|Smith & Nephew
||EPS - Basic
||Market Cap (m)
|Health Care Equipment & Services
Smith & Nephew Share Discussion Threads
Showing 726 to 746 of 750 messages
|Berenberg moved from buy to hold yesterday and that combined with XD hit the shares yesterday.I think that Berenberg are taking a risk to comment that Smith and Nephew are a perennial bid favourite,given Stryker is lurking in the wings and Johnson & Johnson are ever on the look out.If the recent tumble in sterling doesn't potentially sharpen corporate interest,nothing will.|
|Wonder how long we will have to wait for bid spec to return. Must look real cheap now for a US buyer.|
its the oxman
|Thanks for the link ... I'll have a detailed look at that and study the maths in it -- it should prove interesting, and I'm always keen to see a different way of looking at things.
I'm still sceptical though that much of the highly rationalized and disciplined approach that Next makes applies here in this particular case.
However, either way, I don't think the S&N BoD will phoning up for my advice and it's ultimately, as it is always, a case of like it or lump it.
Let's see if I can't convince myself to like it.
|Back in 1999 company documents published by S&N said ... that executive bonuses were based on EPS, EPS at constant currency, and return on capital.
Unless it's changed since then it would be easy to see why a BoD might choose the buy back route rather than pay a special dividend, especially if the BoD did not hold a large stake in the equity.
|Whichever way you look at it that 300m, 25p per share is 'lost' to the company ... it's not being used to grow the business, it's not being used to invest in new plant or projects it's being spent in an incestuous deal to buy back its own shares. Apart from a small, temporary fillip to the share price ... and yesterdays buy of £4m worth of shares produced zero addition of value ... it does nothing for us small shareholders.
Rather it deprives us of 2% of yield.
But it does increase the EPS by about the same amount ... by cancelling shares.
So who does that benefit? It only benefits folk who hold few or no shares but gain from an increase in EPS ... and that smacks of bonus related management payments to me.
As I say, call me a cynic ... but that's why I say buy backs are bad news to shareholders ... of course if I was particularly jaundiced I'd be thinking that maybe the brokers have a specific buyer that they buy the shares from ... but that would be a very different game and completely contrary to the free and open market principle.
|Downgraded by Barclays to equal-weight , tp 1240p|
Buy backs may or may not be bad news depending on how the rest of the company is run. A clear policy of when and how they are used helps. Next uses buy backs extremely well and has in the past explained why. Share options are not going away and if capital is there the return on capital is sometimes better on buy backs than elsewhere.|
|Nice to see S&N's announcement of the 25p Special Dividend in yesterday's RNS!
Ooops sorry, got that wrong, they announced a buy back for the 300m, now that would have paid a 25p special. Ummm ... I wonder if the buy back will increase my shares by 25p -- I rather suspect it won't. So what's going on?
Wouldn't be something to do with buying/cancelling shares to artificially increase the EPS and management bonuses would it? Or maybe so that when options are issued we don't notice the dilution?
Call me a cynic ... but buy backs are bad news for us shareholders.
|Tipped by Tempus today..
|Surely the drop today is an over reaction?|
|Smith & Nephew's H1 pretax profit has slipped to $327m, from $411m a year earlier, with revenue higher at $2.33bn, from $2.27bn.
Interim dividend was 12.3 cents a share, from 11.8 cents.
CEO Olivier Bohuon said Q2 saw the continuation of many of the trends seen in the previous period, including growth of 10% in Sports Medicine Joint Repair and 5% in Knee Implants.
"The Emerging Markets improved from the previous quarter, despite conditions in China and the Gulf States remaining challenging, as previously highlighted. We expect our performance in China to begin to improve in the second half.
"For the first half of 2016 we delivered 3% revenue growth. The modest reduction in Trading profit was primarily due to the expected transactional currency headwind first signalled in 2015.
"The planned sale of our Gynaecology business demonstrates our disciplined strategic approach to capital deployment. More broadly, with strong core businesses, a growing pipeline of innovative products boosted by the recent acquisition of the robotics business Blue Belt Technologies, and more efficient operations, we are confident in our positioning and long-term prospects|
|I like that.|
|Yes,good.Quite apart from being a substantial dollar earner,i suspect that there's a bid premium being established due to enhanced attractions provided by sterling weakness to potential overseas buyers.|
|SN. Smith@ Nephew
Broken out of a 2 year Range due to Brexit.
Smith & Nephew Plc is a global orthopedics company.It develops, manufactures, markets and sells medical devices in the sectors of advanced medical devices and advanced wound management.The company operates in two segments: Advanced Surgical Devices and Advanced Wound Management
Valuation 2016e 2017e
P/E ratio (Price / EPS) 26,7x 21,6x
Capitalization / Revenue 3,16x 3,01x
EV / Revenue 3,41x 3,15x
EV / EBITDA 11,6x 10,2x
Yield (DPS / Price) 1,88% 2,07%
Price to book (Price / BVPS) 3,57x 3,29x|
|Something is happening?|
|And takeover prospects in for nothing.
Also offering an outlook less positively correlated with the UK economy than most of its index peers is Smith & Nephew (LSE: SN). It has the added advantage over most stocks (including AstraZeneca) in that its business model is very consistent and reliable. In fact, Smith & Nephew has been able to increase its earnings in each of the last five years and with earnings growth of 2% pencilled-in for this year as well as 12% for next year, investor sentiment towards the company could improve.
That’s especially the case since Smith & Nephew trades on a price-to-earnings growth (PEG) ratio of only 1.4, which indicates that its shares offer strong growth prospects at a very reasonable price.|
|I see we're to have a share back starting in July following on the trade sale.Analysis shows that share buy backs are of minimal benefit to shareholders.Dividends are much better....show me the money!|
|Jefferies International Smith & Nephew PLC 09/05/2016
1,044.00 1,375.00 1,136.00
|Stryker making new highs while SN lag somewhat toward 1100p. Frustrating, should be through 1200p really. Bid possible anytime.|
its the oxman
|Those a very solid final figures.|
|Looks like it hit £10 sooner then you think!!!!!!|