Lavendon Share Discussion Threads

[spud] 26/8/2016 07:49

Yup, great set of results imo. I'd be surprised not to see a re-rating to circa 150p in fairly short order. spud

[che7win] 26/8/2016 07:46

Agreed Rivaldo.

[rivaldo] 26/8/2016 07:44

Excellent H1 results, so with the usual H2 bias the confidence in the outlook about achieving 18.6p EPS forecasts is justified.

The 2p interim dividend payment looks well ahead of 5.8p annual divi forecasts if I'm not mistaken based on last year's split.

Debt is up, but the Balance Sheet is strong. Great ROCE too. And LVD will benefit in H2 from currency movements.

Can't ask for much more than this.

[qs99] 26/8/2016 07:28

None left have they? Dyor

[muffster] 26/8/2016 07:28

Great results. Like the WACC analysis and the dividend increase. Need to start building a larger holding

[tjbird] 26/8/2016 07:24

Blackrock prob selling now

[dahhad] 26/8/2016 07:10

No doubt we will have the same +ve coverage of these results as with previous results! Let's hope the deserved rerating follows. The management team deserves it IMO

[qs99] 26/8/2016 07:10

£62m ebitda at half year...EV c.£360m dyor etc, but Imo this looks oddly valued....

[mikepompeyfan] 26/8/2016 07:03

Good results. Well undervalued.

Good First Half Performance

· Total revenues up 13% - strong rental revenue growth in UK, Middle East and France
· EBITDA growth of 17% largely funding net capex programme of £62m
· Group underlying operating profit increased by 10% - strong growth in UK and Middle East
· Underlying PBT increased by 10% to £15.9m and underlying EPS increased by 12% to 7.40p
· ROCE of 12.2% remains comfortably ahead of WACC at 9.5%
· Strong balance sheet with net debt:EBITDA 1.61x - well supported by operational cash flows
· Interim dividend up 18% reflecting good performance and Board's confidence in future prospects

[haywards26] 25/8/2016 12:49

Sooner of later value has to out if the company continue to perform. Either through improved market sentiment or a t/o. Patience will be rewarded as it invariably is.

[extrader] 25/8/2016 12:47

Hi dahhad,

At some point, the market will look at the competition and recognize LVD's relative strengths....

ATB

[dahhad] 25/8/2016 12:25

I admire your optimism Extrader and I hope you are right. I am fearful however as the company has produced reasonable/good results for the past 2-3 years and the share price has just gone downwards despite +ve reactions from brokers etc. Hopefully an overdue (IMO) correction will start tomorrow!

[extrader] 25/8/2016 11:34

Hi all,

Not a chartist, but with a 'fat W' and numbers tomorrow,flwg a 'strong performance' trading update and consensus broker t/p of 1.96, where does the team think we'll be at close tomorrow ?

I'd hope 140p+ would be achievable.....

ATB

[contrarian joe] 25/8/2016 11:25

Deanowls,yes LVD do benefit from Sterling's weakness,& yes sterling has been weak since brexit,however i was merely pointing out that on them days i pointed out above Sterling strengthened in that period by approx 4%,the media then reported that strength a week later with the headlines "Sterling strengthens on strong manufacturing data,"the market then reacted to those headlines,i hope that makes sense.

[deanowls] 25/8/2016 07:03

Joe,

they do a significant amount of business in the middle east which is dollar denominated, there is a 12% better rate than a year ago, how is sterlings strength(its actually weak) not helping?

[pyemckay] 24/8/2016 12:29

sterling is weak . simples

[muffster] 23/8/2016 22:29

Um do you know what you are talking about. No. Sterling has fallen dramatically.

[contrarian joe] 23/8/2016 21:42

Sterling strength hasn't helped.

[gleach23] 23/8/2016 13:49

skittish share price action so far today but online quotes indicate decent level of demand

[contrarian joe] 21/8/2016 21:17

I am a now a holder of this stock,might be starting an uptrend from that double bottom or it maybe a fools rally (who knows),positives for me are net tangibles not far of mkt cap, low p/e,market leaders,exchange rate should be favorable,of course i would be delusional to ignore that chart.Negatives are high debt,squeezed margins,cyclical business,dependent on construction industry pick up,checkered history of divi payments,i might well of caught the near bottom or could so easily be one of those fools.

[paulypilot] 21/8/2016 17:09

The H1 figures should be fine - as the company issued a positive update quite recently, on 14 July 2016:


The disconnect between trading updates (consistently positive), and the share price (relentlessly falling, apart from recent rebound) has been remarkable here.

Still, it gave us a chance to load up with cheap shares, so I'm not complaining - my avg buy price is now down to about 124. With a good solid company, I find that averaging-down can be a very successful strategy. It's only a mistake with speculative stuff, or thing that are going down the pan. This is neither.

Regards, Paul (long LVD)

[qs99] 21/8/2016 16:49

indeed and with an update due this Friday (DYOR) isn't it (?) then hopefully this all bodes well for a healthy update....IMO

[spud] 19/8/2016 18:03

No it's not. One of the best times to enter a stock is near or at the end of an overhang clearance. Anyone taking a position over the past 2 weeks has timed it near perfectly.spud

[dahhad] 19/8/2016 17:22

If Blackrock have sold a lot then hopefully that will clear the way for a bit of a run! Or is that too much to hope for!