||EPS - Basic
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Real-Time news about Office2Off. (London Stock Exchange): 0 recent articles
|dangersimpson2: Big trades to go through at the mid-price...suggests that the broker managed to match a keen buyer with an equally keen seller. Should be neutral for the share price.|
|empirestate: And the next step is. ''Further to the recent rise in our share price, we would like to confirm.......... may or may not lead............'', which would be nice.|
|drunken monkey: This is a company valued as if its going bust - which in my and Nicholas D. Gerber's opinion, it isn't.
Had a similar situation with Caretech (CTH) trading sub 80p towards the end of 2011 (approx 240p plus chunky div's now). For sure, office2office is not performing as it should, its just not in the type of mess that the share price suggests.|
|she-ra: Its just the share price was over £2 a few years ago with a worse balance sheet.|
|simon gordon: OPI - 3/7/13:
Here's what the CEO had to say, in the press, after the July profit warning:
Moate plays down market reaction
Office2office (o2o) CEO Simon Moate believes the investment community has overreacted to yesterday's profit warning.
The reseller has seen its share price fall by over 40% this morning after it issued a trading update yesterday in which it warned that its underlying profit for the full financial year was expected to be "significantly below current market expectations".
"Whilst we continue to grow our market share as reflected in sustained revenue growth, we have recently experienced some gross margin pressure as our customers shift spend to non-branded products," the company stated.
Moate told OPI that this mix shift had negatively impacted gross margin by around 1.5%, and this was the main driver of the expected profit decrease.
Banner Business Services is ahead of target in terms of sales, Moate added, and the £80 million ($122 million) Banner Managed Communication unit will be trading "significantly" ahead of last year and at an attractive profit margin despite a delay in some new contract start-ups.
o2o's trading update also referred to "a number of operational and back office changes" designed to mitigate declines in the office products market. Moate confirmed that this referred to operational and IT systems investments and improvements already underway and was not a euphemism for job cuts.
"The [stock] market has no love for our sector," stated Moate, "but we will still be delivering much higher levels of profit than our industry peers."
Moate also pointed to o2o's healthy cash position and lower net debt.
O2o's market capitalisation has dropped by around two-thirds in the last 12 months to just over £16 million. Moate said that the group was "significantly undervalued" at the moment, but declined to comment on whether this currently made the firm an attractive takeover target.|
|mathewawood: I'm really interested to see what happens to this share price over the next few months. After the profits warning some big holder has obviously said enough is enough and has decided to bail out at any price. You can see from all the buys going through described as sells and the incredibly tight spread. The spread at the moment is negetive!! TD are quoting me 39.35 to buy 39.5p to sell. Thats a desperate seller. With current Mkt Cap at £14m they are basically saying the company is going under.
Yet to me the company looks extremely alive with revenue growing. The house broker downgraded EPS for 2013 to 12.4p from 16.3p (Im surprised the companies RNS said "underlying profit for the full financial year will be significantly below current market expectations." a 20% miss doesn't warrant it.) They also predict a Divi of 7.2p (thats a whopping 18%) If the broker estimate is correct and remember these guys have a hot line to the management so its our best guess. Then the current 39p share price is far too low.
The interims our out tomorrow so I guess they might give us a clue as to who is right the big seller or the broker?|
|shammytime: Two more multi million pound contracts also to be announced :-) could be a big week for this company's share price|
|nurdin: Yes quite agree..I too am surprised there isnt much buying ahead of the XD date.
No doubt the share price will adjust for the dividend on the day.If the price is whacked down by full 7.8p, then the shares will be trading on 2012 PE of just 6.2 and yield over 7.5%.Needless to sayI will be adding should the price retrace by that margin.|
Last year the group delivered pretax profits of £12.8 million. This year it is forecast to make £13.5 million. There is a sizeable dividend too - 11.4p last year, expected to rise to 11.7p this year. Given that the share price is 157p, this puts the stock on a yield of 7.5 per cent.
Midas verdict: The company has come a long way and Moate is keen to continue developing the business organically and through acquisition. The shares should rise as the company evolves and in the meantime, shareholders can take comfort from the generous yield. Buy.|
|mesquida: Sorry Jeff H but have been off the air for a few days and unable to post the new INVESTEC forecasts. Anyway, details are as follows. Current year (to end december 2010) pre-tax now forecast at 13.5 millions as against previous forecast of 13.3 millions, with eps forecast similarly raised from 26.79p up to 27.2p. For next year the new pre-tax forecast is 15.0 millions as against 14.3 millions, with eps forecast raised from 28.74p up to 30.19p. INVESTEC have also raised their share price target from 187p up to 196p, although I am bound to say that this looks a little conservative in the light of the above earnings forecasts.|
Office2office share price data is direct from the London Stock Exchange