Digital Globe Share Discussion Threads

[hastings] 15/3/2016 15:24

A few thoughts that may be of interest to others taking a look.

[rivaldo] 15/3/2016 14:37

Certainly looking good.

It would be nice to see larger volumes, but I suppose as it's so tightly held the obverse of that is that the share price will nicely upwards on any decent buying (as it's moved down in the past of course).

[pj 1] 15/3/2016 10:43

Yes CM, its certainly a massive bonus if this is indeed the chart bottom. It's only the chart that has stopped me taking more.

[cheshire man] 15/3/2016 10:39

Just in time to pick up the divi PJ :-)

[pj 1] 15/3/2016 10:33

I've succumbed and taken a small position which forces me to follow it more closely

[battlebus2] 15/3/2016 10:30

I added a few more , x dividend on thursday also....

[oregano] 15/3/2016 10:14

30k shares out the door at the full offer price. Nice to see.

[battlebus2] 15/3/2016 10:10

Moving well today then :))

[yump] 15/3/2016 07:58

Should get 100p in a year or so if they get back to 2014 profits.

It all depends on the changing model and its costs, which nobody seems to be interested in.

Anyway, I've said enough. Anyone can go through the figures and see what seems to be happening. I mean anyone who is actually long term and not punting based on it having bottomed out.

You'll have to do the work, because DGS will not explain it. They may be moving towards something more like XLM, but with a lower profit margin.

I'll post anything relevant about the market that I come across, seeing as I'm in it 24/7.

[thomasthetank1] 14/3/2016 16:12

Panmure Gordon's comprehensive 28 page initiation note on Digital Globe Services (DGS.L) can be found at

Headlines:

*Profitable growth, large runway, low valuation
*Growth market, DGS has grown revenues at 26.3% pa over the last three years
*We forecast good double digit revenue growth, solid profit margins, and improving rates of cash conversion, allowing the group to maintain high dividend distributions

[battlebus2] 14/3/2016 16:04

That's upside of over 100% Rivaldo :))

[yump] 14/3/2016 14:06

rivaldo

The challenge still remains.
Post one negative thing about one stock you hold, once.

People can check easily can't they ?

[battlebus2] 14/3/2016 10:15

Panmure initiates with a buy recommendation and a 125p target :))

[rivaldo] 12/3/2016 07:43

....and there you have it, once again :o)) Enough said, and end of story.

Hopefully Panmure as new brokers will soon stick their head above the parapet here with new forecasts for DGS.

[yump] 12/3/2016 00:04

rivaldo

Is it possible that one day, you will actually post one single negative thought or comment about a stock that you hold ?

People like you are dangerous, ramping your stocks under the cloak of respectability and reasonableness. More dangerous than the rampant rampers.

I think you'll find that I was not 'championing' LBB as you put it. You popped up there making comments when you obviously did not hold.

I think 'championing' is a term best used to represent your own stocks. Would you like me to list them. Thank goodness I sold the ones you were championing before they tanked, while you were still singing their praises.

So perhaps for the benefit of others reading here, you can find one single negative about DGS...

Otherwise the one-sidedness is a bit of a giveaway.

[oregano] 11/3/2016 15:45

This is still a 7.7% running yield even after the move up.

[oregano] 11/3/2016 15:12

Although it is small, most of the volume on the buy side. This has got Mail on Sunday written all over it.

[speedsgh] 11/3/2016 10:17

Interim Dividend -

The dividend timetable is as follows:

Ex-Dividend Date: 17 March 2016

Record Date: 18 March 2016

Payment Date: 5 April 2016

[rivaldo] 11/3/2016 08:40

OT : yump, you were extremely rude, dismissive and arrogant when I made a single critical post on the LBB thread you were championing. I turned out to be more correct regarding that company than I could ever have imagined. You were equally dismissive on another thread.

It's simply not worth my while to interact/engage in discussions with intolerant, dogmatic posters.

[yump] 11/3/2016 07:36

rivaldo

I'd be interested in your thoughts on the points I've raised in my last two points. Particularly with your (presumably) long term investor hat on.

Repeating the headline 'strongest ever' and 'record' stuff glosses over the nitty-gritty.

[yump] 10/3/2016 18:02

Yes, in at float. It got a bit overblown, but I got caught out by the merger disruption which came out of the blue. Particularly disappointing as I wasn't expecting it to affect DGS that much, because customer acquisition doesn't stop for the companies merging.

That illustrated that DGS wasn't as secure as I thought.

Subsequently they haven't delivered on the overseas expansion plan and I don't think we're being told enough.

Hence my views on growth. Some of my views are perhaps tainted by disappointment, but the facts aren't. Which is why I looked back at the revenue figures to compare then with now and had some thoughts on their business model in the last post.

Anyone can check them.

I needed to assess whether to buy more when it appeared to have bottomed out, depending on whether I thought it would grow for quite a few years or not and in the end I didn't, although the lack of information inbetween results has also contributed to that. Mainly because I don't think we will get enough information to be able to assess DGS, until each set of results comes out. Used to be happy with that, but not nowadays.

[oregano] 10/3/2016 11:52

do you own this share yump?

[yump] 10/3/2016 11:13

Others might like to do some research on the following which is just on the business:

The cost base has changed since they floated and now contains a much larger proportion of lead-generation costs. They originally had what looked like a plug-and-play solution to managing paid search advertising, directly for clients and processing the leads through their call-centres, which could be rolled out to new clients. That is still present.

Lead generation appearing more as a cost presumably means they are also paying others more to generate leads. That could be through others with their own websites or others doing paid search.

That change could be due to the gradual disruption of the paid search marketplace, by the constant changes to Google Adwords, plus the requirements for different types of mobile ads.

Might expect DGS to be on top of that, but believe me in the last few years, its become a tricky business. Not that long ago you could set up paid search adverts, optimise them fairly quickly and then gradually increase your ROI.

With the changes that keep happening, the issue arises of whether you have time to generate a good ROI to make up for all the setting up time/costs.

I suspect the plug and play tech. isn't as plug and play as it was when DGS got their big US clients several years ago, so they are having to take leads from other parties more.

They haven't really explained it.