Molins Share Discussion Threads

[spooky] 10/4/2014 09:16

There has been a persistent seller for quite a while, the pension situation has been around for a long time so i don't think that it is that.

[al101uk] 10/4/2014 09:13

Defecit?

Depends which accounting standard you use and what point in time. I think they were a little unfortunate on the timing of the review period.

[thorpematt] 09/4/2014 18:39

That'll be the pension defecit.

Effectively this really is a play on the equities market since the defecit is so large.

[spooky] 08/4/2014 14:32

Does anyone have any particular thoughts on why the shares continue to be under pressure at this level

[meijiman] 06/3/2014 08:54

The rating here is very modest and leaves good upside potential. Suspect one of the problems is that the management is seen as accident prone -in short Molins looks like its on an upward projectory and then it slips on a bananna skin.But I think this recovery is much better founded as most legacy issues have been addressed and they seem to be getting good traction with sales.

[deadly] 06/3/2014 00:00

"Outstanding buying opportunity"

Some good reviews on the results here:
hxxp://www.-.com/content/small-cap-value-report-26-feb-2014-bitcoin-snx-mlin-idox-qrt-81614/

and
hxxp://www.equitydevelopment.co.uk/doc/1167.pdf

[hippo] 27/2/2014 13:43

Yes I joined the party today too, looks cheap and a nice one for the medium term.

[capercaillie] 27/2/2014 13:07

Added to my position this morning.

[greenroom78] 27/2/2014 12:01

I've bought back into these today having held a couple of years ago sub 100p. Shouldn't have sold them then but after some decent results yesterday and a drop today I thought it a good opportunity to get back in.

[speedsgh] 27/2/2014 11:48

Didn't take long for Simon Thompson to update his tip! Well done to all holders. Enjoy the spike :o)

"Analysts at Equity Development have a fair value target of 260p, but I am being more conservative and maintain a target price of 220p - equating to a modest eight times earnings estimates net of cash. It also coincides with the bull market highs in the summer of 2007, a level the share price is likely to see some resistance at. Trading on a bid offer spread of 175p to 178p, and offering 23 per cent upside to my conservative target price, Molins shares rate a decent buy on a six-month basis."

[blondeamon] 27/2/2014 11:41

Just tipped by IC again as you predicted. Very bullish stance by Simon.

[simon42] 27/2/2014 11:23

Edison Investments are very bullish on Molins today. Really sees great value and potentiaql going forward.
Shares mag are cautious of the pension deficit today but they haven't seen the latest update and as they point out many companies have this problem and its very manageable. Look at AGA!

[snadgey] 27/2/2014 08:01

Read Equity Development Note which maintains it's sum-of-parts valuation of 260p.

[meijiman] 26/2/2014 21:32

Agree you have def not missed the boat here. Be patient and this could be 300p before the yr end.

[meijiman] 26/2/2014 21:31

Agree you have def not missed the boat here. Be patient and this could be 300p before the yr end.

[bigdazzler] 26/2/2014 21:03

Don't think you have missed the boat speedsgh. I think there is much more to come from this share. My first target is £2.20. Not saying it is going to happen overnight but loads of room for the price to grow.

[speedsgh] 26/2/2014 20:28

Agreed, Snadgey. That is the one thing that put me off taking the plunge recently when MLIN briefly dipped sub-160p. I've spent the day regretting my decision. Think I've probably missed the boat on this one now. Oh well, you can't be in them all.

[snadgey] 26/2/2014 19:33

I think the other reason for the recent share price weakness is the lack of (expected) news on the US Regulatory changes re: tobacco testing

[meijiman] 26/2/2014 10:20

I think the pension deficit is diminishing as an issue. It would appear to be the main reason why the share price multiple is so low. This was true of Renold -seen as uninvestable at 20p due to serious pension deficit -now the shares are over 60p! Think the same upward re-rating willl happen to Molins. Deficit funding will become less of a problem as profits increase,and there will be higher returns from equities and fixed income. I'm not fully up to speed here -I know they did have surplus land for sale at one time -maybe still have. Also I don't think the business is desperately capital intensive so there should be good cash conversion.

[speedsgh] 26/2/2014 09:49

This is one that Simon Thompson (Investors Chronicle) is currently tracking so it is highly likely to spike up further when he updates on today's results. His last target price was 220p which is likely to be increased imo.

[2breakout] 26/2/2014 09:29

Bought a few this morning and will look to add on any weakness, but saying that this could quite easily go through the recent highs quite quickly.

[deadly] 26/2/2014 09:14

Such a tight market in these; difficult to buy more than a few to top up my holding.

[speedsgh] 26/2/2014 08:51

Molins PLC: Outstanding buying opportunity -

Molins has produced an excellent set of 2013 results: LFL turnover was up 13% to £105m, and adjusted PBT up 10% at £5.4m. These results were comfortably ahead of our (and the market's) expectations.

The group continues to hold leading global positions in many of its niche markets: its Scientific Services division grew revenue by an impressive 15%, and both the Packaging and the Tobacco Machinery businesses also grew revenue strongly, by over 14% and 10.6% respectively.

In our note we argue that this well managed group is seriously undervalued against its quoted peer group. On virtually all sensible financial measures, including EV / EBITDA, EV/EBITA, P/E ratios, or Yield, Molins looks very cheap. Indeed at 170p it is priced at a 50 - 70% discount to its peers on these metrics.

With a 12 month price target of 260p, we see 53% potential upside in the share price from current levels.

[brummy_git] 26/2/2014 08:41

New research note from EquityDev on Molins out this morning

hxxp://www.equitydevelopment.co.uk/

[nw99] 26/2/2014 08:39

Molins NEW ED note today: Sparkling results + Peer Group Comps make shares look very cheap. P/E 7X