Sdi Share Discussion Threads

[gnnmartin] 14/7/2016 11:55

It's not at all clear that a tighter spread will generate more trading, or if it does that that will benefit the market makers. Those who buy and hold will do just that, buy once, and the market maker would like to make as much as possible from that one purchase. True, some buy & hold investors will be put off by the spread, but most will work on their perception of the value.

Traders can move the price & trigger lots more trades from fellow traders, but that is a zero sum game. If the traders as a whole gain, the market makers as a whole lose. The market makers don't want to promote a rush on the stock that leaves them without anything to sell, and possibly having to buy in at a higher price later if it turns out the rise was business based rather than simply trader induced.

PS. You can usually trade well within the spread, though you may need to trade through a (human) broker, so the costs will be higher.

[spooky] 14/7/2016 11:15

That's fine, so why not trade them 8.75 - 9.25, offered in 500,000 bid for 25,000, it's not rocket science.The tighter spread will generate more trading and increase liquidity.

[mudbath] 14/7/2016 11:01

My view is that the MMs have a substantial seller(tap)standing on 9 pence,meeting all demand for the various purchases of SDI stock over the past couple of weeks, evidenced by the sporadic, yet chunky marks,seen at that price.
Hence the derisory bid level of 8.2 pence available for those who want out at any level;although there have bee no trades so far at that lower price. (not unsurprisingly imo)

[spooky] 14/7/2016 10:26

They would appear to be trying to stop trading in either direction,never understand why they do it. Why not trade them 25,000 a side on a 0.5p spread, i'm sure they would see a lot more trading and make a lot more money on the spread.

[rivaldo] 14/7/2016 09:54

Currently you can sell 150,000 shares at 8.2p, but only buy a maximum 10,000 shares at the maximum 10p offer.

Plenty of demand out there it seems.

[mudbath] 12/7/2016 15:17

Well I for one would happily pay 8.5(and more) pence for those same 140k shares;so the bid price is surely tongue in cheek.
The whole episode is a total charade in my book,failing as it does to either serve investors or represent the market.

PS
As of Wednesday July 13th,I still cannot elicit a bid for even 10k shares @ 8 pence.

[rivaldo] 12/7/2016 14:20

Online now a buyer will take an unusually large 140,000 shares at 8.1p, whilst I can only buy a maximum 40,000 shares at the full 10p offer.

Any buying interest would probably move the price - and the spread - quickly.

[mudbath] 12/7/2016 09:26

hastings.
Thanks for providing us with the probable date for the prelims RNS.
Hopefully the results will see an end to the current hiatus in the trading of SDI shares,for one cannot sell currently at 8 pence,even on the eye watering 25% spread,whilst full ask is sought from potential investors.
This illiquidity is something that needs to be addressed by the the company/nomad,imo.

[hastings] 11/7/2016 12:24

May I also take the opportunity to welcome you to the thread TP.

[the prophet] 11/7/2016 11:58

cheers rivaldo.
That is a decent target, x3 from current levels, so plenty to play for.

[rivaldo] 11/7/2016 11:40

Finncap reiterate their 29p target today:



Good to see you here Prophet.

[hastings] 11/7/2016 09:50

Hi rivaldo/mudbath, SDI results are due out on the 22nd of this month and I will be catching up with management on the day so will pen something on the back of that.

Nothing to add at present, although I would agree that with a high level of SDI's business being export it will indeed be benefiting from the weak pound.
I'm not aware of any notable if any hedging process being used by the company, so the current backdrop should be positive.

[rivaldo] 11/7/2016 07:28

Great spot hastings - and confirmed by SDI this morning!



In particular....

"ProReveal, our highly sensitive fluorescence-based patented protein detection test, is the only marketed product of which we are aware that can adhere to these stringent guidelines"

ProReveal obviously has not only huge blue sky potential, but is near-term too.

Yet with the core business forecast to make 1.5p EPS, and with SDI's cash pile too, ProReveal is in the price for free.

[mudbath] 09/7/2016 20:24

Thank you for the most interesting link,hastings.
The timescales outlined should create a near term stimulus for Pro-Reveal,imo.

" The ambition is that all healthcare providers engaged in the
management and decontamination of surgical instruments used in acute care will be expected to
have implemented this guidance by 1 July 2018. However, providers whose instruments are likely to come into contact with higher risk tissues, for example neurological tissue, are expected to give this guidance higher priority and move to in situ protein detection methodologies by 1 July 2017."

[hastings] 09/7/2016 14:04

Mudbath, I will gladly respond to your question in due course, but for now, latest NHS news could be a real game changer for Synoptics-Pro-Reveal.

[mudbath] 09/7/2016 09:57

In view of Artemis proving to be a stellar performing division of SDI, having continued to report notable increased levels of sales and profitability at the interim stage;then the web site of Ian King Imaging,among others,provides some interesting technical specifications,visuals and pricing on the Atik range of high sensitivity cameras for deep sky astronomical and life science imaging

[mudbath] 08/7/2016 09:19

Hastings.
As a man with "feelers",are you able to say whether SDI has an effective e-commerce capability?

“Rapid growth of the e-commerce industry over the past couple of years has led to a whole new world of opportunities for scientific instrument manufacturers with respect to supply and expansion. With almost 35% of the global sales and orders for laboratory equipment coming through e-commerce retailers, this channel has contributed immensely to the growth of the global scientific instrument market over the past two years,” said Amber Chourasia, one of Technavio’s lead industry analysts for lab equipment."

With SDI revenues stagnant at around £7 million for the past 5 years,I suspect not.(over a period when the number of shares in issue has increased from 17 million to 64 million.

[mudbath] 07/7/2016 12:43

That is because I bought them all rivaldo;for a bargain is a bargain after all

[rivaldo] 07/7/2016 12:33

A bargain for someone imho :o))

EDIT - online I can sell 20k at 9p, whilst I can only buy 50k maximum at 9.5p and none at all at the 9.1p quoted above.

[mudbath] 07/7/2016 12:17

SDI stock is currently on offer @ 9.1 pence whilst no bid is available for 10k.

[rivaldo] 06/7/2016 23:00

I suspect there is hedging, but usually this doesn't cover all currency exposure. For a company of SDI's size any benefit from the pound's fall could be material.

SDI's trading update has already told us the following about the upcoming results, so I'm expecting good things from this recently transformed company....

"The Board expects reported profit before tax to be in line with expectations. The new acquisition, Sentek Limited, has met management's expectations and has made a good contribution to the profitability of the Group.

Ken Ford, Chairman of SDI commented:

"We now have a solid profitable platform on which to grow the Group both organically and through acquisition. As anticipated, our latest acquisition Sentek Limited, has been earning enhancing and the Board looks forward to the new financial year with confidence."

[mudbath] 06/7/2016 18:47

Their exposure could well be hedged rivaldo.
As regards "cheap";if 2012/3/4 and 2015 are anything to go by then the prelims will prove to be a bitter disappointment.
FinnCap after all forecast 3p of eps for 2015 and 3.5p for 2016,back in 2014,so their latest stab in the dark is in fact a downgrade and(imo)not worth any weighting in ones investment decisions.

[rivaldo] 28/6/2016 11:27

Around 88% of SDI's revenues derive from abroad, including 53% from the USA and Asia.

This year's and future numbers could benefit in a big way from the pound's fall.