Diploma Share Discussion Threads

[jeffian] 13/9/2012 17:53

Thanks for your considered responses. I'll probably end up doing what I normally do - nothing!

[blippy2] 13/9/2012 17:42

Over 10 years, PE has been about 12. It's now nearly 14, and above the market average and its historical average. It is not at absurd high levels, however. Analysts expect EPS growth of 6% for y/e 30-Sep-2013. It also looks above-averagely priced on an EV/EBITDA basis.

However, I do note that analysts expect 10% turnover growth over 2012, which is not to be sniffed at. DPLM is a quality company, with little debt, and a fantastic Return On Equity. Provided those conditions continue, and I have no reason to expect otherwise, I don't think people will do badly. They might not do fantastically, either.

DPLM is a nice little steady compounder, not too fast, not too slow. I think it offers steady above-average progress with lower than average risk over the long term. Will it outperform the Footsie over the next year? Ask me again in a year's time!

I am currently a holder - but that doesn't mean I'm right. Best of luck with whatever you decide.

[silverfern] 13/9/2012 16:16

Jeffian: My view is that it hs just gone back up! The business grows by acquisition and it continues to acquire and that in turn opens up new territories for it - if it does that and adds value each time then the comapny will only grow. I'm keen to see if the small investment in China is paying off but my longer -term price hope would be around 900p in that the pe still does not reflect a growing company that pays good dividencds. It never harms to top slice, and this does remain thnly traded considering its market cap

[jeffian] 13/9/2012 11:31

silverfern,
I know you've been around this one for a long time like me. How good does it get? When I bought it it had a very modest PER and a good yield but I'm wondering whether the price is now factoring in quite a lot of the forward growth. I never know when to sell a share and as a result have seen far too many good profits fizzle away (and on the rare occasions I do sell a successful share, it goes on to be even more successful, hence my indecision!). What's your view?

(Edit: Ooops! Maybe shouldn't have posted that. Had an immediate adverse impact on the sp!)

[silverfern] 13/9/2012 10:08

recent strngth may reflect US economic optimism; nice to see anyway

[blippy2] 30/7/2012 09:00

Down 3% in early trading, the market is obviously disappointed with the results. Still, it's a nice little steady eddie of a share for me, and I'm happy to hold.

[apad] 30/7/2012 08:33

EPS forecasts of about 33p don't look achievable. I have a buy price of £4 pencilled in.
apad

[silverfern] 30/7/2012 08:22

How is this a mixed bag?
Revenues for both the year to date and for the third quarter were 13% ahead of the comparable period in 2011 benefitting from recent acquisitions, together with continuing strong trading in the Group's North American Seal businesses. After adjusting for currency effects and acquisitions, underlying revenues for the year to date increased by 7%. The underlying increase in third quarter revenues was 5% against a strong prior year comparative

[yoyoy] 30/7/2012 07:33

IMS looks OK to me overall but a mixed bag.

[jeffian] 22/5/2012 18:43

The short answer is 'no, I don't', silverfern, but if you asked me to speculate I've noticed that many shares which have had a particularly strong run have come off quite sharply and I'd guess some are profit-taking against the threat of Euro mayhem. I've certainly hoarded some cash in anticipation of a 'buying opportunity' and I find myself loathe to commit it to the market when the Greek situation could blow up at any time. DPLM has actually remained remarkably strong through the recent period of general market weakness and it doesn't surprise me that it has now come off the top. Having said that, I certainly continue to hold as the fundamentals remain sound IMHO.

[silverfern] 22/5/2012 17:54

I Know divi date is near but.....anyone know another reason?

[quantumx] 14/5/2012 13:46

Good to see dividend keeping ahead of inflation. PE ratio of 13 is not challenging by any standards. Solid share to own.

[blippy2] 14/5/2012 13:07

What a little cracker of a company this has turned out to be.

Revenues +13%, free cash flow + 33%, basic EPS +24%, interim dividends +20%.
"the Board is confident that the Group should make further progress in the second half of the year"

[silverfern] 14/5/2012 08:09

Excellent interims and increased dividend reflects the confidence of the statement

[silverfern] 11/5/2012 16:49

multiple trades into the close today pushed this up nicely - results on Monday!

[silverfern] 03/5/2012 08:26

Growth at 5 % is not startling but DPLM have a way of making acquisitions just at the right time to drive that figure up. It wouldn't surprise me if an announcement came on results day- I am intrigued about the gateway they opened up to China last year and whether there is opportunity there.

[sleepy] 02/5/2012 13:43

MT - thank you

[mechanical trader] 02/5/2012 09:26

DPLM Diploma

Some solid Broker backing behind
this stock.

On a forward P/E of just over 13
to 2013, very cheap.

Diploma PLC

FORECASTS 2012 2013
Date Rec Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

Panmure Gordon
30-04-12 BUY 51.50 32.00 13.00 54.00 33.80 14.00
Shore Capital
27-04-12 HOLD 52.10 32.90 13.00 54.70 34.50 14.00
Westhouse Securities
26-04-12 BUY
Numis Securities Ltd
26-03-12 ADD 52.00 32.70 13.00 55.70 34.40 14.00
Investec Securities [R]
07-12-11 BUY 46.24 27.91 13.50 48.68 29.38 14.85

2012 2013
Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

Consensus 51.67 32.37 13.02 54.56 34.06 14.03

1 Month Change 0.04 0.03 -0.00 0.03 0.03 -0.01
3 Month Change -7.64 2.60 0.33 -8.47 2.79 0.42


GROWTH
2011 (A) 2012 (E) 2013 (E)

Norm. EPS 64.21% 33.40% 5.23%
DPS 19.75% 34.20% 7.77%

INVESTMENT RATIOS
2011 (A) 2012 (E) 2013 (E)

EBITDA £46.70m £53.48m £55.89m
EBIT £40.10m £52.60m £56.10m
Dividend Yield 2.11% 2.83% 3.05%
Dividend Cover 2.50x 2.49x 2.43x
PER 18.98x 14.23x 13.52x
PEG 0.30f 0.43f 2.59f
Net Asset Value PS 43.27p p p

[mechanical trader] 02/5/2012 08:45

DPLM Diploma

Recent Broker Buy notes.....

Date Broker name New Price Old price target New price target Broker change

18-Apr-12 Espirito Santo Execution Buy 441.50p - 481.00p New Coverage
26-Mar-12 Jefferies Buy 426.50p 485.00p - Reiteration

[silverfern] 30/4/2012 11:55

a more constant demand for the shares now. Hopefully the results will raise the profile further

[silverfern] 24/4/2012 08:15

from 26 March:" the Board now expects the Group's adjusted profit before tax for the year ending 30 September 2012 to be ahead of the current market consensus." We'll find out just how much on 14 MAy!

[quantumx] 19/4/2012 13:21

A nice chart in these turbulent times.

[silverfern] 03/4/2012 13:32

let's see what happens when US market opens today....and there was some support in late afternoon.

[sleepy] 03/4/2012 12:59

Thread has disappeared - will this help bring it back?