Conduit Share Discussion Threads

[rivaldo] 05/8/2015 07:28

Cheers gb, from what I've seen you do pretty well overall!

The most recent forecasts are from N+1 Singer. They are:

- this year : 14p EPS, 4.7p dividend
- next year : 15.3p EPS, 5p dividend

That's a forward P/E of only 10.1 and a PEG of 1.19, which is still pretty decent. It's possible those forward forecasts will be lifted assuming the recent acquisitions are successful and the economy remains stable.

The divi yield remains good at above 3% - and remember that CRE is a big cash generator, so even after this year's acquisitions CRE should be in sizeable net cash by the year end.

[gargleblaster] 05/8/2015 00:12

Admit I got this wrong riv, sold out too soon, and you have been spot on! PE low but fwd PEG (1.4) now a bit rich for my blood, but still looks solid imv.

[rivaldo] 04/8/2015 13:33

Nice positive intra-day turnaround, perhaps reflecting continuing underlying demand.

[rivaldo] 03/8/2015 12:21

More new highs.

[rivaldo] 31/7/2015 08:09

Not a bad start. Buying coming in at 153p now.

[rivaldo] 30/7/2015 11:40

I see there's a bid for Chime this morning. It values Chime at a current year P/E of 16.

That would value CRE at around 225p per share given forecast 14p EPS this year.

[rivaldo] 26/7/2015 22:55

Cheers nehpets81, appreciated. It's encouraging to see others seeing what I've also been seeing!

The new CRE leadership appear to me to be really dynamic, and have stepped up to the plate after DE's reign. The amount of deals/partnerships struck in the last few months has been transformational compared to the previous regime.

I also particularly like the new "Unlimited" branding - simple, yet incredibly effective. I can't believe no-one's used it before (or perhaps they have?)!

If trading continues to be good there could be excellent upside to perhaps 190p-200p in a relatively short period of time imho.

[paulypilot] 26/7/2015 01:42

I agree CRE looks good value, and performing well.

TMMG also looks good value, in my opinion - I picked up a few recently at 40p, but it's risen since then, still cheap though.

DYOR as usual, just my personal opinions.

Regards, Paul.

[nehpets81] 25/7/2015 13:52

Thanks for all the updates Rivaldo, not many replies but I am certainly reading what you are writing.

For what its worth, it really seems to me that the relatively new board and new focus is paying off here, and I think the shares still look good value even after the recent rise.

[rivaldo] 23/7/2015 14:42

The Artemis UK Smaller Companies Fund in its July report just out says this rather encouragingly:



"Meanwhile marketing agency Creston has shown a welcome return to growth for the first time in four years. The new 'Creston Unlimited' strategy of combining offices and bringing down internal barriers within the business is showing (tentative) signs of working. The shares stand on a discount rating though the company has no debt and strong cashflow from blue-chip customers. If the strategy is successful, we expect a re-rating of the shares as well as greater organic growth."

[rivaldo] 23/7/2015 08:04

Good to see a keen pre-open buy at 145p today.

[rivaldo] 22/7/2015 15:41

...and new highs now.

[rivaldo] 22/7/2015 09:57

Moving up ahead of the above update.

[rivaldo] 17/7/2015 07:25

Last year's Q1 IMS was issued on July 31st - so hopefully we'll get an update in the next couple of weeks.

Current consensus is 14.02p EPS and a 4.66p dividend this year.

That's a P/E of just 9.9, with a 3.4% dividend yield.

We could see 30%-50% upside from here imo assuming the positivity of the prelims has continued.

[rivaldo] 13/7/2015 12:36

Good stuff here, with CRE funding a new invention by one of their staff to help with dementia - I assume CRE get a stake in return for their help and funding:



Extract:

"Tim Bonnet, the chairman of Creston Communications and Insight, said: "We’re just at the start of the journey with Creston Unlimited, and it is developing at pace. While we continue to evolve and expand our capabilities internationally, the future is becoming more exciting by the day"

[rivaldo] 06/7/2015 12:37

New highs now.

[rivaldo] 03/7/2015 11:30

N+1 Singer say Buy today and now have a 171p target price:

[rivaldo] 02/7/2015 07:57

Good to see a pre-open buy at 143p (the full offer price) already today.

[rivaldo] 01/7/2015 12:44

Last year's Q1 trading statement was on 31st July, so not too long to go.

Nice mention in the FT, cheers craigwebster.

[craigwebster] 28/6/2015 17:52

Creston mentioned as a good value small cap in IC highlights in the FT this weekend:

[rivaldo] 26/6/2015 16:16

A 7k buy just reported at 143.14p, above the published 143p offer price, with a similar earlier 10k buy at the same price. Encouraging.

[hisnameisollie] 24/6/2015 22:15

rivaldo - I agree. Good solid fundamentals at a cheap price. I think what I was getting at is that there are probably some residual feelings in the market as a whole given the chequered history of the company that might affect the p/e. Thanks for helping me clarify in my head.

One of the aspects I especially like is the way creston have acquired partial shares of companies, leaving the original owners with an incentive to be entrepreneurial. If they truly can create 1+1=3 through strategic investment they appear to be in my opinion on the right track.

[craigwebster] 24/6/2015 09:54

Looks like we're off again, with a lovely jump of >+5% this morning to 144p.

[rivaldo] 24/6/2015 09:02

Going rather well....yet still barely on a double-digit P/E.

Hisname, imo CRE's management has adopted a completely different - and much improved - mindset since DE left. In just the last two months they've established stakes in or initiated partnerships with:

- 18 Feet & Rising
- The Digital Consultancy
- Future Foundation
- Propeller Communications

I wouldn't be surprised to see another acquisition soon. I agree - a P/E of 14 would see CRE at 200p or so.

[hisnameisollie] 19/6/2015 22:47

I've enjoyed the progression of this stock recently. I think it mainly comes down to catalysts that ignite growth. The increasing EPS and dividends have helped, so has the shift in management. I still feel a slight passivity in the decisions though, coming from a company that started in property which is a very passive investment.

However they're doing a good job so far and if they keep taking an increasingly active role and making good investments I don't see why they shouldn't be trading at a 14 pe ratio with increasing earnings.