Newmark Security Share Discussion Threads

[exel] 15/10/2013 17:35

it now seems that this mini-SP-dip, yesterday & today, was attributable to a large-ish sell order for 3.5m, filled at tonight's close. presumably someone who didn't attend this year's AGM? or who does not 'believe' in the new product set here? or a forced seller? will there be other sellers at this level? or fresh buyers, or top-ups, on the back of what seems like irrational pricing? No idea! but this does now look a tad inexpensive by my calcs. ex

[bollers] 14/10/2013 13:06

..well if things are looking up I wish the directors would share it with us, share price continues to drift lower despite a generally bullish AIM market.

[fugwit] 12/10/2013 14:30

Thanks for that exel.

[exel] 12/10/2013 09:42

yes - it was generally a positive and very well attended event, too, biggest ever turn-out, in my experience of the last 10. (in the past, was once the only attendee apart from the Board). big clean up job now done re FY2103, div re-introduced, new products coming through in both divisions, and a new CEO in place with 'clear drive' to build the business. So things are definitely looking up for FY2014 and FY2015. broker write-ups & Edison all positive etc. DYOR. ex

[fugwit] 09/9/2013 21:29

Anyone heading to the AGM on Thursday?

[swong21118] 01/9/2013 21:21

Any news??

[mjcferguson] 20/8/2013 14:41

Directors keep buying.Still well undervalued considering cash generation and sales starting to show benefit of heavy r&d spend over recent years.

[mjcferguson] 20/8/2013 14:41

Directors keep buying.Still well undervalued considering cash generation and sales starting to show benefit of heavy r&d spend over recent years.

[oregano] 02/8/2013 09:38

Horndean.

that would concern me if they hadn't generated cash after capex in the last few years. Look at cash flow post capex - it has averaged £1.16m over the last two years. Good for a market cap of £7m.

their R&D expense is a big item in the cash flow (and consequently depreciation is a big item in the p&l).

there is a tax break of capitalising r&d instead of expensing. Note 7 in the accounts shows you this was £441k.

the big benefit here is when the R&D spend peaks, as cash generation would be even higher.

IMHO and all that.

[horndean eagle] 30/7/2013 13:16

Id place more focus on the write downs in intangibles. Company has been capitalising costs which really should be written off against the p+l. This has flattered the performance for a few years now. A bumper year this year gives them the chance to take the hit. Id be very wary.

[mjcferguson] 30/7/2013 11:44

Liquidity of Balance Sheet is also now much better.Good to see export figures growing well,a similar percentage growth in 2014 will start to make a difference.

[oregano] 30/7/2013 11:21

MJF - you may have a point. they got tax relief on dvt expenditure. cantor are forecasting they pay tax, and pe's are after tax.

plus the £1.7m figure is before finance costs.

[mjcferguson] 30/7/2013 10:43

Based on £2.5m p/e is three which is far too cheap.Even based on forecast for 2014 of £1.7m p/e is only about 4.5.

[oregano] 30/7/2013 09:44

something of a mixed bag;
- profit pre exceptionals was £2.5m, forecast £1.6m. v.good, but not repeatable.
- the goodwill impairment is irrelevant, but the development impairment is more concerning. presumably why that director resigned recently.
- The divi was not forecast, only 2% yield, but as importantly it indicates the return to a solid financial footing.
- Unsurprisingly next year is unlikely to be as good, Cantor forecasting £1.7m which ties in with their commentary about this year being less good.

I thought the chat on progress at the electronic division was very encouraging.

Still cheap - pe of 7 or so and cash generative.

[sharedgain] 30/7/2013 07:11

£202k profit and the Board's recommendation to reintroduce a dividend for the year.
Nice

[mjcferguson] 22/7/2013 08:22

Results due within week or so.

[mjcferguson] 26/6/2013 16:28

Looks like we are now slowly climbing at long last in anticipation of great results.

[oregano] 06/6/2013 08:33

agreed, i am sure the full year results will reveal all, early August last year.

[mjcferguson] 06/6/2013 08:32

I would have liked a bit more info on the progress of sales of the new products and also in new markets such as USA.I suppose we can be grateful that we at least got a trading update.

[oregano] 06/6/2013 08:24

restoration of dividend. that was not forecast by Cantor, and clearly demonstrates the financial challenges are behind NWT. yield has been a big driver in stock performance recently.

[mjcferguson] 06/6/2013 08:21

Remember broker had target of 2p on basis of £15m turnover.Hopefully increased target now!

[mjcferguson] 24/5/2013 09:04

Topped up yesterday as I m confident that next results will exceed expectations due to increased momentum in sale of new products and post office contract.Lack of news with this share does mean patience is required however.

[oregano] 02/5/2013 14:41

I see Cantor are expecting free cash generation of £1.1m, this year. On an EV of £7m, thats a yield of 16%. Attractive. Given the visibility provided by the PO contract, I think a divi reinstatement is likely.

[bollers] 02/5/2013 09:26

for anyone watching, the 200K 'sell' at 1.44p this morning was a buy

[bollers] 14/2/2013 12:32

Newmark Security: Cantor Fitzgerald (formerly Seymour Pierce) moves target price from 1.50p to 2.00p maintaining a buy recommendation.