Norcros Share Discussion Threads

[mesquida] 15/7/2015 12:06

If pension deficits have not frightened off the bidders for Thorntons and now today Aga, then Norcros could well find itself in somebody's sights. Would be a shame to be taken out of this at this stage because looking two years down the road I could envisage a price substantially higher than today's level, but as always a bird in the hand etc.etc.

[cheshire man] 15/7/2015 11:11

Added some myself yesterday, chart looking pretty good here,,,,,,,,,DYOR

[nw99] 14/7/2015 12:38

Yes saw that have added more it's a big laggard

[rivaldo] 14/7/2015 11:54

NXR just tipped as one of Redmayne Bentley's investment ideas in their July newsletter e-mailed out today:



"Norcros is involved in supplying home consumer products such as showers and bathroom accessories. The group has operations in the UK and South Africa. Shares reached an annual low of 14.88p in October 2014. In November, the group reported a pre-tax profit of £6.7m for the 26 weeks to the end of September 2014. Despite a weak South African Rand, the group benefitted from a UK trade sector recovery. However, the group said in June that its South African business has improved, helping the group to an operating profit of £17m for the year to the 31st March, with revenue up to £222.1m. As a result the group is confident of further progress this year. Investors were cheered by this and the group climbed to an annual high of 20.5p at the end of last month"

[glaws2] 13/7/2015 07:03

I agree with PJ1 - I'll post salient points in due course.

[pj 1] 12/7/2015 21:52

Subscibers to SCSW should be given ample time to read and act if necessary before anything is ever posted on a BB. 2 weeks should be enough imo

[simon templar qc] 12/7/2015 21:15

Yes copy and post in bits if required but avoid mentioning the article. That way you can get round copyright.

[2breakout] 12/7/2015 18:46

Cheers glaw2. Glad I don't bother paying for scsw anymore, can find most of it on advfn.

[simon templar qc] 12/7/2015 18:43

Any chance copying the best pieces you are allowed to copy a glint of the article in copying rules?

[glaws2] 12/7/2015 09:28

One (of two) main picks in July's Small Company Share Watch.

[brando69] 07/7/2015 16:06

all buys going through at full ask today. suspect it will take next step up soon... untouched by today's Greecy pole on the markets

[simon templar qc] 03/7/2015 15:46

Difficult to get decent size stock at present.

[simon templar qc] 03/7/2015 15:08

Buyers coming in afternoon, take no notice of sells some are probably delayed trades.

[simon templar qc] 30/6/2015 23:11

libertine,

I wouldn't accept new build has been in full flow the UK is building less houses than in the 50s 60s and 70s.

The government are trying to tackle the problem with relaxing controls but they have a long way to go.

I happen however to look at a different way having some experience in the building sector growth, some of the growth will come from the desirability to move with the times and improve their bath/shower facilities.

Most new or replacement bathrooms now incorporate a shower rather than a typical 3 piece suite.

[libertine] 30/6/2015 18:13

With new build having been in full flow, it is disappointing that they state the UK market has remained challenging. UK performance should have improved substantially. Margins have not even been held.

[trytotakeiteasy] 26/6/2015 18:34

Simpon - I didn't mean showers per se but the Triton power shower brand which as I understand is not a premium product but more used for things like student housing or rented accommodation.

[simon templar qc] 26/6/2015 17:07

trytakeiteasy,

Me thinks you are wrong on showers its somewhat tied to the property market but more new builds and conversions see more en suites these days. Its quite rare now to get a 3 bedroom with just one family bathroom most have an extra shower.

When you move up the 4/5/6/7 bedroom houses nearly all are incorporating showers in en suite.

Then you have nursing homes on the increase with the ageing population, the bathroom shower room facilities getting better all the time. As standards improve it won't be long before all residents have their own toilet and bathroom facilities.

Every bathroom/shower room needs tiling!

[trytotakeiteasy] 26/6/2015 13:50

Shanklin - I think Triton - electric power showers - just aren't a growth area... Johnson Tiles must be a fairly commodity business.. everyone seems to be making/supplying tiles.... so not sure on the strength of the management point but I think it is more to do with the mix of businesses.... if they can acquire strongly branded businesses with good margins the overall business quality should improve...

Agree that trading statements have been fairly weak.. however, the second half of the last financial year saw a pickup on the first half and South Africa is seeing strong revenue growth...

[shanklin] 26/6/2015 13:35

I do wonder whether NXR UK management is just not very good operationally. Hopefully this apparent weakness will not be migrated across to the businesses they have acquired. All IMHO.

[trytotakeiteasy] 26/6/2015 13:22

Shanklin... I agree that is true... Johnson Tiles and Triton showers seem weak... however adhesives, Vado and South Africa are doing well... the more they diversify away from the tiles and shower businesses the stronger the business should be...

[shanklin] 26/6/2015 07:37

Its perhaps no longer relevant given the recent property deals and earning enhancing acquisitions, but how is what was the core UK business doing? Re-scanning NXR's results, I get the impression that without the acquisitions, UK trading would be declining quite sharply.

[cockneyrebel] 26/6/2015 07:21

TPT trading update on Weds, should be some read across for the general retail environment for tile sales in the UK imo.

All imo

CR

[paulypilot] 26/6/2015 00:36

Simon,

I agree, 30p is a sensible price target - indeed, that has been Numis's price target for some time.

There are clearly more acquisition deals in the pipeline, hopefully not the waste water pipeline lol, so I could see forward EPS rising to 3p+

If that happens, then it's almost bound to drag the share price up to c.30p, but it depends on whether the selling overhang stops, or is taken out. So that could delay things, we'll just have to wait & see. I'm happy collecting in the divis though, whilst we wait.

Regards, Paul.

[simon templar qc] 25/6/2015 21:15

I sense a re rating and I am minded to see the share price continuing its upward trend for a while yet. It wouldn't surprise me if wee see 30p sooner than later.

Why because I see forecasts being bettered with cross selling.