||EPS - Basic
||Market Cap (m)
|Pharmaceuticals & Biotechnology
Real-Time news about Kiotech Intl (London Stock Exchange): 0 recent articles
|gerard j: Hello All
Bought a few shares a few weeks ago.
Looked at the chart, bought under 90p and am sitting on a small profit.
The reason I bought is that this seems to be a recession proof company with strong golbal demand including China (the place to be), high margin products, growth potential, and a possible takeover target...and £3m cash in the bank.
I will top up my investment if share price goes through the 100p.
Definitely long term investment.|
|beardmore: Yes, hang on to the view that this is becoming an income share. I don't understand these big swings in share price, but, as with the rest of the market, post the coming Greek default and into next Spring it will all look a lot more positive.|
|jon l: Despite everything going on around us, the quick positive response of the share price to good news suggests we are not really in a bear market. In a true bear market good announcements are ignored.
Will this lift us out of the boring trading range below £1?|
|tailgunner2: Nice cheque fell on mat yesterday......very welcome, but would rather have no dividend and more upward share price movement....seem to be stuck here.....|
|paraguay: All quite here and share price heading in wrong direction since consolidation...someone tell me I need to be more patient!! Considering cutting my losses.|
|blenkinsop2: I really think that an occasional bit of news from the Company, via either RNS or their moribund website, would do something to guard against this kind of share price plummet. The next thing we will read here is the thought that bad news has leaked out to the big boys leaving the PIs hung out to dry. My personal view is that this is a small company in an important segment, virtually debt free, profitable and with a good year about to be reported. However, share prices are dictated by what the future is thought to hold, not by past achievements. Can we foresee a serious downturn for KIO? I can't.
Relatively speaking, the share price is lower than it was 3 years ago - outrageous for a company that has made so much progress!|
|blenkinsop2: While I agree completely with the gripe about the lack of communication with shareholders,I think we are in danger of blaming the company for short term changes in share pricing. The company has said or done nothing that can account for the sudden and bizarre drop in the share price over the last few days. So I rather think this may be an example of share price manipulation rather than a movement driven by the market. My conspiracy theory is that this could be an attempt to spook the PIs into selling at a low price before the preliminary results are published which I believe will indicate that the share price should be in exess of 100p.|
|blenkinsop2: If we on the bulletin board, who can see that the news continues to be positive, are not buying why should we think anyone else is going to buy? If nobody buys, why should the share price move?! Sorry! This is facile and must appear rather rude (the-hedge) - it is not meant to be. I continue to think along the lines outlined in my posts earlier this week. I note that small share purchases/sales can shift the share price by a disproportionate amount but this is typical of a lightly traded share. Once the number of share trades increases (rather than the share volume) I think the price may move slowly up and the spread slowly reduce. But these is just my musings!|
|blenkinsop2: If KIO were on the same P/E as EAH, the share price would now be around 30p. Looking to the future, I don't see that EAH has anything better to offer than KIO - so maybe KIO's shares will take off sooner rather than later! However, I believe EAH is a more established company than KIO so has a certain track record and KIO has yet to establish its own. It has made a very good start but another year or so of steady growth with improved profitability is needed. A 30p share price translates to a market value for the company of over £120M. Is this reasonable or does it smack of the dot.com boom?! Personally, I would be surprised if the global market for these sort of products was not able to support several companies with this scale of market value. Here's hoping!|
|blenkinsop2: Speckky re your 656
"If you have time (post KIO results) could you give an opinion here on whether you can see KIO's turnover/pbt at least matching that of EAH.Obviously I'm hoping both metrics will be on the up."
I take it that you are referring to the P/E figure.
I find it difficult to make any really convincing comments because it seems to me that this ratio is driven more by sentiment than by hard figures of company performance.
EAH turnover to March 2010 £21.77M, pre-tax profit £2.00M (9.21%)
KIO turnover to June 2010 10.96, pre-tax profit £0.74M (excluding one-off sale of Ultrabite)
The KIO turnover for the first half of this year is almost exactly half EAH's for the whole of last year so the two companies appear to be comparable now on that basis. Profitability is lagging but this can be attributed to Optivite performance rather than KIO as a whole. So sorting out Optivite remains a key task for the management.
However, whereas the P/E ratio for KIO is presently between 9 and 10, the P/E figure for EAH is over 70. This suggests to me that optimism for the future has driven the share price 7 times greater in relation to earnings for EAH than for KIO hence my comment about sentiment. One should note that the latest dividend for EAH was 1.24% and was covered by earnings to the tune of only 1.12 (i.e. very little retained within the business). By contrast the last dividend for KIO was a little higher at 1.33% but was covered about 4.2 times excluding the Ultrabite contribution (included, it brings the figure to 8.2 times). I am sure the share price would move up if the percentage dividend were to be increased. That at least would gear the share price to company performance rather than to sentiment.
At some point, the potential for KIO will be recognised as it already has been for EAH but until then, this remains a good investment opportunity. I am not sure that EAH still is but am not a shareholder so any comment beyond that would be inappropriate.
I comment on some of the messages above: - It is the shareholders and their sentiment that dictate share prices. The company performance, of course, affects the sentiment but not the share price directly. The only time that the company is directly involved is when the company raises money by selling shares. Thereafter they are traded without further reference to the company. However, many things affect sentiment amongst which are: good or bad results, takeover talk, bankruptcy talk, dividends and calls for finance. I am sure there are many others but these come immediately to mind.
Finally, we are told in the KIO half yearly Report that although sales increased three-fold, profit only went up by one and a half times i.e. profitability was halved. KIO needs to slog away and bring the whole company up to Agil's level of performance, and then our investments will pay off handsomely. When? My best guess is around this time next year but there is still a lot for them to do.|
Kiotech share price data is direct from the London Stock Exchange