Watkin Jones Share Discussion Threads

[paleje] 19/1/2017 12:07

Not sure if the worry over students abandoning the UK is justified, personally I can't see that happening. IC (not Simon Thompson, who may yet update as he has been a follower) retained their buy advice yesterday, can't paste the whole so soon but their conclusion:-

"The business model is capital light because the whole process from land procurement to construction is forward funded by the end user, reducing risk. The shares are up from our buy tip (107p, 7 Jul 2016) and we see further growth. Buy."

[spellbrook] 19/1/2017 11:04

will the dividends get re invested ????

[skinny] 19/1/2017 10:23

Try this -

[gostevie63] 19/1/2017 10:22

Here is a link to the Beaufort Securities analysis:

hxxp://www.proactiveinvestors.co.uk/columns/beaufort-securities/26913/beaufort-securities-breakfast-alert-burberry-group-hummingbird-resources-ltd-pearson-watkin-jones-26913.html

[rivaldo] 19/1/2017 08:15

Beaufort Securities have a 190p target....

"Our view: An excellent business model delivering strong maiden results. Confidence is underscored by an exceptional pipeline while delivering gross margins for the year on student accommodation developments of 20.5%, compared to 18.2% for FY 2015. This improvement reflects both the move to sole development of own projects and away from lower margin contracting work for other developers.

The Group's 'forward sale' model means that FY 2017 will also benefit from progress on schemes delivering in later years, including the eleven that look to complete in FY 2018, of which ten have planning consents while planning has been submitted on the remaining one.

Some of its larger 2019 schemes will also contribute to FY 2017 performance, in particular the 511-bed scheme in Stratford for the University of London, which in terms of its development value is Watkin Jones' largest ever project.

Investment interest in this asset class remains strong while offering good medium-term visibility. Growth in the student accommodation management business 'Fresh' also continues, with 44 schemes under management and 61 already contracted for 2020.

While there appears no need for Beaufort to adjust its current forecasts for either 2017E or 2018E, the shares still appear to be undervalued on the basis of earnings multiples of 9.3x and 8.6x for the two years, a dividend yield of 5% along with exceptional FCF yield of 13.3%. At this time, Beaufort does not take some media suggestions that the decision to leave the EU could result in international students deserting the UK in coming years, but recognises this concern will need to be dispelled before its price target of 190p/share for Watkin Jones can be achieved."

[jonwig] 19/1/2017 06:44

IC comment on results (nothing new to say) and tip update:

The business model is capital light because the whole process from land procurement to construction is forward funded by the end user, reducing risk. The shares are up from our buy tip (107p, 7 Jul 2016) and we see further growth. Buy.

[santangello] 19/1/2017 05:31

An enjoyable read over breakfast yesterday morning, promoting me to add twice at the open....legalised theft lol.Many thanks once again Jeff H.

[janekane] 18/1/2017 19:59

In terms of what the company jet stands for a small prop propelled plane has on many occasions been compared to an "hot air balloon" regarding its standing in the aviation fraternity
Good evening

[alan@bj] 18/1/2017 17:33

I don't know why some are obsessing about the company jet. With such a geographical spread I think it makes sense to have one. What do you expect them to do, travel by hot air balloon?

[spellbrook] 18/1/2017 16:50

'We said we would deliver and we have'...Mark Watkin Jones on record profits for developer


hxxp://www.dailypost.co.uk/business/business-news/we-said-would-deliver-havemark-12471522

[rivaldo] 18/1/2017 16:14

Brief interview with the CEO....

[greyingsurfer] 18/1/2017 15:49

sold its light aircraft during the year So not sold "the jets" then :-)

[ron manager] 18/1/2017 15:22

larva
18 Jan '17 - 07:19 - 504 of 539

Have they sold the private jets they have in the books yet

In response to Larva's earlier post today - see above, I heard this morning that the Company has, as promised, sold its light aircraft during the year and that full disclosure on this disposal will be in the Annual Report being sent to shareholders next week.

DYOR

Ron

[alan@bj] 18/1/2017 13:27

Ive followed the instructions you gave, Lladros. Works perfectly. The only thing users should be aware of is that the phrase/word you input is case sensitive. "Dividend" for example, also needs to be input as "dividend."

[brentpease] 18/1/2017 13:21

Great profit 2016

like this bit

"Assuming an annual delivery of 3,500, securing a further 1,000 beds for delivery in FY19 would mean visibility on 100% of the beds due for completion across the forecast period. Current forecasts are predicated on 70% of Student Accommodation revenue having been forward sold despite being less than four months into the financial year providing a high level of certainty on the FY17 outcome."

and jam tomorrow from PRS and Fresh

its like i am dreaming - surely can only go one way and can collect the divis while waiting

easy

[alan@bj] 18/1/2017 13:07

Thanks Lladros, that's very helpful.

[jonwig] 18/1/2017 12:44

Llados - thanks, I wasn't aware of that facility. Reading in colour code! It beats what Firefox has, CTRL + F to highlight a particular word everywhere in the text.

Actually, if you read lots of company announcements, you'll realise that the same sentences (or whole paragraphs) get repeated a number of times.

[llados] 18/1/2017 12:32

I am long on WJG and appreciate the comments and info on this thread. Further in reply to alan@bj (I know he now knows the div. dates) but you can use the traffic light system which I originally read about in the N.T.'s book. I find it so useful when skimming down company reports etc as the words you are looking for like "profit" and "dividend" are highlighted. Click to News in the top menu, below that is "highlight phrases" and these will be highlighted in any text you want to read. I wouldn't be without it when in a hurry. Hope helpful. L.

[shaker44] 18/1/2017 11:05

Maybe now more pi's will be aware this is not the usual Aim rubbish. This is a great little buy and hold and will get re-rated on each financial result.

[shanklin] 18/1/2017 10:44

Albeit the services side is currently only a small proportion of profits, it is growing fast and the associated profits growth is a significant part of the profits increase being forecast going forward.

I would like to think forecast increases would make it slightly less significant.

[its the oxman] 18/1/2017 10:04

Should really have the legs to climb into the 130's given the positive outlook.

[spellbrook] 18/1/2017 10:04

The residential units will be sold in a separate transaction by Watkin Jones.



hxxp://www.constructionenquirer.com/2016/06/29/watkin-jones-100m-east-london-student-scheme-aproved/

[alan@bj] 18/1/2017 10:04

Thanks all. I adopted a 7-year old retired guide dog a month ago. Looks like I'll need him!

[skinny] 18/1/2017 09:58

So we are all agreed on the dividend then! :-)

[glaws2] 18/1/2017 09:57

Fresh - great margins and growing at about 50% per year; however only makes up 4% of gross profits.

Nice update with great visibility of the pipeline. I'd like to see the PRS segment grow some this year.