Petards Share Discussion Threads

[the oak tree] 03/1/2017 11:29

Just wanted to say Happy New Year to all. Very much appreciate all the posts and research as peg is my largest holding after quite a rise. Hopefully a good year coming up.......

[bones] 03/1/2017 10:56

QS99, I agree with all you say and have an oversized holding in relation to my overall ISA and SIPP sizes!For reason of risk management, I trimmed 15,000 shares (about 25% of my ISA holding in PEG) taking advantage of WINS 29.5p bid this morning getting 29.56p which reduces my average cost after deducting the proceeds from the overall cost of what remains to 15.6p per share. That's not bad considering I only bought them all in mid October!My SIPP holding is the opportunistic purchase a couple of weeks ago at 23.25p when there was a sudden dip for no reason.So I am still well invested here but derisked on cost and allocation a little.I now trust that all that I expect of the next results comes in. Decent 2016 numbers, very improved 2017 and 2018 outlook and a maiden dividend. A bid for the company would be the cherry on top!

[qs99] 03/1/2017 09:10

topped up again this morning, momentum there, trading good, order book good, IMO I think the next RNS will be another positive one helping to drive these much higher, GLA, HNY as well and good luck PEG!

[noujay] 03/1/2017 08:45

Blimey. Welcome to 2017!

[rivaldo] 03/1/2017 08:15

Happy New Year to all PEG'ers :o))

Not a bad start to the year - buying coming in at 29p now.

[rivaldo] 30/12/2016 10:43

Hi tiltonboy. I'd have thought given the immediate tick up that it was a Buy. However, if you're right I suppose it shows the strength of demand out there!

[sidarthur2] 30/12/2016 09:59

they could use that 2 mill cash pile to payback the historic 'investors' they ripped off in their consolidation some years ago. Of the 7500 shares I bought at 76p I now have 100 at 27p and I had to pay to get to 100 shares or lose the lot! hey ho! I'll use the loss one day to offset CGT (I hope!) GLA for 2017

[tiltonboy] 30/12/2016 09:55

riv,

I wouldn't be surprised if those 100k trades over the last few days aren't sales. Looks like they are done at 27p, and maybe put a few more on at 28p!

[noujay] 29/12/2016 15:46

Are you a broker then Tilton?

[tiltonboy] 29/12/2016 15:03

I met Downing VCT managers a few months ago, and they said they had a target price of 26p, so it may be them letting a few go.

[bones] 29/12/2016 14:59

All good potential business tiltonboy.

I see a fair bit of demand out there today at 27p. WH Ireland is feeding it out at that price so maybe they have some stock to unload which will show up as a trade later?

[tiltonboy] 29/12/2016 12:30

More business coming the way of PEG?

[bones] 29/12/2016 00:42

Interesting that the link you gave also has the writer invested in RBG, also one of my other bigger recent accumulations. Going well in the two months I've had that to date.

[bones] 29/12/2016 00:34

Ricardo, that could have been cobbled together from a few of our observations on this thread lately! Nothing new as such but, as you say, no mention of the cash pile.Also, no mention by PEG since it's acquisition of QRO of how that is performing. Bit odd really. Maybe it hasn't done much but then again it only cost them net cash of £240k.

[rivaldo] 28/12/2016 23:32

PEG are recommended here as one of 6 growth shares for 2017 - and he doesn't even mention the £2m cash pile which comprises over 20% of the m/cap:



"PEG began as a bit of a punt for me in 2016 but has become a more serious growth prospect for 2017 and I believe potentially into 2018/19. It is a microcap, selling CCTV for ruggedized environments, valued at less than £10m and the shares are highly illiquid. It took me 6 tranches to build my current overweight position and if I have called this wrong, I accept that my loss could be as much as 50% in the event of a profit warning or other bad news. Against this, the company have announced over £10m in contract wins over the past six months, most related to new train builds via three framework agreements with global manufacturers. My own research suggests they will beat current forecasts which in themselves show a reasonably priced forward PER of 13.6. There is the prospect of a maiden dividend in 2017, alongside a rising EPS, increased broker forecasts and potentially, further significant contract wins. I believe that many investors are deterred by the microcap status of PEG and feel that once it breaks £10m it could easily rise 50-100% as more investors buy into the growth story"

[bones] 28/12/2016 13:02

96k just gone through at 27p.

[bones] 24/12/2016 19:08

Yes barnetpeter, up to my wader tops!I hope it's not too deep...

[barnetpeter] 24/12/2016 18:02

30p plus by then......60p take out price. Contracts galore in 2017 as the new rail contracts come into view. PEG may well be 2017's biggest share winner.

Are you IN?????

[bones] 24/12/2016 16:26

Tiltonboy, your profits are in the bag! Good they are too.I think we get a trading update mid-Jan so any uncertain messages in there would probably send us back to your 19p so no chickens are being counted here. My profits are not safe yet :)

[tiltonboy] 24/12/2016 12:08

Bones,

Of course. It depends what sort of Enterprise Value somebody would pay to buy them.

I'm pleased to say that I called this one wrong, and while I recognised they were probably undervalued, I didn't see them going this far, this soon.

I've got a few left, and averaged 19.72p for the 600,000 I have sold. So no complaints here.

[bones] 24/12/2016 11:57

Thanks to richard01132 on LSE for the heads up on Nomad Digital. Owned by private equity investors and sold to a rail giant with Euros to burn.

[bones] 24/12/2016 11:40

Of course, that won't matter if some foreign dollar-wielding dudes come in waving a big sterling cheque at us all to take our shares and loan notes off our hands :)Given that Nomad Digital, who are also suppliers of wifi systems to the rail industry based in the north east, have just been taken out by Alstom of France (Euro-wielders), you just never can tell.All UK niche players are vulnerable right now to cheap sterling bids.

[tiltonboy] 24/12/2016 08:52

Noujay,

You can see it in the report and accounts. Note 17 on page 37 refers. Also this from Note 8 on page 28:

"Diluted earnings per share assumes conversion of all potentially dilutive ordinary shares, which arise from both convertible loan notes and
share options, and is calculated by dividing the adjusted profit for the year attributable to the shareholders of £914,000 by the assumed
weighted average number of shares in issue of 56,267,673"

So, on top of the Convertible Loan Notes, you also have management share options, but they do not call until possibly as late as 2023.

Given the relatively close proximity of the conversion of the loan notes, I would use 52.9m shares in issue as the basis for valuation.

Hope that helps.

[noujay] 24/12/2016 08:23

Where is the figure of 17m remaining to convert viewable Tilton? I can't see any reference to it but rather just the decreasing total from the original issue.Would be appreciated if you can guide.