela?

[costax1654x] 16/4/2020 13:47

https://www.constructionnews.co.uk/contractors/costain/costain-cfo-our-debt-is-too-high-12-03-2020/

[costax1654x] 16/4/2020 13:44

Ammu is new in the game

[imastu pidgitaswell] 16/4/2020 10:54

But not all gaps get filled...

If they come out with more balls-ups and financial hits, it possibly will. But without those, I can't see it happening.

Time will tell - in for a period of consolidation after massive movement, perhaps.

[letmepass] 16/4/2020 10:34

Gap to 50p to fill

[ammu12] 16/4/2020 09:31

I will buy back after the raise.Maybe will have to pay more. This looks like a decent company...

[gooner1886] 16/4/2020 09:14

It dont say , well i cant find it. Its not a definate raise anyway i think if need be they can take one

[ammu12] 16/4/2020 09:13

What price they looking to raise at ?

[gooner1886] 16/4/2020 09:07

If and when they do raise the 100m it wont be at this lowly price

[gooner1886] 16/4/2020 09:05

Had 2/3 big days probably profit taking

[imastu pidgitaswell] 16/4/2020 09:02

All over the shop - may be chart gap related (from early March at 105 or so), may be some options expiry.

Wasn't expecting this sort of volatility and daily percentage change when I bought them, can't make sense of it to honest, and don't have to - just leaving it. Bottom drawer, metaphorically.

[gooner1886] 16/4/2020 08:59

Volatile today

[rachet1] 16/4/2020 08:56

Is the rights issue still going ahead here?

[big brother8] 16/4/2020 08:06

I AM BUYING ALL THE WAY TO 150P TODAY.

BB8