Severfield Share Discussion Threads

[miked500] 10/1/2017 08:54

Severfield SFR Peel Hunt Buy 76.75 75.75 75.00 85.00 Reiterates

[rivaldo] 09/1/2017 08:41

New highs - and another tip for SFR here:



"Build a fortune

And I reckon Tyman's construction counterpart Severfield(LSE: SFR) is on course to deliver solid earnings growth too.

Despite concerns over the impact of Brexit on the construction sector, Severfield continues to rack up new business at an impressive rate. Indeed, Severfield's order book clocked in at six-year peaks as of November, at £315m, providing the firm with terrific earnings visibility.

And Severfield's presence in India also provides plenty of revenue opportunities. The company's JSW Severfield Structures joint venture secured £29m worth of contracts just last month to build a variety of commercial and industrial structures. And the amount of business is likely to keep rising as the Indian economy booms.

The City has pencilled-in a 35% earnings advance at Severfield for the year to March 2017, creating a very-appealing P/E ratio of 15 times. And an anticipated 16% bottom-line charge in fiscal 2018 drives the multiple to a much-improved 12.9 times.

Moreover, PEG numbers of 0.4 and 0.8 for 2017 and 2018 highlight its exceptional value relative to its likely growth trajectory."

[meijiman] 04/1/2017 10:47

Should be good for Billington. Maybe there are others as well as these two..........

[basem1] 04/1/2017 10:34

Morning Rivaldo, have you a list of the other tips ? My price target is 110p by mid year. Not that far away from there's. I'm up in North Yorkshire circa 15 miles from there Business and know a lot of employees who say the outlook has never been so good.

[rivaldo] 04/1/2017 09:50

N+1 Singer have this morning released their 12 top picks for 2017 - and SFR is one of them (along with IQE, which I also hold).

They have a 98p target price, and summarise:

"Severfield is the UK market leader in the design, fabrication and construction of
structural steel, representing c.14% of total UK capacity. It has a strong management team whose turnaround plan is beginning to bear fruit. We believe that despite the recent jump in the share price, the current rating is undemanding and that the Group has the potential to achieve its FY20 PBT target earlier than expected. The order book provides a good level of revenue visibility and self help measures underpin a significant proportion of the Group’s profit target.

Strong net cash (£24.4m in H117) leaves potential for significant cash returns to shareholders. With a market leading position, a solid order book and robust end markets, we believe 2017 will be another positive year for the Group. We maintain our Buy recommendation and 98p TP."

[rhomboid] 03/1/2017 10:58

I'm betting big that SFR will perform well but don't forget there are a LOT more shares since previous highs as from memory 298m now versus c.170m prior to the big equity raise & reboot.

[brucie5] 03/1/2017 09:45

We appear to be testing the one year ceiling. I expect this to move sharply higher once it breaks. 80p. initial target. The share has a five year high of £2.

[jadeticl3] 21/12/2016 10:13

It is a long time since this has looked so exciting. Great to see shares at 74p, double the Rights Issue price.

[miked500] 20/12/2016 10:23

Looks good today

[miked500] 16/12/2016 19:58

Delayed trades with notable volume

[brucie5] 16/12/2016 10:13

Looking very good now for the breakout.

[jaf111] 16/12/2016 09:56

actually xd was yesterday...

[basem1] 16/12/2016 09:54

Ex div today !!

[woodcutter] 16/12/2016 08:18

apologies bb2 i should have provided the date, july 2012 and the fact that expectations where for 18months of futher price cutting. We're coming out of that now with a bit of luck.

woody

[battlebus2] 15/12/2016 23:26

Bit old that woody but interesting none the less.

[woodcutter] 15/12/2016 23:06

an interesting article

hxxp://www.theconstructionindex.co.uk/news/view/top-10-uk-steel-contractors--results-and-analysis

woody

[diesel] 14/12/2016 10:18

That's a near doubling of the Indian order book.

[rivaldo] 14/12/2016 07:08

RNS - looks like India is picking up a head of steam now:



"SEVERFIELD SECURES £29 MILLION WORTH OF CONTRACTS IN INDIA

Severfield plc, the market leading structural steel group, announces that JSW Severfield Structures Ltd (JSSL), its 50:50 joint venture in India with JSW Steel Ltd, has recently been awarded a number of geographically diverse projects across India with a total value of £29 million (245 crores).

Contract highlights

· two high rise towers for a commercial complex in Kerala;
· a large parking facility in Karnataka;
· two industrial projects in Maharashtra and;
· a technology building near Delhi

The contracts were awarded due to JSSL's full design, fabrication and site erection capability, and its reputation for consistently delivering high quality products and services within differentiated programme times.

Ian Lawson, Chief Executive Officer, Severfield plc, commented:

"JSW Severfield Structures Ltd, our Indian joint venture, continues to perform steadily and develop a strong pipeline of work from new clients. These contracts are reflective of our ability to provide clients with world class engineering and bespoke design services."

[damanko] 13/12/2016 15:02

Peter, just a view is all. Many of the employees don't buy cars (especially newish ones) with cash. My point is that they believe in longer term income from where they're working, and the financial institutions that have lent the money believe likewise. As I said earlier, just a view. Steel stockholders unlike producers are not really subject to the daily commodity aspect of prices, as long as they've bought wisely.

Their job is to fabricate, & make the steel fit their client's requirements.

And make a profit on each project/job. As I mentioned earlier, I'm trusting that the new management is more successful than the previous one when it comes to tendering. I work in the civil engineering business, and believe me the competition is ferocious when steel stockholders tender.

[woodcutter] 12/12/2016 20:25

i've been accumulating regularly over the last week or so

woody

[greyingsurfer] 12/12/2016 17:14

I happened to be in the employee car park at Severs recently, in Bolton. I was impressed. Lots of new and quite new vehicles.

Of course it could just mean they are overpaid.

I've no issue with SFR being a good investment, but I'm not convinced that's a good indicator!

Peter